This is all rather peculiar. In its fifth and latest generation, the Volkswagen Golf - and in particular the model being tested here - represents a major step forward in some respects, yet in others it appears to have suffered from a heavy dose of conservatism.The big news in the case of the GT TDI is the two-litre turbo diesel engine. VW's previous 1.9 was a very special unit, but its replacement is in another league entirely. If you judge an engine only on its maximum power figure, you're going to be disappointed here, because the Golf manages a relatively gentle 138bhp.Far more important is the fact that it churns out 236lb/ft of torque at 1750rpm - in the three-dimensional world, that means tremendous mid-range performance and an ability to pull a very high sixth gear with no fuss whatever.Fuel economy is perhaps not quite so dramatic, regardless of what the EU test results may say. In fact, I couldn't persuade the Golf to beat the mileage of the much heavier and more powerful Audi A4 TDI we looked at last week. Miles per gallon figures in the early 40s and a range of just over 500 miles are still good, but not headline material.Of course, different driving conditions produce very different economy results. I rarely wanted to push the Audi very hard because I didn't think it handled well. The Golf, by contrast, handles absolutely superbly, thanks to one of the new range's major improvements.This is the multi-link rear axle assembly, which transforms the car. I always liked driving the Mark IV Golf (unless it was in R32 guise), but the Mark V makes the older car feel as if the rear suspension was doing little more than holding the bumper off the ground. There is never any suggestion - as there sometimes is with the otherwise excellent Ford Focus - that the back end is trying to contribute more than it needs to. With the Golf, the rear simply takes its share of the strain and allows the front to do its own job. Turn-in, even with that heavy engine up ahead, is top-class, and from there to the end of the corner the Golf feels beautifully balanced.The conservatism I mentioned before starts with the styling. This Golf is still recognisably very closely related to the Mark III, which came out well over a decade ago. The current version is attractive, certainly, but it doesn't have the 21st-century air to it that makes the Focus - to some extent - and the Renault Megane - almost overwhelmingly - look like truly modern cars.Previous Golfs have been criticised for lack of space in the rear, and you might have thought that Volkswagen would have devoted great effort to sorting this out. But no. It remains one of the Golf's weak points, and since the same platform is bound to be used for several other products within the VW Group I'm afraid it looks like we're going to be having the same discussion about a good many cars from this stable over the next few years.Obviously there's a limit to how much interior space can be conjured from a car of a given size, but Honda doesn't seem to have had a problem with this in its five-door Civic. The Europeans still have a lot of catching up to do.In one respect the current Golf actually seems to be a step behind the car it replaced. The Mark IV seemed to me to have one of the classiest interiors to be found in any medium-sized hatchback; the Mark V is quite ordinary by comparison. It feels very well put together, but the design and materials suggest (even if misleadingly) a reduction in quality. This is made worse in the TDI by the fact that the diesel engine makes quite a racket from cold, and although that's always going to be difficult for any manufacturer to sort out, it would have been nice to see one of Europe's top car makers putting more effort into it.Despite the negative comments, the Golf TDI is one of the most enjoyable cars I've driven so far this year. But I like it because its performance and handling are close to the optimum I would look for in a practical everyday car, and not everyone will share my views on that. Personally I'm a fan, but I could see how other people might not be so sure.Second opinion: Despite the quite bland appearance, this is a real B-road racer. Sitting 15mm lower than the standard Golf, it has excellent poise for sweeping through the bends, and with that amount of torque in exactly the right place in the rev range it offers instant response when you plant your foot down on seeing the exit. Volkswagen's best turbo diesel engines are very impressive, but in some situations they're a bit noisier than their French rivals, and that applies here. Interior? Fine fit and finish, although no design elements to get the pulses racing. Thanks partly to the generous foot room, there is more rear cabin space than in the Mark IV, but not as much as you'd expect from the longer wheelbase. Quite upright rear seat back, too. Pretty good luggage volume, although the depth is due to the fitting of a space-saver spare wheel. This is a car which relishes being driven briskly, and it would probably need a steady-speed motorway cruise for the "paper" economy to be duplicated in real life. Ross Finlay. Engine 1984cc, 4 cylinders Power 138bhp Transmission 6-speed manual Fuel/CO2 49.6mpg / 154g/km Acceleration 0-62mph: 9.3 seconds Top speed 126mph Price £18,530 Details correct at publication date
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