Jaguar has announced that its S-type diesel saloon models are now Euro IV compliant from July.

The new Euro IV compliant S-type 2.7 diesel replaces the Euro III model and is available to buy now with prices starting from £28,895.

Compliance with the forthcoming 2006 Euro IV emissions regulations means that the 3% company car tax supplement on diesel cars is waived for S-type diesels registered in 2005.

The combined fuel consumption for the 2.7D manual is 41.5mpg whilst the CO2 figure for the S-type diesel manual saloon decreases from 189g/km to 179.

Power and torque of the S-type 2.7 diesel remain the same, but there are a number of other modifications that have ensured compliance with the stage IV emissions regulations.