People within Ford of Europe see the new Fusion as targeting ‘white space’ (uncharted territory). They also see it as the first Urban Activity Vehicle aimed at a new generation of young couples with children.

Ford are wrong on two fronts. To my untutored eye, Mazda's Demio, the Suzuki Wagon R and a fleet of similar oddly styled, functional cars which never made it out of Japan's home market, pioneered this particular niche. Citroen Berlingo, Peugeot Partner, Renault Kangoo and the Honda Jazz were also vying for forecourt attention long before the Fusion's arrival. Ford's second mistake is to view the Fusion primarily as a young person's mode of transport.

A tall practical versatile all round vehicle, the Fusion especially the one I’ve being driving, the 1.4 TDCi diesel, actually caters for a huge audience - from the 'targeted' cost conscious families to the Ballsbridge set, the empty nesters and our more senior citizens who will find it so easy to settle into.

Spawned on the new Ford Fiesta chassis, the front-wheel drive Fusion is 103mm longer, 25mm wider and 71mm taller than a Fiesta. It has real presence, provides excellent interior space, good visibility, a high seating position and 200mm of ground clearance.

A huge fan of the latest common rail diesel engines, I found the 67bhp, 1.4 litre Ford / Peugeot-developed TDCi diesel engine very much to my liking. Willing and energetic, without pushing you unnoticing into penalty point territory, Fusion's smooth, no nonsense common rail four-pot manages a 0-62 mph time of 15.5 seconds. And Ford quote a top speed of almost 100 mph. Comfortable in its work without being overly fussy, it’s refined, torquey and very quiet in operation. Above all, this diesel Fusion is a miser on fuel. A return of 64 mpg is claimed under ideal test conditions - while my test, which included mixed driving showed it easily capable of 51-53 mpg.

A gem of a car to drive, the driving position is ideal, the gear change crisp and precise. Fusion's handling is safe and predictable with much more feedback than we get from many a supermini-based rival. And it corners well, too. Like many taller cars, it takes a bit of buffeting from crosswinds. But that we found was generally over the 70mph mark - and on more exposed continental motorways.

Available in three trim levels, entry-level 1 models priced 16,675 euro, ex works, pack dual-stage driver and passenger airbags, central locking, a leather rimmed steering wheel, body coloured bumpers, remote tailgate release and 60/40 split rear seats. . Side and ceiling bags are optional. And alloy wheels will set you back an extra 500 Euro. Wheel size can be specified 15 or 16 inch.

The rest of the line-up includes another 1.4 petrol-powered model with a better specification pack, and a 1.6 litre.