The first Ford Fiesta rolled off the production line 26 years ago and in that time the car has endeared itself to around 10 million customers worldwide. While the design has been regularly updated, the essential shape has remained the same ... until now.

The new car, launched at last year’s Frankfurt Motor Show, is taller and bigger inside and can now carry four full-sized people in comfort - five at a squeeze, and nobody will have to duck their heads - rear passengers now have the same amount of headroom as the second-row seats in a Ford Galaxy, the marque’s big MPV.

The new model is compact, square in shape, and squat in stance. It’s also one of the most attractive looking cars in the hotly contended Supermini segment.

Customers can choose between three trims, the Finnesse, Lx and Ghia.

All cars sold here are 5-door hatchs as 3-door versions will only be available from January 2003.

The all-new Fiesta comes with an Intelligent Protection System pioneered by the Ford Mondeo which brings large-car safety features into a small Ford car for the first time. Here, sensors monitor the severity of an impact and activate the most appropriate safety devices within a fraction of a second.

As well as its rigid body structure, the Fiesta has steel beams inside the doors to help protect passengers. Also, the brake pedal is designed to collapse at the moment of an impact to help reduce the risk of leg injury.

All five seats are fitted with three-point inertia reel seat belts but front seat belts are also fitted with pre-tensioners. While rear headrests are standard in the Ghia version, they won’t be available in the Finnesse or LX models until 2003.

The car under review is the 1.4-litre LX petrol. We had it out during a spell of hot, clammy weather and the lack of air conditioning became quickly apparent. It’s an optional extra but comes as standard in the Ghia. Other options for the LX include park assist, which I believe we’ll soon see as standard in all cars because such systems are actually cheaper than bumper replacement costs.

Inside, the car has a bright and cheery look. Cloth seats are nice and comfy and come in a pale grey with a pattern inset. I particularly liked the mix of materials and the light charcoal coloured carpet throughout the cabin.

The dash has an interesting look to it with four prominent air vents which are made a style feature with chrome-look surrounds. Instrument dials are white on black with an orange wand.

Cubbies are good throughout the cabin. The circles of the base of the gearshift reminds me of the Beehive building in Wellington, the seat of the NZ Parliament. It’s a lovely building by the way.

The way the three-spoke steering wheel is designed, I could see the whole of the instrument panel through it when driving. Always a good point, but not always the case.

The review car had dual-stage airbags in the front which open at different rates depending on the severity of an impact. A combination of up to six airbags is available for extra spend.

Other standard features in the LX include a CD, electrically operated front windows and door mirrors, remote central locking which includes tailgate release, and a light in the boot. That same boot is fair sized, and should carry everything from a baby buggy to a set of golf clubs. Or two suitcases and a couple of sports bags for a weekend away.

Narrow rear lights extend up each side of the rear window and help to make the back quite distinctive, even handsome.

Overall, the new Fiesta is powered by a new range of petrol and diesel engines starting with the 1.3-litre Duratec 8V petrol engine. This is available in the two lower trims which also include 1.4-litre diesel engines. The upmarket Fiesta Ghia offers both 1.4- and 1.6-litre petrol options.

Visibility is very good, due to the large amount of glass (tinted). Besides the steeply raked window up front and the good sized rear window, the car features three windows to each side, with the front side windows extending forward to the side mirrors.

There’s also a nice big dotted area on the windscreen to keep the sun from your eyes.

Out on the road, the Fiesta is a good drive. The 1.4-litre engine is perky enough and the ‘squatness’ of the design of the car helps it hold the road well.

But the engine in the review car liked to be revved high to get the most from its power and this can make it a noisy car to drive, depending on your driving style. I suspect the 1.3-litre will be more amenable to easy driving. There was also more road noise from the tyres than I expected and this is something Ford may have to deal with in an Irish roads context, either with a tyres change or better soundproofing.

Still, I’m sure the new Fiesta will find favour with the thousands of very satisfied customers who already drive the car, and who will probably stick with the brand they know when trading up.

Competitors include the Seat Ibiza, Volkswagen Polo, Renault Clio and Opel Corsa.

Prices for the 1.3-litre Finnesse start at E14,895. The 1.4-litre LX diesel costs E16,945. Top of the range is the Ghia 1.6-litre at E18,295.