The economy-focused A3 Ultra diesel costs 42.3p per mile to run – making it one of the most sensible lower medium fleet options, in spite of its premium badge, thanks to its strong 39.1% RV figure, very low 89g/km official CO2 figure and 83.1mpg economy.

This means that whole-life costs are identical to the closely related but cheaper-feeling Seat Leon SC 1.6 TDI 110 SE and beat the BMW 116d ED Plus at 43.7ppm, the VW Golf 1.6 TDI 110 Bluemotion at 44.0ppm and the equivalent Infiniti Q30’s 47.0ppm.

The A3 feels as plush as ever courtesy of its high-quality, tactile interior, although our test car featured £8655 of options, making it feel much less Spartan than normal, as standard kit is stingier for the money than in some rivals.

With clear dials and user-friendly controls, the A3 is very easy to drive. The economy-boosting lowered suspension is a touch stiffer than the standard A3, though, meaning the ride can be a little bumpy. However, surprisingly heavy steering and a slick gear change make for an enjoyable drive for an eco model.

As for power, the engine’s economy bent also becomes evident, as it needs to be worked hard to make swift progress, becoming a little gruff in the process, although it offers a similar amount of punch to rival models. Wind noise and road noise on rough surfaces are a little more noticeable than expected, though.

Practicality is strong for a three-door, with the rear seats offering plenty of space for two adults and a usefully large boot. The long doors, though, make getting in and out in tricky in tight spaces.

The A3 Ultra may not initially seem the best-value lower medium hatchback on paper, but strong whole-life costs and the 16% BIK rate make it a wise fleet choice. SE Technik models offer even greater value – including satnav as standard, plus rear parking sensors and cruise control for a minimal premium – at 43.0ppm.

Audi A3 1.6 TDI 110 Ultra

Model price range £18,865-£40,795
Residual value 39.1%
Depreciation £12,835
Fuel £3608
Service, maintenance and repair £1781
Vehicle Excise Duty £0
National Insurance £1395
Cost per mile 42.3p
Fuel consumption 83.1mpg
CO2 (BIK band) 89g/km (16%)
BIK 20/40% per month £56/£112
Warranty 3yrs/60,000mls
Boot space (min/max) 365/1100 litres
Engine size/power 1598cc/110hp