Two little words have gained a huge significance in today's SUV market. They're not compression ratio. Or max torque. Or even ground clearance.

No, the words today's driver is seeking in this sector above anything else is car-like. A 'softroader' that provides the high driving position, security, solidity and flexibility of a Sports Utility Vehicle – but still feels like a car to drive rather than a Chelsea Tractor.

It's a tough call. Added to that, as rocketing fuel costs start making more severe dents in our bank accounts, SUV drivers want their machine to be as refined to drive as a saloon car and as clean and frugal as estate cars that offer excellent driving dynamics. Oh, and it can't be a gas-guzzler, either.

Fortunately for Honda, it already has a king of the road in this field – and its latest incarnation bends over backwards to improve every aspect of what customers really want from the car.

Take a bow, the Honda CR-V – a stylish, high quality softroader that's been with us since 1995. It's comfortable, well equipped, has superb ride quality and can even boast lower emissions, higher mpg and better pedestrian safety than a MINI Cooper 1.6-litre 16V three-door.

The popular CR-V is thriving at a time of austerity, despite living in exalted company. Its main rivals are perceived as BMW X3, Land Rover Freelander, Nissan X-Trail and Toyota RAV 4.

The Swindon-built CR-V remains unfazed. Honda's third generation CR-V has carefully evolved and is an even 'softer' softroader – more refined, with improved comfort, better ride and more equipment.

It retains the high seating position of an SUV and a new version of Honda's clever part-time four-wheel drive system. But changes have all been concerned with making it better on-road rather than off - after all, most buyers probably never leave tarmac.

And Honda makes out a convincing case for consideration, only being about the same size as a Ford Mondeo estate, running most of the time in front-wheel drive mode and using less fuel and producing lower emissions than plenty of mainstream cars.

As mentioned, most of the time CR-V is front-drive. But severe cornering or hitting a slippery surface could mean the rear wheels will be pressed into action. The system is more responsive than before, with faster, more subtle action.

Up against rival SUVs, the CR-V has a head start by being a looker. Sporty and glamorous, it is characterised by its short snub nose and elegant, curving side window-line, twin-blade grille, chunky door handles and stylish repeaters built into the giant wing mirrors.

The 2.0 EX manual version I drove was classily kitted out in matching all-black seats, doors and dash, the low-level fascia taking up little space. The centre stack area is dominated by a touch-screen info panel – it takes some getting used to but plenty of info is readily accessible if you put your mind to it.

An exceptionally light and airy interior is deceptively large, aided by sunroof, giant side windows and rear quarter lights and the car is a generous five-seater.

An unusual, split-level luggage area offers true up-to-the-roof luggage space and the rear seats slide forward when necessary to present impressive, flat load room.

The 2.0-litre version has a big power range in every gear, with healthy surges and an exciting engine note if urgent acceleration is needed, balanced by sweet, smooth cruising.

A six-speed , short-throw manual gearbox is about as good as you'll get in class – a real peach.

All leather, electrically adjustable seats are fabulously supportive and comfortable, and ride quality is the best.

Chelsea Tractors may have had their day but the Honda CR-V is ploughing its own unique furrow quite nicely, thank you.

At a glance:

• Third generation Honda CR-V, prices from £18,727.


• Targetting young families (35-50) who need SUV practicality and demand estate car refinement.


• Improved, car-like driving experience thanks to lower centre of gravity, revised suspension geometry, bigger wheels, wider track.


• Low emissions - petrol version emits less CO2 than a Mini Cooper S.


• Big economy - not a gas-guzzling 'Chelsea Tractor'.


• More sophisticated interior with top-level equipment.


• Brand new 2.0i-VTEC petrol engine joins acclaimed 2.2i-CTDi diesel.


• Improved Real Time four-wheel drive system heightens safety levels.


• Front and rear parking sensors as standard on ES and EX grade.


• Built in Swindon, Wiltshire.