In a break from tradition, future BMW M models may come with turbocharged engines. Until now the M Division has always had a preference for high-revving naturally aspirated engines, but instead of the 500bhp V10 in the current M5, its successor is said to be getting a twin-turbo V8.

The unit will be a variation of the 4.4-litre twin-turbo V8 currently offered in the X6 and is said to be good for more than 536bhp. This is also the engine rumoured to be heading for the new Lotus Esprit, due in 2011.

In other BMW news, an alliance between the Munich marque and Fiat Group is currently being brokered for the development of small cars. BMW executive board member Friedrich Eichiner has said, ‘We are currently examining possibilities for the joint use of components and systems in Mini and Alfa Romeo vehicles in order to achieve economies of scale and thus cost reductions.’