McRae out on SS8 with engine failure (updated)

McRae, who had been seventh overall, said the engine failed with virtually no warning. The four-cylinder unit lost all oil and water pressure and lapsed onto three cylinders before grinding to a halt just one kilometre from the stage finish.

Ford team boss Malcolm Wilson said: "Two or three kilometres before it happened, Colin felt the engine starting to lose power, then it suddenly lapsed onto three cylinders and just stopped.

"We don't know the exact cause, but the exhaust manifold around the turbo has been damaged. There are some pieces missing, but we don't know if that's the cause."

The retirement is McRae's second in three events and leaves him stranded on zero drivers' championship points. A car has been dispatched to pick up the luckless Scot and co-driver Nicky Grist.

More news as we get it.

Subaru's Petter Solberg has also retired on SS8. The Norwegian was forced to stop and try a running repair after damaging his front suspension, but was unable to continue.