When Kia launch the all new Picanto in Spring 2011, customers will finally be able to enjoy road tax free motoring.

The current Picanto range offers tax exemption for the ‘first year’ only followed by £30 in the second year. However new engines, based on Kappa technology, ranging from 95 to 105 g/km will ensure the Picanto rejoins the growing list of competitive ‘city cars’ exempt from road fund duty.

4 engines in total will find their way into the all new Picanto, these are three 1.0 litre units (petrol, flex fuel and bi-fuel) and a 1.2 petrol. Although Kia aren’t clear as to whether the flex fuel and bi-fuel versions, will apply to UK variants, we think the flex-fuel is the most likely here in the UK.

Power from these new units will be from 69 to 85 ps, an improvement from the current 61 and 64 ps found in the current 1.0 and 1.1 litre units. Torque is also increased from 86 and 97 Nm to between 94 and 121 Nm with a significant reduction in exhaust emissions. The bi-fuel 1.0-litre engine will generate 82 ps and 94 Nm of torque. Fuel economy for all of the engines is also improved. Drive will come via traditional 5-speed manual or 4-speed automatic transmissions.

Optional ISG technology will be available on some models which will further reduce emissions nearer the 90 g/km mark.

Bigger and sportier on the outside

The new Picanto will be longer than the outgoing version, thanks to an extended wheelbase, and offer up to 27% more cargo space, although it’s still not clear as to whether we’ll see a full-size spare wheel over the current space-saver. As well as the traditional 5-door bodystyle, Kia will also introduce a 3-door sportier version for the very first time (available Autumn).

The next generation Picanto will make its global premiere on the Kia Stand (Number 6441, in Hall 6) on March 1, the opening press day of the 2011 Geneva International Motor Show. Prices for the UK will be announced nearer launch time.