WHEN the Audi TT first arrived back in 1998 it was a bit of a sensation.

An affordable sports 2+2 coupe or a two-seater roadster which was based on the VW Golf platform, it was a departure from the saloons and hatchbacks which dominated the Audi range at the time and was designed to carve out a niche in the sports coupe market.

That range has moved on with the additions of SUVs, sportback saloons and the mighty R8.

The TT looked stunning with bold, curvaceous body, impressive alloy wheels, striking light clusters and the signature four rings on a slim grille.

The interior was equally impressive and the car quickly became much sought after in the used car market

The latest generation is, unsurprisingly, the best of the lot. Initially it comes in two specification levels - Sport and S line - which both include the Audi virtual cockpit, which is based around a 12.3-inch, high resolution LCD display that completely fills the driver's instrument binnacle and replaces the traditional analogue dials.

Three engines are available, the firecracker 2.0 TFSI 230ps with front-wheel-drive or quattro all-wheel-drive driven here, a frugal, yet lively two-litre diesel, which still pumps out 184ps, available in front wheel drive only.

The effficient diesel and weight reduction of 50kg means a claimed economy of 67.3mpg and CO2 output of just 110g/km, yet can also reach 62mph in 7.1 seconds.

For those who want the full beans, the TTS offers the two-litre petrol engine with 320ps, races from 0-60mph in just five seconds. The 230ps tested here is no slouch either, performing the sprint in just 5.3 seconds.

The car is still instantly recognisable as a TT, but the rounded look has given way to sharper angles with even more striking Xenon headlights with LED daytime-running lights, retractable rear spoiler, S line badges on the front wings and S line bumpers, side skirts and diffuser insert.

The bonnet tapers down and the slim grille has been replaced by the signature deep gloss black grille seen on other Audi models and all finished off with striking alloy wheels.

The exterior looks sleek and sporty and so does the interior, a high class affair all round.

It is dominated by the screen which has two display modes including classic, which show speedo and rev counter and infotainment, which shows functions like connectivity, entertainment system and sat nav. It is controlled by the  MMI 'brains' of the car  which sits between driver and passenger.

The rest of the interior is high class, with soft touch  finish to dash and doors, flat-bottomed steering wheel with inbuilt controls, high quality leather seats, which are multi-adjustable and provide plenty of legroom. Silver trim surrounds gear lever and dials including the clever integrated circular air vents which have their own individual controls.

The rear seats are just about big enough for small children and boot space is reasonably generous for this type of car with 305 litres available, increasing to 712 litres by folding the rear seatbacks.

On the road the car is a delight with true sports car performance. The engine has bags of torque and, mated to the the seamless eight-speed S-tronic gearbox, zips through the gears. Alternatively, switch to the steering wheel paddles to test your skills. Floor the accelerator and there is a delightful blip from the accelerator, guaranteed to turn a few heads.

Handling is pin-sharp, while the steering is direct and precise giving maximum confidence to drivers, while the quattro permanent all-wheel drive system has been specially configured for a sporty drive, delivering excellent grip plus high traction and lateral stability.

Being 50kg lighter than its predecessor the car feels agile and taut while Audi's Drive Select system allows the driver to select suspension settings from 'comfort' to 'dynamic' depending on conditions. It also modifies throttle response, steering weighting and air conditioning load, plus shift speeds on S tronic cars.

Prices start at £29,770, not cheap and as ever with Audi you can spend a small fortune on options, in this case another £10,000 of goodies were added.

But residual values are strong, it looks just brilliant and drives like a dream.