WE BRITS just love high spec compact saloons. And if they have a prestige badge, all the better.
It is this attraction that has led to the amazing success of the BMW 3-Series over here and the bevy of models that have followed suit such as Audi A4, Lexus IS200 and Jaguar X-Type.
As the large saloon's popularity has waned, the luxury small car has surged ahead. Which is why there has been so much resting on the new Volvo S40 range, a broad line-up spanning diesel, two-litre petrol and ultra-high performance 150mph T5, with parallel estate versions branded V50.
The common denominators in all the models are quality and prestige and an aura that these cars are a cut above your average mass produced fleet cars, despite being sharply priced.
Our affection for small Volvos goes back nearly three decades to the ungainly 340 born from a strange alliance the Swedes had with the Dutch firm Daf.
The S40 followed and although more appealing looking it lacked the dynamics of its peers. It was vital that the new generation S40 not only had the renowned Volvo qualities of safety and longevity but it needed to drive and handle as well as the new breed of sports saloons.
Launched in February, the S40 is actually slightly shorter than the old model yet all the other dimensions including legroom, wheelbase and height are greater.
With a range which spans the £16,000-£23,750 bracket, I tested the 2.4i SE which has a 170bhp five cylinder engine and comes in at £20,863.
Volvo is now owned by Ford and the new S40 is built on the same platform as the next generation Focus and is all the better for it. Its new monocoque body structure is impressively rigid, a vital factor for good handling.
It also has multiple crumple zones which use four different grades of steel to ensure that deformation in crashes is best controlled.
With a useful 170bhp on tap, the 2.4i is a strong performer and will top 137mph and rattle off the 60mph dash in eight seconds, yet there's a relaxed quality about the long-stroke five cylinder engine.
It feels remarkably unstressed at all times despite an ability to average high speeds over long distances.
There's some cornering roll on tight bends but the car's stability is top class and it is dynamically hugely superior to its predecessor. It has many of the qualities of the larger S60 yet feels more agile over tight country roads.
The cabin is swish and classy with a fancy backless centre console that Volvo bosses got very excited about at the launch, even calling it 'the ultimate design icon.'
It does however free up space behind for storage which is a good thing. High doors increase the impression of security and the front seats are superb.
Legroom in the front is over-generous and those in the rear fare well too. The boot is large considering the length of the vehicle but the aperture through which luggage must be lifted is narrow so loading can be awkward.
Safer and more solid than ever, the newest Volvo is also more satisfying to drive and its cab-forward, chunky look is likely to win over greater numbers of younger buyers.
FAST FACTS
Volvo S40 2.4i SE
Price: £20,863
Mechanical: 170bhp, 2,435cc, 5cyl petrol engine driving front wheels via 5-spd manual gearbox
Max speed: 137mph
0-62mph: 8.2 secs
Combined mpg: 33.2
Insurance group: 13
CO2 emissions: 203g/km
BiK rating: 26%
Warranty: 3yrs/ 60,000 miles; 3yrs paint; 8yrs anti-rust