Renault Clio

More stylish, well built and better to drive, the latest Clio is a big improvement. The current model's poor driving position, refinement and cabin quality - have all been addressed. And by making it bigger, the new Renault feels a spacious, grown-up car. It may not be the most fun to drive, but with strong safety credentials, a good engine range and decent equipment, it's a fine effort.

But the French supermini has been feeling its age of late, stung by criticism of its lack of refinement and build quality. It has been under pressure from the imminent arrival of the new Fiat Punto, Peugeot 207 and Corsa, plus a revised Fiesta too. Renault knew a replacement was needed...

And here's the result, the third-generation Clio: a car with nearly a billion Euros of development behind it, and a lot more resting on its shoulders. We have already been impressed by pre-production examples - but is the finished article as good? As soon as you lay eyes on it, it's clear that the Clio is a vast improvement. From the front to the back, it's a more confident design: big, bold headlights and a neat split grille combine with a rising shoulder line and a M�gane-style rear end to give the newcomer road presence.

But it was on the inside that Renault needed to make the biggest leaps forward. And it has. Fit and finish are now much better, with tactile plastics complementing the logical dash layout and well chosen contrasting trim colours.

Thanks to a lower seating position, it's easier for tall drivers to get comfortable, and adding to this is reach-adjustable steering for the first time. However, it's a shame the latter is only available as a £250 option on mid-spec Dynamique models and above. It really should be standard across the range. That said, equipment levels are very good and only the base Extreme versions come without air-con, while optional goodies include an electric panoramic glass sunroof, sat-nav and adaptive xenon lights.

It's spacious, too. The newcomer is 170mm longer than before and only 220mm shorter than the M�gane. Rear kneeroom has improved by 30mm and there's good headroom, even for six-foot passengers. Boot space, at 288 litres, is also impressive.

The increased dimensions, together with a stronger safety structure, mean weight has gone up by 130kg. But with a five-star Euro NCAP crash rating, few buyers will complain.

Under the bonnet are a choice of three petrols - 75bhp 1.2, 98bhp 1.4 and 111bhp 1.6 - and three 1.5-litre diesels in 68bhp, 86bhp and 106bhp forms. Renault expects the 1.4-litre petrol to be the biggest seller. On test, the 98bhp unit felt lively, and it offers 43mpg and a refined engine note.

We also tried the 86bhp and 106bhp diesels, which give stronger low-down urge and 60mpg-plus economy, while the 106bhp version benefits from a precise new manual gearbox. But they carry price premiums of £900 and £1,600 respectively.

On the move, the Clio delivers a comfortable ride, insulates its occupants well from road and wind noise - even at motorway speeds - and feels stable during cornering. The only letdown is the electric power-steering, which is vague and too light at times.

Prices are around £500 more than on the current model, but this seems reasonable as the new Clio is a very strong package for family car buyers.