In a surprising turn of events for automotive enthusiasts and collectors, the infamous Zastava Yugo, a car that is often labeled as one of the worst to ever grace the UK market, is set to make a sensational return. Originally introduced in the early 1980s for a bargain price of £3,000, the Yugo failed spectacularly against competitors like the Austin Metro and Ford Fiesta, largely due to its flimsy construction and poor reliability. According to DVLA records, only seven of the original models remain operational in the UK today, a testament to its lackluster build quality.
The Yugo 45, a rebodied version of the Fiat 127, was launched in Britain in 1981 and gained notoriety for being the cheapest car on the market. Despite production ceasing in 1991 amid the Yugoslav civil war, the Yugo’s fate in the US was no better, where it was quickly relegated to a punch line in comedy sketches.
Now, under the leadership of Dr. Alekasandar Bjelić, a Serbian university professor with ties to the automotive sector in Germany, the Yugo name is poised for revival. At the recent Car Design Event 2025 in Munich, Dr. Bjelić and Serbian designer Darko Marčeta showcased a 1:5-scale model that offers a modern take on the 1980s classic.
The new Yugo is envisioned as an affordable two-door model, with a design that features sleek LED lighting and a sporty silhouette, moving away from its utilitarian roots. While the plan includes gasoline-powered options with manual or automatic transmissions, there are also indications of potential electric variants. A fully operational prototype is expected to debut at the Belgrade Expo in 2027.
This renewed vision for the Yugo not only aims to address the shortcomings of its predecessor but also promises to meet modern safety standards, all while being fun to drive. Given the Yugo’s legacy as one of the most criticized vehicles in British automotive history, there’s an optimistic belief that it has nowhere to go but up.
The effort to bring back the Yugo is not just about resurrecting a brand; it symbolizes hope for automotive innovation in the face of past failures. It’s a chance for a bygone era of affordable, quirky vehicles to make a comeback in a market increasingly focused on sustainability and modern design.