The first generation Toyota Aygo was borne of an agreement with Peugeot and Citroen to create what would be the Japanese company’s first genuine city car. Four years later, in 2005, the Aygo – along with its sister cars the Peugeot 107 and Citroen C1 – was launched.

Although treated to a couple of largely cosmetic facelifts in 2009 and 2012 the Aygo was beginning to show its age, especially when rivals were demonstrating that quality needn't be the preserve of larger hatchbacks.

The design of the new Aygo – dubbed J-Playful in reference to Japan’s hip youth culture – certainly sets it apart from most of the opposition. The inspiration for the distinctive X-graphic on the car’s nose is, apparently, the concept of a soft object breaking through the hard shell of the design. However you translate that there’s no disputing that it’s an eye-catching, and potentially divisive, feature.

In some colours – the Aygo I drove was white with contrasting silver – the effect is much more subtle and, in my opinion, all the better for it, particularly when that effect is carried on to the upper and lower grilles and rear bumper. The X and rear bumper inserts, front bumper and alloy wheels can all be selected to suit individual preferences, while the instrument panel, centre console, air vents, shift knob and gear lever surround can easily be changed if you get bored with your original choices during your ownership.

My test vehicle was equipped with Toyota’s x-touch multimedia system, which is operated by a seven-inch touchscreen. Large icons make it simple to use and it was a doddle to connect my phone over Bluetooth for handsfree calls and audio playback. If you have a compatible phone – I didn’t – the system also supports Mirrorlink which displays your phone’s screen on the car’s display, allowing you to check email and catch up with social media.

The Aygo’s interior is a match for its rivals, with decent materials and a good finish. The moulded plastics are hard, but smooth to the touch, and easy on the eye. I’m not a big fan of the finish on the touchscreen’s colour-coded surround or the dashboard inserts – it looks much better in black – but it does add a little drama to the cabin. The new binnacle features a meter made of concentric rings which are permanently lit, at the centre of which is a multi-information display. It’s an excellent use of limited space and I found it informative and the instrumentation easy to read.

There’s plenty of leg and headroom in the front – the wheelbase is unchanged from the previous model but the cabin is 9mm longer – although given its compact dimensions you won’t be surprised to learn that if you’re thinking of carrying rear seat passengers they might have to consider sitting cross-legged. The seats are supportive and snug, so if you did want to throw the Aygo around a little bit, you won’t have to clench to stop yourself sliding around.

While I’m behind the wheel of the car I should mention the issue I had with demisting the windscreen. Driving in wet and windy conditions – the kind when you’d like to enjoy some warmth inside the little cocoon that is your car – I had to have the air con set at chill factor 10 to keep the windscreen clear and, even then, the corners were still misting up.

Under the bonnet nestles a 1.0-litre three-cylinder engine producing just 68bhp so the 14.2-second sprint (jog?) to 62mph won’t be a disappointment particularly, as I’ve said before, most drivers of these cars are more concerned about nipping out into traffic in congested towns and cities, rendering those figures irrelevant. And it is great around town. The engine might not have a lot of grunt but it shows willing, and the thrumming three-cylinder’s engine note can be quite pleasant.

Gear changes are slick and accurate which is just as well because, due to the fact that peak torque doesn’t arrive until 4,300rpm, you’ll find yourself reaching for the gear lever fairly frequently.

The platform is stiffer than the outgoing model, which has improved steering response and it now turns in with more positivity and accuracy. There’s a reasonable amount of grip to exploit too before the car’s natural tendency to oversteer kicks in and the stability control, which is always on, takes charge. Despite the Aygo’s paucity of power it’s entirely possible to have a little fun, thanks in no small part to the excellent brakes and the well-controlled body. The ride is good, too, isolating the occupants from most imperfections, while the cabin is quiet enough that holding a conversation, even at motorway speeds, doesn’t require raised voices.

You’re not going to buy the Aygo for its luggage-carrying capacity but, for the record, it will swallow a commendable 168 litres, although there is a high lip to negotiate which could makes things awkward if you’re trying to load heavier items.

The Aygo’s styling may not be to everyone’s tastes but it’s also what sets it apart from the crowd, even from its Peugeot and Citroen stablemates. Dynamically the Aygo can’t match its adventurous looks but you can still have fun and the peppy engine note adds to the entertainment. It’s also a capable motorway cruiser. The competition has raised its game in the city car sector and the new Aygo goes a long way to redressing the balance. While it does still lag behind key rivals in some areas it betters them in others and, of course, it has Japanese youth culture on its side. It just depends how J-Playful you're feeling.

Toyota Aygo x-play

PRICE: £9,795

AS TESTED: £11,234

ENGINE: 1.0-litre 3-cylinder

TRANSMISSION: 5-speed manual

POWER: 68bhp

ACCELERATION (0-62mph): 14.2 sec

MAXIMUM SPEED: 99mph

URBAN: 56.5mpg

EXTRA URBAN: 78.5mpg

COMBINED: 69.9mpg

EMISSIONS (CO2): 95g/km

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