Renault Dacia Logan

It's impossible to judge Renault's new entry-level product without considering its price. For UK buyers, the prospect of a spacious, practical family car for £6,000 is a revelation. But the Logan's boxy styling is a far cry from Renault's sharp mainstream models, and the coarse engines are already behind the times. Yet for those on a tight budget, it's worth a look.

There can be a big difference between a cheap car and one that offers value for money. As soon as the fine line separating bargain and basement is crossed, buyers tend to turn away. This is a problem that's plagued entry-level manufacturers in the UK for decades - but what if you could get a spacious £6,000 machine from a well known European marque?

Enter the Renault-owned and badged Logan. Intended to offer maximum room for minimum cost, it is undeniably basic - but will it have what it takes to convince people that low-cost family cars make sense? As the first few examples rolled off the production line, we jumped at the chance to get behind the wheel and deliver our verdict on the French company's bold attempt at grabbing a slice of the budget sector. The Logan is aimed at growing markets outside western Europe, the USA and Japan - but its design is unlikely to strike a chord with British buyers.

While the boxy shape isn't unattractive, it doesn't look as if it was designed for the 21st century. With dimensions that place it in the compact family class, the Logan is bigger than you might expect and it is at least in proportion. The most memorable details come at the rear, where the sharper angles and upright light clusters give the saloon an attractive finish. Climb inside and the cabin boasts a much more modern and inviting design. The layout is ergonomically sound and it's not hard to find a comfortable driving position.

Given the Logan's price, it's no shock to find that the trim feels cheap and shiny, but what is particularly encouraging is the build quality - everything seems solid and well screwed together. What's more, if you take a seat in the rear, you'll have a surprising amount of room. The Logan is actually 78mm taller than Ford's new Focus, and it shows! Buyers shouldn't be put off by the four-door layout, either, as the Logan has masses of luggage space, despite the lack of a hatchback. Under the bonnet, there's a choice of 1.4 or 1.6-litre petrol powerplants. While the 1.4-engined model is the cheaper, it's the 1.6 that's the pick of the two.

On paper, the larger 89bhp unit's 0-62mph time of 11.5 seconds might not sound too bad, but with low gearing and a coarse engine note it soon becomes a bind if driven hard. Go for the 1.4 and there is no improvement in refinement, while the 0-62mph sprint time rises to 13 seconds.

Out on the road, the new Renault is surprisingly capable, handling like a big Clio. Only the indirect, numb steering lets the Logan down on a twisty road.

In an effort to separate the budget model from Renault's existing line-up, the newcomer will be marketed under a different badge. Back in 1999, the French firm bought car maker Dacia - last seen in the UK in the Nineties with the Duster 4x4 - which will be responsible for Logan production in Romania.

Having invested heavily in the development of an efficient factory, Renault has high hopes for the Logan - it's set a sales target of 700,000 units by 2010. We've no doubt that the robust model will be a real success in eastern European markets, but will it be enough tempt buyers in Britain?

If your new car buying decision hinges on price and space, the Logan's expected entry-level cost of £6,000 will be difficult to resist. There is no question that Renault's new model is cheap, but we reckon it has the potential to leave many customers cheerful, too.