More than two decades after the name first appeared in the UK, the introduction of the 160SR marks Nissan's first attempt at selling what could conceivably be thought of as a performance version of the Micra. Launched at the same time as the third-generation car gets a mild facelift, the SR uses a 1.6-litre engine not previously seen in the Micra range but developed from a 1.5-litre unit already used in the Japanese-market Note and Tilda models.From its maximum power output of 109bhp you can see that this engine makes the 160SR a warm rather than a hot hatch - straightline performance is decent, if by no means stunning. But warm hatches have their appeal too. There isn't the same temptation to take them to the red line in every gear because they perform nearly as well in the mid-range as they do at maximum revs. The 160SR is just like that: you can take it up to 7000rpm if you must, but you won't lose much by changing up a great deal earlier.Whatever you do, though, you can be fairly certain that the rest of the 160SR will be able to cope with anything the engine can throw at it. The suspension has been set up very sweetly (by the same people who reworked the 350Z sports car for European customers), and the result is a sharply responsive front end and an obediently following rear, all combined with ride quality which is more than acceptable for a car of this kind.My only reservation is that the behaviour of the rear depends largely on the amount of body roll. This works well enough on smooth roads, but at one stage I took the 160SR on a hilly route with alarming camber changes. It wasn't always clear how the back of the car would react as the tarmac twisted and heaved underneath it, and although there were no specific tricky moments I would always want to be extra careful in these conditions.I had to be careful in any case, because I couldn't get far enough away from the major controls to be able to operate them as quickly as I needed to. This isn't a major issue in most Micras because there is rarely any occasion to dance around the pedals when you're puttering around the urban landscape. In the case of this particular model, though, I suspect that anyone over six feet in height will struggle to get the best out of it.The 160SR is exceptionally well-equipped by Micra standards. It has virtually all the goodies fitted to the Micra Sport (body coloured styling equipment, tinted headlamp covers, sports gearlever and front foglights, for example) and also boasts aluminium-look pedals and 16" dark alloy wheels which are only optional on the Sport.At the same time, it shares much of its specification with the range-topping SVE, such as rain-sensing wipers, a multi-functional glovebox and side curtain airbags. The 160SR is also the only Micra fitted with an Electronic Stability Program.Nissan quotes the Citroen C2 VTR, Ford Fiesta Zetec-S and MINI One as the 160SR's principal rivals. External appearance may settle the deal for some (the Micra may look a little too cute for its own good in this company), while brand loyalty and dealer location will be important factors too. On price, performance and driving experience, though, the Nissan is right up there with the opposition. Engine 1598cc, 4 cylinders Power 109bhp Fuel/CO2 42.8mpg / 158g/km Acceleration 0-62mph: 9.8 seconds Top speed 114mph Price £9995 Details correct at publication date