A faint new radio source has been detected in the nuclear region of the starburst galaxy M82 using MERLIN radio observations designed to monitor the flux density evolution of the recent bright supernova SN2008iz. This new source was initially identified in observations made between 1-5th May 2009 but had not been present in observations made one week earlier, or in any previous observations of M82. In this paper we report the discovery of this new source and monitoring of its evolution over its first 9 months of existence. The true nature of this new source remains unclear, and we discuss whether this source may be an unusual and faint supernova, a supermassive blackhole associated with the nucleus of M82, or intriguingly the first detection of radio emission from an extragalactic microquasar.