As soon as  Jaguar had successfully completed its acquisition of  Daimler, it was essential for the company to develop a hybrid model that would both make a profit and enhance the old marque's image. 

 The result was the 2.5-litre (155 cu in) saloon, rebadged in 1968 as the V8 250. 

Since the Jaguar-Daimler merger of 1960 the appearance of a combination model had been prophesied and was awaited with considerable interest.

In October 1962 the resultant model appeared, Sir William Lyons having characteristically combined the best that both concerns had to offer in an aesthetically attractive and sophisticated model, the Daimler 2.5-litre saloon

Jaguar took the best elements from each product line and combined them.

The basis for the new model was easily recognisable as Jaguar's Mark 2 , a curvaceous and compact-looking saloon, although regarded as being slightly disproportianate at 457cm (15ft) long.

Usually powered by Jaguar's legendary XK twin camshaft powerplants, transplanting Daimler's own small V8 was a masterstroke.

Peviously used to power the SP 250 sports car, the engine was perfectly suited the lithe Jaguar

The Daimler VS engine was designed by Edward Turner, while Sir William Lyons provided the design for the Mark II Jaguar body.

Together they made up a perfect combination of style and speed.

Using the Jaguar Mark II body shell, with its coil-and-trailing wishbone ifs system, and live rear end on cantilever leaf springs with radius arm and Panhard rod location, the new car was powered by the SP250 V8 engine, producing 140 bhp gross.

Most 250 V8s came fitted with automatic transmission.  

The V8 slotted in neatly to the existing engine bay and was lighter than the six-cylinder XK engine, so suitably modified spring rates were adopted to make the most of the more even front/rear weight distribution thus afforded.

The 2.8-litre saloon was further modified in February 1967 when the Jaguar manual gearbox with optional overdrive was introduced in one variant, and in October the 1968 model was announced as the Daimler V8-250. 

 Available in either right- or left-hand drive format, the latest Daimler inherited some of the Sovereign's trim features such as reclining front seats and a heated rear screen, and an alternator replaced the original dynamo.

Mechanically the V8 was basically unchanged while internally the new Daimler was similarly trimmed and comfortably appointed to the standard Mark II Jaguar range, offering phenomenal value for money.

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