So it's official - there will be no diesel Jazz - instead, we have 90-100bhp petrols which can do over 50mpg, and a petrol-electric hybrid will follow by 2010.
Are Honda wise or have they shot themselves in the foot? Should they instead develop or buy-in a small diesel to slot in the Jazz, or even develop a BMW/MINI-style stop-start system, where power is cut when stationary?
Petrol is still much cheaper per litre then diesel, even after recent price cuts at the pumps. But, many small diesels can do 60mpg+ and some question the mpg figures of hybrid cars.