The Subaru WRX and WRX STI are due for a refresh in 2019, but the forthcoming models are too large to compete in the World Rally Championship.

That may be why, according to new rumours, Subaru could be working on building a brand-new hot hatchback—just to field it in the WRC.

The new vehicle would be a competitor to the small Toyota Yaris and the Ford Fiesta.

Currently, Subaru doesn’t have a vehicle eligible for competition in the WRC, but a report from Spyder7 suggests this rumoured hatchback could be just the ticket.

The B-segment vehicle could take design inspiration from the VIZIV performance concept, with a powertrain from the Levorg wagon, a 1.8-litre turbocharged flat-four.

The decision to cut the hatchback version of the WRX and withdraw from the WRC has resulted in a declining presence for Subaru in Europe. The WRC had no Japanese teams between 2009 and 2016, but since Toyota returned in 2017, Subaru wants back in, too, for 2019.

Japan lost the bid to host the WRC for 2019, but are working on hosting for 2020 to coincide with the Tokyo Olympics.