Audi A4 2.0 TDIe SE

The Audi A4 has been a thorn in the side of the BMW 3 Series for years – but in terms of carbon emissions, it has always come off second best.

The original A4 TDIe was Audi’s first attempt at an eco-friendly special and actually went on sale before the 320d ED. Yet with official economy of 61mpg and a CO2 output of 119g/km, it wasn’t much cleaner than the standard diesel.

So to ensure that the A4 is more competitive this time around, Audi is now offering the updated 2.0-litre TDIe in two states of tune. The cleanest version is still the 134bhp model we’re testing here, which promises economy of over 65mpg and 112g/km emissions.

The TDIe is only available in SE trim, so it’s harder to spot the subtle changes that have been made to the exterior styling for the 2012 A4. A reshaped bumper featuring flatter air intakes and a tweaked headlight design set the newcomer apart from the old car, while smart 17-inch alloys are standard.

As is the case with the BMW, there are no tell-tale badges to alert other drivers to the fact this is a low-emissions model. In fact, the only exterior difference from a regular A4 is that the suspension is lowered by 20mm to help improve the aerodynamics and save fuel.

Inside, the light grey dashboard looks a little sombre after you’ve spent time in the driver-focused cockpit in the BMW, but as you would expect from any Audi, the build quality is top notch.

It also matches the 320d ED for standard equipment. Bluetooth, cruise and climate control and rear parking sensors are all included. Upgrade to SE Technik trim and you’ll pay £1,100 extra, but benefit from leather seats and DVD-based sat-nav – and all of this kit costs a lot more as separate options in the BMW.

The interior is as spacious and practical as before, and although rear headroom is a bit tight the Audi does come fitted with 60:40 split/folding rear seats as standard.

Once you’re on the move, the car initially impresses. Its engine is smoother and more refined than the BMW’s at lower revs, plus wind noise is well suppressed. All the major controls have a light and precise action that makes the car easy to drive, but the whole set-up is geared towards driver comfort rather than handling poise.

Although owners can vary the amount of steering resistance by changing the settings in the £220 optional Drive Select system, none of the presets offers much feedback.

At the track, the Audi trailed the BMW in all of our acceleration tests. We rated the cars in wet conditions, and we’re certain the difference in performance would have been even wider if the tarmac had been dry.

But the A4 was also left behind at the pumps. Over our mixed test route, it returned 47.8mpg – that’s over 8mpg less. Servicing costs are higher and residualsweaker, plus the TDIe emits 3g/km more than the 320d ED, at 112g/km. So despite its lower price, it’ll be a more costly company car, and that could be the deciding factor in this test.

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Chart position: 2Why? While it can’t match the BMW’s official economy, the updated A4 TDIe is cheaper and has class-leading build quality and refinement.