The power unit was a single carburettor version of the 1,250 cc engine used in the latest MG-TB. This engine, the XPAG, went on to power both the MG-TC and MG-TD series. The MG Y Type saloon developed 46  bhp at 4,800 rpm, with 58.5 lb ft of torque at 2,400 rpm, the YT Tourer (with the higher lift camshaft and twin carburettors) develop . With the exception of only the Rover Ten, which managed 2 additional bhp, the "Y" Type had more power than other British saloons of similar size. Indeed at the time many manufacturers were still producing side valve engines.
