Nowy model Mk VII (nie było Mk VI) ma silnik R6 o poj. 3,5 l. o mocy 160 KM pochodzący ze sportowego XK 120. Rozstaw osi 305 cm, a długość 499 cm.
Zaprezentowano wersję XK 120 Fixed Head Coupé , a ponadto opracowano samochód wyczynowy XK 120 C (C - competition) znany jako Jaguar C. 210 KM i maksymalna prędkość 260 km/h w powiązaniu z niezawodnością zapewniły mu pierwsze zwycięstwo w wyścigu Le Mans. Kolejny sukces w tej imprezie i pobicie rekordu prędkości na dystansie 10 tys. km sprawiły, że o Jaguarach zrobiło się głośno.
Jaguar Mark VII Saloon was announced in October 1950 and feature entirely new bodywork with full-width styling, bolder curves and a flowing tail. Although this four-door model have a very similar chassis to the Mark V (discontinued in July 1951 ) it is very much a 'saloon equivalent' to the XK120. The exciting XK120 engine (twincarburettor, twin-OHC, 3442-cc, 160-bhp) give it a top speed of over 100 mph. A sliding roof is a standard. Well appointed interior; the instrument panel and cappings are finished in figured walnut. It is priced at £1590.
The sensational 3 ½ -litre-engined open XK120 Sports model, which had been announced in October 1948, was joined by a fixed-head Coupé version in March 1951. The all-metal top has a considerable window area, yet only increased the weight of the car by 168 lb. Total enclosure of the passenger compartment made it possible to provide a more luxurious interior than on the Sports version.
Jaguar XK120C known as the C-type Jaguar, this is a limited-production version for competition work. The fully tuned 3 ½ -litre engine have a 9:1 compression ratio and an output of 210 bhp; an 8:1 compression ratio version of 200 bhp is optionally available. The body is fitted to a tubular metal framework instead of the laminated ash frame used on the road car. This model won the 1951 Le Mans 24-hour race; the wheel was shared by Peter Whitehead and Peter Walker.