The new VW Golf R has been generally praised for its dynamic abilities, continuing the tradition of the best overall package set by its predecessor.

The fastest member of the Golf family is using a turbocharged 2.0-liter four-cylinder engine with 315 HP, bolted exclusively to a seven-speed DSG transmission and an all-wheel-drive system. Add the optional Performance Pack, and then you’ll also be able to enjoy the benefits of the Golf R’s ‘Drift’ mode.

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The new Golf R offers sharp responses, great traction with a slightly more playful character than the previous model and excellent straight-line performance in a practical five-door hatchback body with a high-tech interior. It offers a complete package but when it comes to driving fun, it does have quite a few rivals.

It’s no secret that the hot hatch world has been disrupted ever since Toyota decided to give us the GR Yaris, a rally-inspired pocket rocket engineered purely for driving fun, for a price that can be easily considered a steal. Add to that Litchfield’s latest set of upgrades, and the small Toyota is still cheaper than a base VW Golf R. Pistonheads got the two hot hatches together to decide which one is the most fun-to-drive way to spend your money.

Litchfield’s work on the GR Yaris is focused on the suspension and engine tuning, turning the three-cylinder hot hatch into an even faster, more focused machine. The power output has been increased from 257 HP to 300 HP thanks to a new tune but Litchfield has also worked on the car’s handling.

The UK tuning company has added a set of adjustable Nitron coilovers that lower the ride height, improve ride quality and further sharpen the responses from the chassis. The result is a GR Yaris that can swallow a narrow twisty road like no car of this size and price can match. Not even the VW Golf R can follow it.

Another upgrade to the GR Yaris are the new Corbeau bucket seats, which lower the driving position by a massive 40 mm, correcting one of the biggest defects of the Japanese hot hatch.