What's the difference?
Where were you in the year 2000? Cowering in a dark corner, hoping the Y2K bug wouldn’t wipe out civilisation as we knew it? Or, confidently on the front foot, shopping for a new car to transport you and your family safely into the next millennium?
If it was the latter, the most popular options back then were hatchbacks, sedans and wagons. The Ford Falcon, Holden Commodore, Mitsubishi Magna and Toyota Camry were at the height of their powers and the term ‘SUV’ was largely confined to North America, describing off-road outliers like Jeeps and Range Rovers.
Brands from Mazda to Mercedes-Benz, Peugeot, Volvo and heaps of others all offered family-friendly wagons alongside their sedan counterparts.
Fast forward a quarter of a century and we’re in a world of SUVs and utes, with the traditional ‘station wagon’ almost consigned to history. But Skoda is keeping the wagon dream alive with its mid-size Octavia sedan (liftback) and wagon.
And the subject of this review is the just-arrived, 2025 model year iteration of the flagship Octavia RS, designed to combine functional pragmatism with smile-inducing performance. Let’s check it out.
Subaru has always been a good fit for Australia.
Since the '90s, when the brand made a big splash with its rally derived Impreza and Liberty, Subaru’s rugged appeal has suited Australia’s tough conditions and recreationally adventurous buyers.
Cars like the Forester and Outback solidified the brand’s place amongst SUVs before SUVs were really a thing, and the XV is the logical progression of the Impreza range, slotting nicely into the brand's offerings of lifted all-wheel-drive wagons.
It’s been a few years since the XV launched, however, so can its latest 2021 update keep it in the fight in a quickly evolving and notoriously competitive segment against many newer rivals? We’ve taken a look at the whole range to find out.
While other brands may have a higher profile, the quality of this Octavia RS proves Skoda deserves a greater share of the limelight. If you’re thinking about a primo mid-size sedan, or wagon, or even a medium SUV, this car combines satisfying performance with low-to-the-ground dynamics, immense practicality, top-shelf safety and solid value-for-money. It’s nicely put together using quality materials and the ownership package is class competitive. Do yourself a favour and add it to your new-car shopping list.
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
Even years on from its initial launch and with only subtle changes to its main range, it’s really to Subaru’s credit that the XV feels just as capable and modern as any of its rivals.
This is not to say it’s perfect. We can’t recommend the base model, the maths don’t really work out on the hybrids, the only available engine is breathless, and it has a small boot.
But the XV’s excellent safety suite, driving dynamics, all-wheel-drive capability, quality finish and comfortable interior mean it’s hard not to be charmed by this little lifted hatch.
Our pick of the range? While the 2.0i-L is great value, we’d recommend you splurge to the 2.0i-Premium to get the full safety suite and extra garnish.
The current Octavia complies with Skoda’s sharp and angular approach to exterior design, with cool, jagged LED headlight clusters sitting either side of a blacked-out octagonal grille.
A brand signature is the bonnet shutting low and flush over the front guards to create a broad hood panel with longitudinal character lines running down its length. Similar creases flow confidently along the car’s flanks with 19-inch alloys filling the wheel wells nicely.
A smoothly tapering turret ends with a steeply raked rear screen on the sedan and wagon with angular LED tail-lights following a similar pattern to the headlights.
As well as the black grille, car-spotters should look out for the RS’s black finish on the window frame surrounds, roof rails (wagon only) wing mirrors and tailpipes as well as red brake calipers and RS sports bumpers front and rear.
Always a subjective call, but I for one think this car looks distinctive and contemporary while avoiding unnecessary flashiness.
Inside, the treatment is relatively reserved, with a grey through to black colour palette and high-quality materials, including soft-touch surfaces around the dash, doors and console, as well as ‘mouse fur’ and faux carbon sections on the upper dash.
The sports front seats are trimmed in a combination of synthetic leather and synthetic suede with quilted panels in the centre of the cushion and backrest. They feel as good as they look and are easy to get in and out of. Red contrast stitching throughout the interior dials up the racy tone.
A sizeable central media touchscreen sits proud of the dash with the VW Group’s ‘Virtual Cockpit’ ahead of the driver configurable through multiple set-ups. And a smattering of dark chrome and brushed metal highlights (including on the pedals) finish off a beautifully executed interior.
The key to the XV’s fun and adventurous appeal is perhaps the fact that it’s not really an SUV at all. It’s rather obviously a lifted version of the brand’s Impreza hatchback, and this is to its credit.
It’s simple but tough, cute but capable, and really everything many consumers are looking for when it comes to a small, all-wheel-drive SUV. Not only does this design philosophy (of lifting wagons and hatches rather than creating bespoke “SUVs”) match Subaru’s family of products, but the ride height, plastic claddings, and tough-looking alloys offer hints of the all-wheel-drive capability that lies beneath.
Little has changed for the 2021 model year, with the XV most recently receiving a tweaked grille, updated front bumper, and a new set of alloy wheels. The XV range is also available in a fun array of colours, which Subaru hopes will help it win more of a youth vote. As an added bonus, none of the colour choices carry an extra charge.
The interior of the XV continues the fun and adventurous theme with Subaru’s signature chunky design language noticeably different from its rivals. My favourite element of this has always been the bumper-car steering wheel, which feels great in your hands in its leather-clad finish, but there are also nice soft claddings throughout the doors and big seats with nice bolstering and design.
While we like how big and sharp the main 8.0-inch screen is, if there’s one thing Subaru gets wrong it’s how busy the whole cabin package is. The visual assault of three screens seems unnecessary, and as much as I like the wheel, it is also completely adorned in somewhat confusingly labelled buttons and toggles.
Still it’s an attractive, fun, and unique design amongst its small SUV peers. Subaru fans, at least, will be sure to adore it.
Practicality is an area where Skoda comes into its own. At every turn the brand’s design and engineering teams have obviously kept day-to-day usability in mind with thoughtful tweaks to make life easier.
Some have become low-key famous like an umbrella slotted into the driver’s door (Rolls-Royce-style) and a small lidded rubbish bin in the driver’s door pocket.
But over and above that, the Octavia’s efficient packaging means in a car measuring just on 4.7m long there’s heaps of room up front for the driver and passenger, with lots of handy storage options.
Aside from generous door pockets there’s a box between the seats with a padded lid (adjustable for height and length when in use as an armrest), a 15W wireless charging pad (with ventilation from below to keep devices cool), a big glove box (with pen holder), multiple cupholders, a cupholder insert able to hold a phone and/or some coins, numerous oddments trays and a sunglasses compartment overhead (not fitted with optional panoramic sunroof).
And in the back, sitting behind the driver’s seat, set for my 183cm height, there’s tons of leg and headroom with more practical design thinking on display.
For example, map pockets on the back of the front seats have a phone-sized slot stitched into them. There are pull up shades for each window, big bins in the doors with plenty of room for bottles and more, a pull-down centre armrest with fold-out cupholders (plus some oddments space), adjustable climate control vents plus a box on the floor for extra bottles and ‘stuff’ (removable if you need foot room for a centre passenger).
Power and connectivity runs to five USB-C sockets (two front, two rear and one near the rear-view mirror for dashcam duty) plus a 12-volt outlet in the boot.
Speaking of which, head to the boot and the ‘plenty of room’ theme continues. With the 60/40 split folding rear seat upright there’s 600 litres of space in the sedan and 640 litres in the wagon. Lower the backrest and that number increases to 1555 and 1700 litres, respectively. That’s plenty, and more than the Mazda6.
The sedan and wagon feature anchor points for securing loose loads, extra storage bays behind the rear wheel wells, there’s a ski-port door behind the rear armrest, load divider rails in the sedan, remote release handles for the rear seat, bag hooks, a luggage net… the lot.
The powered tailgate includes hands-free opening, there’s a space-saver spare under the floor and towing capacity for a braked trailer is 1600kg (750kg unbraked).
In some ways the XV is very impressive when it comes to its interior practicality, but in other ways it disappoints.
The front seats offer heaps of room for adults with good adjustability, and while the seating height is very high by default, there’s still lots of headroom and adjustability, with the added benefit of a very commanding view of the road for such a small SUV.
As mentioned, the doors, dash, and transmission tunnel are all clad in soft materials, and front passengers also benefit from no less than four USB ports in every grade except the base 2.0i, a huge centre console box, comfortably large bottle holders in the centre with a removable divider, a small bay under the climate unit that also houses a 12v outlet and auxiliary input, and a single large bottle holder in the doors with a small adjoining bin.
A surprise comes in the rear seats, which offered enough head and knee room for a particularly tall friend of mine. It’s rare for the small SUV segment to offer such space, but behind my own (182cm tall) seating position I had ample airspace for my knees and decent airspace for my head too, even despite the Premium and S grades having a sunroof fitted.
Rear passengers get a flip-down armrest with bottle holders, a small bottle holder in the doors, and pockets on the backs of the seats. The seat cladding is just as good as it is in the front, and the width in the rear seats is notable, however the centre seat suffers from the existence of a tall transmission tunnel to facilitate the all-wheel-drive system, and there are no adjustable air vents or power outlets for rear passengers either.
Finally, one ongoing weak point for the XV is the amount of boot space on offer. Boot capacity is 310-litres (VDA) for non-hybrids or 345 litres for hybrid variants. This is decent when compared to smaller light SUVs but definitely leaves room for improvement when it comes to the XV’s main small SUV competitors.
Space can be boosted to 765L in non-hybrid or 919L in hybrids with the seats down (again, not great), and the hybrid model loses the underfloor space-saver spare wheel, instead leaving you with a very compact puncture-repair kit.
Priced at $58,490 for the sedan and $59,990 for the wagon, both before on-road costs, the Octavia RS has one competitor that meets the mid-size sedan and wagon criteria with cost-of-entry somewhere in the same ballpark. And that’s the current Mazda6 20th Anniversary Edition.
Pitched at $54,385, before on-road costs, for the sedan and $55,685 (BOC) for the wagon, the Mazda goes toe-to-toe with the Skoda on size, equipment and performance, although the ‘6’ leans more towards a premium rather than outright performance vibe. And the Mazda has recenetly been discontinued in Australia.
The Accord VTi-LX Hybrid ($59,900, drive-away) puts Honda in the sedan mix and if you’re considering a pure electric medium sedan, the BYD Seal Premium comes in at $58,798, before on-roads while the Tesla Model 3 Single Motor RWD sits at $54,900.
So, aside from the safety and performance tech, covered a little later, what can you bank on in terms of included features for a price tag giving $60K a serious nudge?
The answer is… heaps. Standard equipment on the Octavia RS includes three-zone climate control, adaptive cruise control, a 13-inch multimedia touchscreen, sat nav, 12-speaker Canton audio (with digital radio), a 10-inch configurable digital instrument display, a head-up display, sports front seats (heated with six-way power adjust, memory and massage function), heated rear (outboard) seats, a power tailgate (with hands-free opening), keyless entry and start and rain-sensing wipers.
There’s also ‘Intelligent Park Assist’, LED external lighting (including matrix LED headlights), 19-inch alloy rims, heated and power-folding exterior mirrors (with memory function), synthetic leather and synthetic suede trim, a flat-bottom leather-trimmed steering wheel, alloy finish pedals and rear privacy glass as well as wireless Android Auto and Apple CarPlay.
Worth noting solid, metallic and pearlescent paint options (seven colours) are included as standard, with the single premium metallic ‘Velvet Red’ colour adding $770.
That’s as much fruit as you should expect in this part of the market and a bit more.
Subaru’s pricing strategy is an interesting one. Generally, the brand’s entry-level models are priced above rivals, but top out well below them. For 2021 the XV range has four variants, two of which are available with the hybrid-drivetrain option.
The entry-level XV 2.0i ($29,690) sits above the entry-level Hyundai Kona ($26,600), Kia Sportage ($27,790), and Honda HR-V ($25,990). Keep in mind, the XV range is all-wheel drive by default, which is a value boost, but the unfortunate news is that we’d recommend you ignore the base XV altogether.
Included on the base 2.0i are 17-inch alloy wheels, a 6.5-inch multimedia touchscreen with wired Apple CarPlay and Android Auto connectivity, a 4.2-inch supervision cluster and 6.3-inch function screen, basic air conditioning, a single USB port, basic cloth seats, halogen headlights, standard cruise control, and some more basic trimmings. Not only is this car the only one with the more basic multimedia screen, but crucially it misses out on any of Subaru’s excellent EyeSight safety suite.
The starting point for your XV journey, then, should really be the 2.0i-L, starting at $31,990. The 2.0i-L ups the interior to include a dazzling 8.0-inch multimedia screen, improved interior trimmings with premium cloth seats and leather-trimmed steering wheel, dual-zone climate control, extra USB ports, and adaptive cruise control as part of the EyeSight safety suite.
Next up is the 2.0i-Premium at $34,590, which adds a sliding sunroof, heated wing mirrors, built-in navigation, a front-view camera, and the full safety suite with blind-spot monitoring, rear cross traffic alert, and rear auto emergency braking. This variant is now the best value, as it offers the full set of safety items previously only available on the top-spec car at a lower price.
This brings us to the top-spec 2.0i-S with an MSRP of $37,290, which adds LED headlights with auto high-beam assist, a side-view camera, leather interior trims with extended premium cabin upholstery and chrome finishes, auto power folding wing mirrors, leather-appointed seat trim with heated front seats and an eight-way power-adjustable driver’s seat, 18-inch alloy wheels, and extended functionality for the all-wheel-drive system.
Finally, the 2.0i-L and 2.0i-S can be chosen with the “eBoxer” hybrid drivetrain option, wearing MSRPs of $35,490 and $40,790 respectively. They mirror the specification of their 2.0i counterparts while adding silver exterior accents and a pedestrian-alert system. They also trade out the space-saver spare wheel in favour of a puncture-repair kit, due to the presence of an under-boot-floor lithium-ion battery system.
The Octavia RS is designated ‘195TSI’ which relates to the power output of its 2.0-litre, four-cylinder, turbo-petrol engine driving the front wheels through a seven-speed dual-clutch auto transmission.
It’s a fourth-generation evolution of the Volkswagen Group’s long-serving ‘EA888’ engine series, an iron block/alloy head unit featuring direct-injection and variable valve timing to produce (you guessed it) 195kW and 370Nm.
The XV now has two drivetrain options in Australia. One is the carryover 2.0-litre petrol engine, now with a smidge more power, and a hybrid version of the same layout with an electric motor housed in the continuously variable transmission. There is no manual variant in the XV range.
The 2.0i models produce 115kW/196Nm, while the hybrid produces 110kW/196Nm from the engine and 12.3kW/66Nm from the electric motor. All variants are all-wheel drive.
The hybrid system is powered by a lithium-ion battery pack under the boot floor, and in practice functions a bit differently from Toyota’s popular system.
We’re sure Subaru die-hards will be dismayed to know a version of the XV packing the larger Forester’s 2.5-litre petrol engine (136kW/239Nm) will not be making it to Australia for the foreseeable future.
The Octavia RS’s official fuel consumption figure on the combined (urban/extra-urban) cycle is 7.0L/100km, the 2.0-litre turbo-petrol engine emitting 159g/km of CO2 in the process (wagon 160g/km).
A start/stop function is standard and on a launch drive program through rural Victoria, covering several hundred kilometres’ worth of urban, B-road and freeway running we saw a (dash-indicated) figure of 6.9L/100km. With a 50-litre fuel tank on board, the RS’s theoretical range is around 715km.
In the city, expect an average in the high 8.0 range, which isn’t out of order for a 1.5-tonne sedan (1.6-tonne wagon).
It’s not such a great story for the hybrid variant here, as even on the official numbers it only saves a tiny amount of fuel.
The official/combined number for 2.0i variants is 7.0L/100km, while the hybrid variants trim this to 6.5L/100km.
In practice it only got worse on my test. Over similar driving conditions consisting of several hundred kilometres over the course of a week, the 2.0i-Premium non-hybrid produced 7.2L/100km, while the hybrid actually used more fuel at 7.7L/100km.
It’s worth noting we’ll be holding on to the hybrid for a further three months as part of a long-term urban test. Check back in to see if we can trim this number down to something closer to its claim in the coming months.
All XV variants can drink base-grade 91RON unleaded and 2.0i variants have 63-litre fuel tanks while hybrids make use of a 48-litre tank.
Skoda claims 0-100km/h acceleration in 6.4 seconds for the Octavia RS sedan and 6.5sec for the wagon and it feels willing with solid mid-range punch available.
Peak power comes on stream up high (5250-6500rpm) but maximum pulling power is on tap from 1600-4500rpm, which is spot-on for urban running, easy highway cruising and safe overtaking.
A sports exhaust dials up a rorty note when pushing on and the seven-speed dual-clutch transmission proved quick and smooth on a launch drive covering mainly rural B-roads and some freeway sections.
Steering wheel-mounted paddles add extra involvement when you’re in the mood to push through some twisty stuff and select ratios manually.
Speaking of corners, suspension is by struts at the front and a multi-link arrangement (unique to the RS grade) at the rear, with an electronically controlled limited slip differential and ‘Dynamic Chassis Control’ standard. Ride height is 15mm lower than the standard Octavia.
DCC is Skoda code for an adaptive damper set-up and the system offers a ‘Comfort’ mode to help manage bumps, although it adds an air of floatiness on the open road. As the name implies, ‘Sport’ buttons everything down and road imperfections immediately make their presence felt. ‘Normal’ is surprisingly comfortable without upsetting the car’s balance and overall compliance.
Standard rubber is 225/40 Bridgestone Potenza S005, providing a good grip vs comfort compromise, and the electrically assisted progressive rate rack and pinion steering is accurate, providing good road feel without being too sharp or ‘pointy’. Braking is by ventilated discs all around and the pedal is strong and progressive.
Under the heading of miscellaneous observations, engine, wind and road noise are modest, the grippy sports front seats remained comfortable over several hours behind the wheel, plus a relatively tight 10.4m turning circle and standard 360-degree camera view system make parking easy.
No matter which XV you choose, you’ll be getting a very comfortable and easy-to-steer small SUV, and the drive experience has only improved with this year’s updates.
The XV’s newly re-worked front suspension and tall ride height make for a package more than capable of dealing with anything the suburbs will throw at it. This is the kind of car that scoffs at speed bumps and potholes.
The steering is light enough to be comfortable, but provides just enough feedback to keep it engaging, too, and the always-on all-wheel-drive system provides a sense of constant security in corners and even on loosely sealed or wet surfaces.
The XV has better SUV cred than almost every other car in its class on the capability front, enough at least to make it a decent companion for seeking those unsealed campgrounds or vantage points.
Where it’s not as good is its engine options. We’ll get to the hybrid in a moment, but the standard 2.0-litre engine is underpowered for a relatively heavy small SUV, with the added burden of all-wheel drive, and it feels it. This engine doesn’t have the follow-through of its turbocharged rivals and is very thrashy when much is asked of it.
This experience isn’t really helped along by the rubbery-feeling continuously variable automatic transmission, which is at its best in stop-start traffic. It strips the fun out of trying to drive this car with a bit more vigour.
Unlike Toyota's hybrid alternatives, the hybrid XV isn’t a significantly different experience behind the wheel. Its electric motor doesn’t really have enough strength to get it up to speed, but it does assist when it comes to acceleration and coasting to help take the stress partially off the engine. The XV also doesn’t provide a hybrid indicator like Toyota does, so it’s much harder to understand the effect your accelerator input is having on the motor.
The centre screen does display the energy flow, though, so it is good to have some kind of feedback that the hybrid system is helping on occasion.
Hybrid variants also add something called “e-Active Shift Control”, which uses input from the car’s sensors and all-wheel-drive system to better tune the hybrid assistance to the CVT. In general driving terms, this lets the electric motor pick up the slack of the petrol engine when it's most needed in the corners and in low-torque instances.
On a final note, all of these moments of electrical assistance do make the hybrid versions notably quieter than the non-hybrid ones. I still wouldn’t recommend choosing the hybrid on its driving experience alone, but it will be interesting to see how Subaru can build on this technology in the future.
The current Skoda Octavia was given a maximum five-star ANCAP rating following assessment in 2022. High scores in the adult and child occupant protection categories focused on the stability of the car’s passenger compartment in front offset, full front, side and pole impact crash tests.
For the 2025 model year, standard active (crash-avoidance) tech now includes turn assist and advanced driver fatigue detection, which is on top of auto emergency braking (AEB) operating from 5.0-250km/h (with car and ‘vulnerable road user’ detection plus junction assist), lane keeping assist (and emergency lane keeping), rear AEB, blind-spot monitoring, rear cross-traffic alert, a reversing camera, a 360-degree camera view, tyre pressure monitoring, front and rear parking sensors and more.
If, despite all that, a crash is unavoidable the airbag count runs to 10 - dual front, front side, rear side, side curtain, front centre and driver's knee.
There are three top tether points for securing child seats across the second row with ISOFIX anchors on the two outer rear positions.
That’s an impressive safety run down, as good or better than any category competitor.
The XV has an excellent safety suite so long as you avoid the base model 2.0i. Every other variant gets at least the forward-facing and unique stereo camera safety suite, which Subaru dubs ‘EyeSight’.
This system provides auto emergency braking up to speeds of 85km/h capable of detecting pedestrians and brake lights, it also includes lane-keep assist with lane-departure warning, adaptive cruise control, and a lead vehicle start alert. All XVs get an excellent wide-angle reversing camera.
Once you get to the upper-mid-grade 2.0i Premium, the safety suite is upgraded to include rear-facing technologies, including blind-spot monitoring, rear cross traffic alert, and rear auto braking. The Premium gets a front-facing parking camera, while the top-spec S grade gets a side view camera as well.
All XVs come with the expected stability, brake, and traction controls, as well as a set of seven airbags, making for a maximum five-star ANCAP safety rating to the 2017 standards.
The Octavia is covered by Skoda’s seven-year/unlimited kilometre warranty, which is ahead of the mainstream five-year warranty pack, although a little short of some, like MG and Mitsubishi at 10 years.
Service is recommended every 12 months/15,000km and a four-year/60,000km service pack will set you back $2000, with 12 months’ roadside assistance topped up for another year after each trip to an authorised workshop.
That $500 per service charge is a solid amount but not outrageous for a premium, especially Euro, mid-sizer. For reference the Mazda6 20th Anniversary averages $552 per service over the same period.
Subaru remains on par with other Japanese automakers, with a five-year and unlimited-kilometre warranty promise. There’s 12 months of roadside assist included, and the XV is also covered by a capped-price servicing program for the life of the warranty.
Services are required once every 12 months or 12,500km, and while this is a welcome improvement on the six-month intervals this car used to have, these visits are far from the cheapest we’ve seen with an average price of nearly $500 per year.