MERCEDES-Benz has announced a major face-lift for its E-class range, increasing specification with no price rise and adding a new estate model, new engine and two new transmissions to the line-up. With an all-new E-class not due until 2002, Mercedes has modified more than 1,800 parts on the current E-class to make it more competitive against the likes of the new BMW 3-series and Lexus IS200.

On sale next from month, all E-class models will now be fitted with the Electronic Stability Program as standard, and a new six-cylinder E320 CDI engine will be available from September, replacing the E300 turbodiesel.

Prices for the E320 CDI saloon start at £31,780 and £34,080 on the road for the estate. Previously only available as a saloon, the E280 estate is launched next month, powered by a 2.8-litre V6 engine and with prices starting at £35,780 on the road for the Classic.