Chrysler has announced that its Jeep brand is "expanding into new territory" with an all-new Compass model.
The new vehicle is described as a "modern-styled compact Jeep" that will deliver a combination of "size, performance and fuel economy".
This model represents the first time that Jeep will compete in the compact SUV segment and will be the first Jeep to offer a fuel economy figure of over 43mpg. It will also be unique in its majority use of a front-wheel drive system and of fully independent suspension.
Peter Lambert, managing director of Chrysler UK, explained that this new model is being launched to target an audience that may not have considered the Jeep brand before.
"The Jeep Compass is designed to reach younger and female customers who may not have previously considered the brand but value the distinctive Jeep look and see four-wheel drive as a must-have on their daily drive," Mr Lambert said.
"Customers are increasingly interested in family hatchbacks with four-wheel drive systems as they offer better handling and enhanced safety on the road."
Mr Lambert added that Jeep hopes to fill a space which it believes is being vacated by other 4×4 manufacturers, who are pricing themselves out of the sub-£20,000 segment.