NEW YORK'S Times Square was venue for the unveiling of Volkswagen's next generation Jetta model - and as our first pictures reveal, the car really looks a million dollars.

The German car giant is promising greater space, a sharp set of clothes plus the most advanced range of petrol and diesel engines yet.

Styled under the leadership of VW's design chief Klaus Bischoff, the car features the elegant appearance that marks the latest evolution of the new Volkswagen design language.

Inside, an all-new dashboard with aluminium highlights sits ahead of a leather-trimmed three-spoke steering wheel, while every Jetta will boast an integrated multi-function display, air conditioning and CD stereo system.

As with the outgoing Jetta, the new car mixes the practicality of being able to seat five adults with a large - 510 litres to be precise - load space and standard safety features like six airbags, ABS and Electronic Stabilisation Programme.

The car's overall length has stretched by 90mm and, consequently, its longer wheelbase results in greater legroom for rear seat passengers.

New to the Jetta engine line-up is a 1.2-litre TSI petrol unit producing 105PS while the twincharged 1.4-litre TSI 160PS engine is also added to the range. The 1.4-litre TSI 122PS and 2.0-litre TSI 200PS continue unchanged.

Diesel options consist of a 1.6-litre TDI 105PS and a 2.0-litre TDI 140PS engine.

BlueMotion modifications including Start/Stop and battery regeneration will be made available with the 1.2-litre TSI and the 1.6-litreTDI engines - changes which allow the 1.2-litre TSI version to achieve 53.2mpg on the combined cycle while emitting 123g/km of CO.

The 1.6-litre TDI variant is capable of returning 68mpg and emits just 109g/km of carbon dioxide.

The original Jetta was launched in Germany in 1979 with more than 9.6m vehicles sold with the nameplate since then. In fact it is the biggest selling German saloon car in North America where it accounts for 110,000 sales every year.

UK sales of the new Jetta start early next year with prices and specifications set to be announced nearer the time.