The Golf R uses the same 2 litre, turbocharged engine found in the GTI but a number of changes (modified cylinder head, exhaust valves, valve seats and springs, pistons, injection valves and turbocharger) increase power to 300bhp and 280 lb ft of torque.
That power is transferred to the road via the latest Haldex 4MOTION four wheel drive system. Under normal driving conditions 100% of the power is transmitted to the front wheels, however when required nearly 100% of the power can be transferred to the rear wheels.
Ride height is 20mm lower than a normal Golf and 5mm lower than the GTI. The springs and dampers are specially tuned for the R.
The Golf R gets a modified front bumper, air inlets, sills and quad tail-pipes. It also gets new daytime running lights and various R touches inside - including Alcantara trim.
Now for the best part. The Mk7 Golf R gets either a manual or DSG gearbox. With the manual it does 0-62mph in 5.3 seconds. With the DSG it does 0-62mph in 4.9 seconds.
Holy moly that's fast for a hot hatch. That's faster than any front wheel drive hot hatch, such as the Focus ST, Megane 265, V40 T5 or VXR. That's faster than a Boxster S or Cayman R. That's faster than an M135i.
The only car in its league that's faster is the Mercedes A45 AMG which does 0-62mph in 4.6 seconds - with an extra 55bhp.
The Golf R will be launched at the Frankfurt Motor Show in September. It will probably cost around £32,000 - equivalent to an Audi S3.