Hundreds of customers and Mini enthusiasts gathered to celebrate the launch of the new model of the Cowley-built Mini last night.

About 200 people crowded into the North Oxford Garage Mini dealership at Long Hanborough to see the new car unveiled before it goes on sale today.

Parent company BMW says demand for the new car has been as great as when the first model was launched in 2001 and dealers believe the waiting list could soon be as long as five months for some models.

Nathan King, sales manager at North Oxford Garage, said: "We have people here who are actually buying the car as well as those who are interested in owning one.

"We have sold out for this year and there is no doubt in my mind there will be a waiting list of up to five months by Christmas."

The dealership marked the occasion by displaying a 1966 Mini Cooper works rally car alongside the newcomers - a fitting tribute to original Mini designer Sir Alec Issigonis, who would have been celebrating his 100th birthday today.

While the new car looks similar to the outgoing model, BMW claims every body panel has been changed while the interior has also been revamped.

Under the bonnet of the Cooper and Cooper S models - which are the first to go on sale - lie new engines produced at the Hams Hall plant in the Midlands. They offer better fuel economy and lower emissions.

An entry model Mini One and a diesel version will be launched next year.

BMW say about 4,000 orders have already been taken. Mini spokesman Angela Stangroom said: "We've been very pleased with orders for the car."

The new Mini Cooper costs £12,995 and the Cooper S is £15,995. Prices are about two per cent more than the first generation of the car.

Chancellor Gordon Brown visited the BMW factory in Cowley last month at the start of production of the new Mini.

ROAD TEST Andrew Smith checks out what the new Mini can do Behind the wheel of the new Mini, you sit low down and it is easy to adopt an 'arms straight out' driving position and imagine you are Paddy Hopkirk at the start of the 1964 Monte Carlo rally.

The new engines even have a sound not dissimilar to the classic Issigonis-designed Mini but when it comes to performance, these cars - the Cooper and Cooper S - would leave their 'grandfather' back in the starting grid.

As soon as you set off, the familiar 'go kart' feel takes over with pin-sharp handling enabling you to nip in and out of town traffic.

There is no hint of 'lag' as the car sprints out of the blocks, reaching 60mph in just over seven seconds. At the same time, it seems more refined than its predecessor.

Having said that, I did miss the whine and occasional unpredictable backfire of the original car.

The grip of the new Mini is amazing and there is a 'sport' button situated in front of the six-speed gear lever, which tweaks the gear ratios to add another dimension to the performance.

Of course, being a Mini, space is at a premium, despite being longer and wider than the old car - and the boot remains tiny.

The Mini remains in a class of its own.