BMW M240i vs M2: M Performance or Full M-Car?

M240i vs M2 is the classic M Performance vs full M-car decision in compact BMW coupe form. M240i (B58 inline-six, F22 then G42) is the M Performance trim: fast, ULEZ-compliant, well-priced. M2 (F87 then G87) is the full M-car: M-specific suspension, brakes, differentials, and engine internals. Same body class, different engineering philosophies, around £6,000 to £15,000 price gap depending on spec and generation.

Quick verdict

M240i for the daily-driver fast coupe; M2 for the focused M-car experience. M240i has simpler service profile (B58 with no rod-bearing requirement), lower insurance, broader UK used pool. M2 has M-specific engineering and the special-edition collector potential (M2 CS, M2 GTS rumour). For most UK buyers M240i is the rational pick; for enthusiasts M2 is worth the premium.

Side-by-side comparison

DimensionM240iM2Notes
Engine B58 single-turbo I6 N55 (original M2), S55 (M2 Comp / CS), S58 (G87 M2) M240i has one engine spec; M2 has three across two generations.
Power (modal F-gen) 335 bhp (F22 M240i) 365 to 444 bhp (F87 M2 across specs) M2 Competition / CS exceed M240i; original M2 sits below.
Power (modal G-gen) 374 bhp (G42 M240i) 453 to 473 bhp (G87 M2) G87 M2 has significant power advantage.
Drivetrain F22 RWD; G42 xDrive standard RWD only (both F87 and G87) G42 M240i went xDrive-only; M2 stays pure RWD.
M Sport Differential Standard on M240i Standard on M2 (M-spec LSD) Both have LSD.
Suspension M Sport adaptive (option) M-specific suspension M2 is fundamentally different chassis tuning.
Brakes M Performance compound M-specific brakes (larger, often M Carbon Ceramic option) M2 brakes are significantly upgraded.
Mandatory preventative None established S55 rod bearings on M2 Comp / CS (£1,500-£2,500) Original M2 and G87 M2 don't have this.
Insurance group Group 40 to 43 Group 44 to 50 M2 commands meaningful insurance premium.
Used market in 2026 £22-£34k F22, £30-£45k G42 £25-£100k F87, £55-£75k G87 M2 has wider spread due to CS / GTS specials.

M240i: deeper look

M240i (M Performance) is the M2's cheaper alternative. F22 M240i (2017 to 2021, LCI of F22): B58 inline-six single-turbo, 335 bhp, RWD, manual or 8-speed auto. Standard M Sport Differential, M Performance brakes, M-tuned suspension. The character is fast-and-refined rather than focused-and-aggressive. G42 M240i (2022 onwards, current generation): xDrive standard, 8-speed auto only (no manual), 374 bhp. UK used prices in 2026: F22 M240i £22-£34k, G42 M240i £30-£45k. Service profile is the standard B58 picture (charge pipe upgrade, oil filter housing gasket, walnut blast); no M-specific preventative work required.

M2: deeper look

M2 (full M-car) is engineered differently. F87 M2 (2016 to 2021): original M2 with N55 (365 bhp), M2 Competition with S55 (410 bhp), M2 CS with S55 (444 bhp, ~2,200 globally). G87 M2 (2023 onwards): S58 with 453 bhp auto or 473 bhp manual, no Competition or CS yet. M-specific suspension geometry, M-specific brakes (often larger discs), wider track. The M-car character is sharper: tighter steering, more aggressive damping, more communicative feedback. Service profile includes the S55 rod-bearing preventative on M2 Competition / CS (£1,500-£2,500). UK used prices in 2026: F87 £25-£100k across specs, G87 £55-£75k.

Decision logic

Budget plus character preference. £22,000 to £35,000: F22 M240i or original F87 M2. F22 M240i is the easier daily-driver; original F87 M2 is the more focused M-car at similar money. £35,000 to £50,000: F87 M2 Competition or G42 M240i. M240i Comp is more refined; M2 Comp is more focused. £55,000 to £75,000: G87 M2 (if you want the latest M2) or M2 CS investment (appreciating). M240i is universally simpler ownership; M2 is universally more focused driving. The decision is rarely about objective performance (both are extremely fast); it's about character and how you use the car.

UK 2026 pricing comparison

ScenarioM240iM2Notes
F22 M240i, 40k mi £22,000 to £28,000 Original F87 M2 £25-£32k Similar entry money; different cars.
G42 M240i xDrive, 25k mi £34,000 to £42,000 F87 M2 Comp £38-£48k Modern M240i vs S55 M2.
Cherry low-mile examples £28-£45k (F22 / G42) £75-£100k (F87 M2 CS) M2 CS commands serious premium.
Current top-spec G42 M240i Coupe £45k G87 M2 £65-£75k G87 M2 is £25-£30k premium over G42 M240i.

Recommendation by scenario

ScenarioPickWhy
Daily-driver fast coupe F22 M240i or G42 M240i Simpler service, lower insurance, ULEZ-compliant, comfortable daily.
Focused M-car character at sensible money Original F87 M2 (N55) Cheapest path to full M-car ownership; smaller, lighter, more focused than M240i.
Track-day enthusiast F87 M2 Competition or M2 CS M2 Comp / CS are the track-focused picks; M-specific brakes and suspension; rod-bearing preventative required.
Daily plus occasional track G87 M2 manual or G42 M240i xDrive Both work; G87 M2 for sharper feedback; G42 M240i for daily comfort + track-day capability.
Investment-grade buyer F87 M2 CS (~2,200 units) Appreciating; CFRP bonnet / roof / spoiler; semi-slick tyres standard.
Tight budget (sub-£25k) F22 M240i Coupe Cheapest path to B58 inline-six ownership; £22-£28k buys a good example.

Bimmer.AI is designed to help you identify BMW-specific buyer risks before you travel, negotiate, or pay for an inspection. It does not replace a physical inspection by a qualified mechanic, a legal vehicle-history check (e.g. HPI Check), or independent verification of finance, stolen, or write-off status. Repair-cost ranges are indicative UK figures that vary by region, specialist, parts supply, and labour rates.

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Frequently asked questions

Is the M2 really better than the M240i?

Different cars rather than strictly 'better'. M2 has M-specific suspension, brakes, differentials, and engine internals that change the driving character to be more focused and aggressive. M240i is more refined, simpler to service, ULEZ-compliant on every build, lower insurance. Performance-wise both are extremely fast; the M2 advantage is feel and feedback, not raw lap times.

Should I buy an M2 or save money with M240i?

For 80% of UK buyers, M240i is the rational pick. ULEZ-compliant, simpler service, lower insurance, broader used pool. For the 20% of enthusiast buyers who care about M-car character, M2 is worth the £6-£15k premium. The question is genuinely about how you'll use the car, not just performance numbers.

Why does the M2 cost more than the M240i?

M-specific engineering. The M2 has different suspension geometry, M-specific brakes, M Sport Differential calibration, M-specific engine internals (especially on S55 / S58 cars). The body is widened slightly. Production volume is lower than M240i. All of this drives the £6,000 to £15,000 premium depending on spec.

F22 M240i RWD or G42 M240i xDrive?

G42 M240i went xDrive-standard from 2022; F22 M240i was RWD-standard. The G42 xDrive is the daily-driver pick (better year-round, better straight-line traction); the F22 RWD is the analog pick (purer, lighter, manual option). G42 M240i added power (374 vs 335 bhp) and modern tech, dropped the manual.

Is the M240i ULEZ-compliant?

Yes. B58 is Euro 6 from launch. F22 and G42 M240i are uniformly ULEZ-compliant.

M2 Competition (S55) or M240i?

Different cars in similar money. M2 Comp is the focused M-car: 410 bhp, M-specific engineering, mandatory £1,500-£2,500 rod-bearing service at 50-70k. M240i (G42) is the M Performance daily: 374 bhp, simpler service, ULEZ-compliant, xDrive. For occasional spirited driving M240i wins on practicality; for track use or M-car character M2 Comp wins.

Will the G87 M2 hold value better than the G42 M240i?

Most likely yes, especially if BMW issues a CS or GTS variant on G87. Full M-cars historically hold value better than M Performance trims. M240i depreciates more aggressively. G87 M2 base prices are around £55-£65k in 2026; G42 M240i is £30-£45k.

What about the F87 M2 CS for investment?

M2 CS (2020-2021, ~2,200 units globally) is firmly investment-grade in 2026. CFRP bonnet, roof, and spoiler; semi-slick Cup 2 tyres standard. Used prices £65-£100k depending on mileage. Likely to appreciate over the next 5+ years. Not an M240i alternative; it's a different investment proposition.

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