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Dacia ‘Twingo’ planned as sub £5,000 entry-level Dacia

The current Ranault Twingo (pictured) looks set to live on as the new Dacia Twingo The new Renault Twingo – which shares its underpinnings with the next Smart – arrived at the Geneva Motor Show last week, and it looks an appealing and impressive city runaround. With 3-cylinder engines, rear wheel drive and decent looks, the Twingo looks to have a decent chance of making sensible sales this side of the Channel as the budget alternative to the next Smart Car, which will be basically the same under the skin. But those plans may go a bit awry if a report from Auto Bild is accurate, as Dacia appear to be preparing to take the current Twingo and turn it in to a budget offering for the Dacia range.

Peugeot 208 R2 (2012): first official pictures

Peugeot has released pictures of its first 208-derived rally car. Peugeot says the 208 R2 has been under development since the standard model was announced in 2011, and promises to reveal two more motorsport-bred 208s by the end of 2012. What will the next two 208 sports cars be?

One Lap of the Web: Christmas edition

-- Ferrari is getting into the Christmas spirit by... towing Santa's sleigh with one of their F138 race cars. Spoiler alert: We don't know what visual-effects house Ferrari used, but we have a feeling the sleigh was towed slightly slower than the velocity shown in the video.