It’s fair to say the Fiat Panda 4x4 has already earned its stripes as a reputable, small off-roader – with a history spanning all the way back to 1983.

Now in its third-generation, Fiat has given the Panda 4x4 some 21st Century styling, with features similar to that of the ever-popular Fiat 500 city car, and some up-to-date engines.

Due to its successful stint as the only off-roading city car, the Panda 4x4 remains almost unchallenged when it comes to competitors. Sure, city car competition includes the likes of the VW Up and Hyundai i10, but there is nothing with anywhere near the same off-roading chops.

So let’s see how good the Panda 4x4 really is.

Performance

The 4x4 is available only with the 84bhp 0.9-litre two-cylinder TwinAir turbo petrol engine and the 75bhp 1.3-litre MultiJet II diesel.

Although only a diddy thing, the 0.9-litre gives you enough of a thrust to keep you happy when cruising along in the urban environment. Naturally, you have to work the six-speed manual gearbox a fair bit when you are trying to overtake at motorway speeds.

The 1.3-litre diesel engine is a bit punchier, completing the benchmark sprint in 14.5 seconds – about average for a 1.0-litre petrol city car. You will still have to work the gearbox a bit, but nowhere near as much as the petrol.

Also, bear in mind, before you start complaining that power seems to be subdued, make sure the Panda’s Eco Mode is disengaged. Although this saves fuel, it noticeably numbs performance – cutting power from 84bhp to 78bhp.

Ride and Handling

We were lucky enough to go exploring off-road in the Panda 4x4. In short – it was brilliant.

We were lucky enough to go exploring off-road in the Panda 4x4. In short – it was brilliant. Tackling everything from potholed tracks at 40mph to reversing on loose-surfaced uphill hairpins, the Panda 4x4 did not lose traction and there were no complaints from the suspension or tyres. A little more ground clearance, however, would have made life easier.  Venturing back onto tarmac, the Panda was suprisingly good fun, with direct steering and not as much body roll as you'd expect given its tall stance. Thanks to its relatively light weight the Panda's narrow 175-width tyres find plenty of grip too, even if an up! is ultimately more composed and enjoyable. But, its diesel engine is noisy, and it never really quietens down, with a short fifth gear making motorway driving less relaxed than it could be. Wind noise at high speeds is also intrusive.

Interior and Equipment

The first Fiat Panda 4x4, launched in 1983, was capable of delivering just 48bhp. The lowest power output in the current Panda 4x4 is 75bhp.

The interior of the Panda 4x4 is certainly adventurously designed, being full of Fiat’s celebrated "squircles" - rounded circles - surrounding the gauges and almost everything else . But even the cupholders are this shape, meaning it can be difficult to get certain cans or bottles to stay secure and fit properly. Other neat touches include a door trim texture made up of the word "Panda" repeated in a tiny font and bubbles embossed in the roof lining. There is just one trim level available when it comes to equipment. Standard features on every Panda 4x4 model include CD/MP3 radio, air-con and a six speaker stereo system. There are also 15-inch alloys thrown in. Notable optional extras include privacy glass, roof bars and, if you are feeling particularly stylish, some exterior stickers. Practicality wise, it manages to offer around the same as its city car competition with 225 litres on offer. You can fold the seats down as well for a bit of extra space. Its boxy shape makes for a decent amount of headroom to boot.

Cost

Even though four-wheel drive capability is at the forefront of the Panda 4x4, it is still fairly economical.

Even though four-wheel drive capability is at the forefront of the Panda 4x4, it is still fairly economical. The two-cylinder petrol returns an average of around 57mpg and emits 114g/km. The diesel on the other hand returns an average of around 60mpg and emits 125g/km. Okay, these figures are not going to compete in the city car bracket, but you don’t really expect it to in an all-wheel guise. It can be hard to position the Panda 4x4 when it comes to price as its competition is so different, even though it shares the same sector of the market. Compared to its city car rivals it is a hefty amount more expensive. So, it depends how much you value the freedom to venture off-road.

Our Verdict

We have known very few cars to inspire such diverse opinions round these parts as the Fiat Panda 4x4. Off-road the Panda 4x4 is a great little runner – competent and fun. In the city however it feels a little like an unfinished product and certainly lacks the excitement of rivals like the Volkswagen Up. It can also be difficult to choose the Panda 4x4 as the Fiat 500L Trekking model is now available – essentially for those who don’t need the full off-road capabilities of the Panda 4x4 – as well as the Panda Cross model, a sportier version of the Panda 4x4. Still, there is no denying that the Panda 4x4 delivers with aplomb when it comes to offering off-road credentials.