We review the Fiat 500 Abarth (2008) from price to economy and all its features

Because this is the new 500 Abarth, its fast, fun, fierce-looking brother. The standard 500 may be chic, but this version is chic hot.

It has such style that it even makes the Mini Cooper look a bit boring.

The irony is that this Italian job has put the icon of the Michael Caine flick in the shade.

Until now, the cute Fiat 500 has been available with two petrol engines and one diesel, all offering brisk and economical urban driving.

But the Abarth blows them apart with its firecracker of an engine serving up 135bhp.

It may only be a 1.4-litre engine but turbocharging helps it to produce its lively power delivery, and produces 0-62mph in just under eight seconds with a top speed of 127mph.

And this 500 has Italian style and substance. The Abarth has a racing pedigree and it proves it on the road and track.

I’ve just had a first drive of the new 500 Abarth at Fiat’s secret Balocco test circuit, about an hour from Milan.

And it is incredibly good fun.

The power delivery is perfect for a car of this size with smooth, almost instant, speed which takes you to the edge, but never over it.

That’s largely down to the new TTC (Torque Transfer Control) system, which improves the transfer of torque to the wheels - in English that means it keeps the car on the road no matter how hard you sling it about.

It handles like a true Italian stallion, gripping to corners like glue and giving the driver so much confidence.

However it’s the look of the Abarth that will seduce so many - just like the standard 500 has.

And like the original car did to make it such an icon of the 1960s.

It has the most aggressive exterior of all the Fiat 500s so far. The front bumper has a large gaping intake, sporty fog lamps, wider wheelarches, side sills and a lowered ride height.

At the rear its bumper is fitted with a racing car-style diffuser to reduce drag and improve stability. And there are twin exhausts, tuned for a sportier sound.

But there are great touches, with cutting-edge design 16in alloys while the Fiat logos have been replaced by the Abarth trademark scorpion badges - 14 of them in fact.

But it’s not over-done, they just look really good.

Crucially, it’s the 500 that a bloke can get away with driving without looking like a big girl’s blouse or as if he’s going to a Gloria Gaynor gig.

Inside, the Fiat 500 Abarth features unique instruments and the addition of a gauge measuring the turbo boost.

Also new are LED dashboard lights which signal to the driver the perfect time to change up to the next gear.

The interior has the drama and raciness to match the outside with aluminium pedals, red sports seats, red stitching, carpet with badging and classy-looking pearlescent white dash with a 500 logo.

There’s not much elbowroom though and the back is essentially only for kids if you’re on long journeys.

The boot is also only big enough for a few carrier bags.

The most annoying aspect on the 500 Abarth is that the driver’s seat height-adjuster lever is right next to the handbrake, which was confusing, grabbing the wrong lever all the time.

Other than that it has a personality that was faithful to the phrase coined for the 1960s Abarths - ‘small but wicked’.

It goes on sale later this month, with a price expected at £13,500 - just above the Mini Cooper, but less than the Cooper S.

And get in quick, there are just 1,500 Abarths coming to the UK by the end of 2009 with two limited editions also on the way - Opening Edition, which gets even more kit and livery and has already sold out its 199 build run, and the 500 Abarth Assetto Corse.

Like the original Italian Job, Fiat have struck gold with the 500.

What to look for when buying a used Fiat 500

Fiat quality has been improving since its darkest days, but the 500 has not been without problems.

To date four recalls have been issued on the 500, and six on the Abarth model, ranging from potential airbag problems to steering faults.

It is important to check that these faults have been put right; a dealer will rectify them without charge.

Recalls aside, owners report irritations such as creaking front suspension, peeling body stripes, and glitches in Bluetooth connectivity and iPod integration.

There have also been reports of engine management lights flickering on.

An extended warranty on your second-hand buy might well be worth it.