When Toyota launched its first RAV4 back in 1994, it was nothing short of a revolution. Transforming the school run overnight, it brought the rough and tough image of an off-roader to families on a budget. The fact that it was also fun to drive helped ensure healthy sales.

By the time Toyota was ready to launch the third-generation RAV4 in 2006, rival makers had caught up, with their own interpretations of the compact SUV, so Toyota had to deliver something special to regain its lead. It did just that.

Key to the latest RAV4’s popularity are its road manners. As part of what Toyota calls the Integrated Active Drive System (IADS), the RAV4 boasts an intelligent four-wheel-drive setup that can distribute power between both axles without driver intervention. The system also includes Vehicle Stability Control, which helps the driver correct under steer or over steer by applying torque to the steering column. The IADS is so effective that you are unlikely to even notice it working.

The RAV4 offers a choice of petrol or diesel propulsion. The 2-litre petrol unit produces a useful 150bhp and provides a good balance between performance and economy — driven carefully, 30mpg is easily achievable in mixed motoring, while the CO2 figure of 202g/km means annual road tax of £210.

Diesel power is dished up by a 2.2-litre engine in two states of tune: a 136bhp unit and a 177bhp version badged as the T180. The 173g/km of CO2 (from the 136bhp version) or 185g/km (from the 177bhp unit). Such figures do much to explode the myth that 4x4s are gas-guzzling tree killers.

RAV4s are mostly bought by young families, and that’s no surprise, as the lofty driving position affords occupants a feeling of security, and the cabin space is sufficiently generous to accommodate the typical paraphernalia that comes with children. Equipment levels are pretty generous across the range — even the entry-level XT3 gets alloy wheels, alarm, roof rails, air-conditioning, a plethora of airbags (including a driver’s knee-bag) and electric windows.

Buyers wanting a leather-trimmed driving environment need shell out only about £1,250 more to step up to the XT4, which also has dual-zone climate control and an air-conditioned glove box. At the top of the tree, the T180 diesel is attractive on paper, bettering 40mpg and performing the 0-60mph sprint in a little over 9sec. Personally, though, I’d plump for the less powerful diesel.

GEARBOX
Five-speed manual has a good gear change. Expect to pay a £1,200 premium for the optional four-speed automatic transmission

RAV4 T180
As this model has no spare wheel, owners have to rely on the puncture repair kit that is supplied by the manufacturer

SAFETY
Four stars have awarded by Euro NCAP both for adult occupant safety and for child occupant safety

SEATS
Rear seats slide and tilt, and can be folded to create a large, flat area

SERVICING
A dealer visit is needed for a minor service every 10,000 miles or yearly; major service is at 20,000 miles

STEREO
Check that you can hear all radio channels and that the CD player functions correctly

2006 56 Land Rover Freelander II 2.2Td4 S 2007 56 Honda CR-V 2.2i CTDi SE

2007 07 Hyundai Santa Fe 2.2 CRTD GSi

2008 57 Suzuki Grand Vitara 1.9 DDiS X-EC

2008 57 Jeep Patriot 2.0 CRD Limited