The XJR is powered by the supercharged version of the 4.0 L V8. It is also equipped with sport suspension, wider wheels and tyres, and matte-black exterior window trim (except in the US market, where the XJR was given chrome window frames and rain gutters.) Like the Sport model, the XJR has a body-coloured radiator grille surround, but with a stainless-steel mesh insert rather than the normal vanes. Other exterior touches include the "XJR" rear badging and larger exhaust outlets.
The XJR was capable of reaching 97 km/h (60 mph) from a standstill in 5.6 seconds, with an electronically limited top speed of 249 km/h (155 mph).