MERCEDES has contested the compact premium saloon market with BMW for more than three decades.

Like two heavyweight champions the two have slugged it out in the centre of the ring but neither has managed to land a genuine knockout blow.

BMW has snagged the bragging rights to driver enjoyment while Mercedes has usually had the edge in build and refinement.

By pairing its 2.1-litre four-cylinder diesel with a battery-powered electric motor (the same hybrid powertrain as used by the £73,000 S-Class) Mercedes has managed to steal a slender advantage on its bitter rival - but is that enough to floor the class champion?

ON THE ROAD: The C-Class has other advantages - it’s the sharpest-looking compact saloon Mercedes for years and it sits on a new lightweight modular platform that will underpin a new generation of larger Mercs in the coming years.

It’s quick, too. Pairing the 201bhp diesel with the electric motor’s 27bhp helps the C300 crack 60mph in less than six seconds thanks to the motor’s instant torque and the diesel’s impressive low-down shove.

The hybrid drivetrain is very smooth. It’s possible to waft around at walking pace running on battery-power alone, but only if you’re going slowly and not travelling very far. The diesel kicks in with the usual grumble when you move away from the kerb and the electric motor helps out when it can. A coasting mode decouples the diesel and switches it off when cruising.

What’s really impressive is the way the C300’s powertrain switches between diesel, electric and coasting modes almost imperceptibly. I wasn’t aware of the various systems shuttling power around the car, just a smooth build up in power as the C300 accelerated.

The only clue to the hybrid driveline is the regenerative brakes’ tendency to grab at slow speeds, which makes smooth stops a hit ‘n’ miss exercise.

It’s not a particularly sporty drive but the steering is nice and responsive and the ride is excellent. The C300 has the sophisticated, well-resolved feel of a car costing much more.

 

The Northern Echo:

ON THE INSIDE: Mercedes has clearly taken lessons from Audi on the inside. Until now the posh arm of the VW empire held class honours for the quality of its cabins but the Mercedes C-Class makes the A4 looks positively staid.

There are some lovely touches - silver metallic tweeters in the doors, metallic eyeball air vents, and knurled metallic switchgear - and the quality doesn’t end where the eye doesn’t see. The C-Class feels like a compact S-Class from the driver’s seat and it doesn’t get better than that. Nothing in this class comes close.

If there’s a chink in the armour it’s that the ‘Comand’ mouse-style interface takes some getting used to but that’s small beer compared to the sheer quality on offer.

WHAT DO YOU GET: Your 36 grand buys you cruise control with a variable speed limiter, an alarm system, electric windows with one-touch opening and closing, including obstruction sensors to protect little fingers, heated front seats, heated windscreen washer, rain sensing wipers, active park assist, adaptive brake lights, an active bonnet, central locking, DAB radio, Garmin sat nav, high resolution seven inch display and Mercedes’ intuitive touchpad interface.

The test car came with several choice extras including head performance headlights (£545), a premium plus package consisting of ambient lighting, keyless go, panoramic sunroof, a Burnmester surround sound system and an online interface (£2,795), a colour head up display (£825), black leather trim (£795) and metallic paint (£645) which takes the price to a rather scary £42,230.

The Northern Echo:

HOW PRACTICAL IS IT?

The boot is a decent size at 435 litres but the C-Class is a saloon so it’s not as functional as a hatchback (but there’s always the estate if you want more load space). Sport and AMG models get a 60:40 split folding rear seat as standard - it’s an option on other models. There’s a generous centre console and two cup-holders in the rear seat armrest.

As the C300 is rear wheel drive anyone sitting in the middle of the rear seat has to straddle the propshaft’s hump.

RUNNING COSTS: You’ll pay nothing for your road tax and fuel economy of 60mpg is within reach. With governments turning against diesels signing up for a low emissions hybrid is looking more and more like a smart idea. Looking ahead this could hand the Mercedes a major advantage over its TDi rivals.

VERDICT: Mercedes has pulled out all the stops here. If you want a compact premium saloon that makes you feel special every time you climb aboard then nothing does it better. This cabin is a new class benchmark several notches above anything else. The C300’s hybrid powertrain suits this level of sophistication perfectly - and you’ll be doing your bit for the environment, too. Game on.

 

Mercedes C300 BlueTEC Hybrid Price: £36,625 (£42,230 as tested).

SPEC: Engine: 2,143cc/4-cylinder/16-valve/TDI + electric motor Max power: 204bhp+27bhp Max torque: 500Nm from 1,600rpm Top speed: 152mph 0-62mph: 6.4 seconds Fuel consumption: (official combined) CO2: 104g/km VED: £0