Ok so I'm guilty - I sold the e34 a while back and bought a 1994 Jaguar XJR. Brilliant car by the way, and I will never go back to a manual after driving this!
Recently however my mpg around town has dropped from an average of 16mpg to below 11

On the motorway I can barely get 20mpg being very careful, which is worrying! Other symptoms include a very very slightly rough idle (was absolutely perfect a few weeks ago - you couldn't tell it was running from inside) and sometimes a bit of slight hesitation at low revs.
My thoughts initially was a vacuum leak but having searched my faithful bimmernut I'm now wondering could it be that the o2 sensor has turned gangster on me?! Would this have a similar effect? The drop in mpg seems too drastic to be caused by a very minor vacuum leak to me... Any ideas/thoughts very much appreciated.
(Incase you're wondering I'm posting on here as the Jag forums don't seem tohave the same level of interest/knowledge/motivation as the bimmernut!)