Thirty-four years after Volkswagen launched the Mk 1, with its gorgeously proportioned, knife-sharp lines from the desk of the designer Giorgetto Giugiaro, comes the new Scirocco. It may be a Golf GTI underneath the metal sculpture but the Scirocco is 40mm longer, 51mm wider and a full 97mm lower at the roofline than the GTI. These are big numbers and it shows. Park a Golf beside a Scirocco and the former looks like a sad frump.

A third of a century may have elapsed but the new car does the same job the cultish Scirocco did back then – takes ordinary, reliable, proven VW mechanicals and wraps them in a form that will make people point and smile.

There are some delicious design details. The dramatic taper of the rear upper body towards the tailgate results in hugely muscular flanks, a feature emphasised by the shallow rear side glass. And to keep the roofline sweep nice and low all the way to the back, the hatch hinges live under two little roof blisters. That’s just so neat.

The front end is equally eye-catching, with its chrome headlamp surrounds and wide, thin grille. The VW badge has migrated from the grille to the bonnet. It’s a look that you should get used to – VW has dropped strong hints that the next-generation Golf will take styling cues from the Scirocco’s nose.

Grab the door handle and pull and the first thing that’ll strike you is how big the pillar-less doors are. The next thing you’ll notice is how low and snug the driving position is and what a great range of reach and rake adjustment the steering wheel has. The steering wheel itself, fat and squared off at the bottom, feels terrific in the hands. And the sense of quality in the cabin’s materials and construction is instantly apparent, although rear vision isn’t great because of the shallow rear glass and imposing rear headrests.

As always, you pay a price for the style. The back seats aren’t bad for short trips, but your hair will stick to the ceiling if you’re much more than 6ft tall, and two adults will enjoy intimate shoulder contact. Then there’s the view through the letterbox rear side windows. Or, rather, there isn’t.

The style penalty continues with the boot, which is predictably small (58 litres less capacity than in the Golf GTI), but the rear seats fold down so you can put large objects in. Which you may not want to do, because the load lip for the boot is very high. Again, VW explains that this was necessary aesthetically – any lower and the car’s bum would look ungainly.

When the Scirocco hits showrooms on September 1, it will have a 197bhp 2 litre turbocharged engine, with a six-speed manual gearbox or VW’s excellent six-speed DSG dual-clutch auto with paddle shifters. Early in 2009 a 158bhp 1.4 litre engine with a six-speed manual or seven-speed DSG, as well as a 138bhp 2 litre turbo diesel, will join the range.

Under the skin the Scirocco is also well designed. It has a wider front and rear track and a lower centre of gravity than the Golf GTI. It comes with something called adaptive chassis control, which alters the damper stiffness according to how the car is being driven. It has sport and comfort modes too – you’re nothing in this business without modes.

I tried the 2 litre turbo petrol with the DSG transmission (a £1,330 option). In normal mode, the Scirocco behaves like a grand tourer: high-speed cruising is refined and relaxing. Engage sport mode, though, and the Scirocco can be punted along twisting mountain roads with surprising haste, the DSG transmission holding each gear to the red line and executing seamless downshifts, complete with a blip of the throttle.

Even with its beautifully balanced handling and outstanding body control, though, the Scirocco felt strangely inert. Perhaps it was the steering, which lacked feedback, even in sport mode. I’d love to drive the Scirocco back to back with the top Golf GTI. It wouldn’t be a walkover for either, I reckon.

The truth is, the Scirocco probably drives just as well as it needs to. Because the salient point here is how you look when you arrive, not the fun you had in getting there.

Vital statistics

Model Volkswagen Scirocco 2.0 TSI
Engine type 984cc, four cylinders
Power/torque 197bhp @ 6000rpm / 206lb ft @ 1700rpm
Transmission Six-speed DSG dual-clutch automatic
Fuel/CO2 37.2mpg (combined cycle) / 179g/km
Performance 0-62mph: 7.1sec. Top speed: 146mph
Road tax band E (£170 for 12 months)
Price £22,270
Verdict Great-looking cruiser with plenty of dynamic ability
Date of release September 1

The opposition

Model Volvo C30 T5 R-Design SE Sport, £21,285
For Probably the best-handling Volvo ever
Against Engine can be thirsty when pushed

Model BMW 125i SE, £23,425
For Superb build quality, great engine
Against Still looks a bit odd