Jaguar will always be synonymous with sports cars and speedy saloons, but few manufacturers can afford to ignore a changing marketplace and the seemingly insatiable appetite for SUVs.

The E-Pace, tested here, is smaller than the F-Pace, but still offers the high levels of practicality you come to associate with the crossover market.

The E-Pace is built on the Range Rover Sport/Evoque platform instead of having tailor-made Jaguar underpinnings.

This test car came in R-Dynamic guise, which looks more aggressive and purposeful than the standard version thanks to a sports styling kit.

And few would disagree that’s it’s a handsome machine - perhaps not as striking as some of Jaguar’s designs but pretty easy on the eye nevertheless.

Sporty cues are borrowed from the F-Type sportscar.The company’s signature wide grille immediately draws the eye, while there are also distinctive headlights and an attractive windowline to admire.

Stylish twin tail pipes and 17-inch 10-spoke alloys complete the premium look.

Many Jags that have gone before have been known for providing sheer driving pleasure, so can this little SUV live up to that reputation?

In many respects it does, although the raised ride height and extra weight is always likely to have some degree of detrimental impact, whoever the manufacturer might be.

Generally, the E-Pace handles well, with very little by way of body roll or lean.

The steering is arguably a touch on the light side, but it offers enough feedback to keep the driver interested.

The test car came with a 2.0-litre, four-cylinder turbo Diesel engine, producing 240PS.

It’s a nicely-powered unit, although you sense it has to work hard to heave the near two-tonne vehicle from 0-60 in under seven seconds.

The engine is mated to a nine-speed automatic box, which seems a little reluctant to respond to you initial throttle input from a standing start, but shifts in a very slick manner thereafter.

If you wish to take control of the shifts for yourself, then there’s the option of using the delectable alloy paddles behind the steering wheel.

With a decent amount of torque thrown into the mix and an all-wheel drive system too, it all adds up to a very pleasurable driving experience.

Indeed, you can have great faith in this car’s handling when you aim it into a corner, feeling accurate and stable in the vast majority of situations.

Once inside, the car displays all the elegance and comfort you come to expect from Jag.

The red/maroon leather running throughout the cabin is the first thing that strikes you.

It offers great uniformity, with the colour of the seats matched by the leather panels on the dashboard and insides of the doors.

The front seats are both electronically adjustable in 18 directions and there’s a clever feature that allows you to extend or shorten the length of the bottom section to suit the size of your legs.

So comfort levels are high, even in the back seats, where two adults should fit comfortably behind a couple of six footers in the front, with a third rear seat passenger also a possibility for shorter journeys. The rear seats do suffer slightly owing to the kicked-up rear window line that helps to give the car its appealing looks.

The infotainment system is neatly integrated into the dashboard and you use the screen to operate functions such as satnav, DAB radio, temperature of the front seats, park assist and phone pairing.

The E-Pace is a strong all-round package and gives buyers another interesting option in the segment for premium-badged compact SUVs.

Jaguar E-Pace R-Dynamic

PRICE: £44,300 on the road

ENGINE: Two-litre turbo diesel, 240PS, four-cylinder

TRANSMISSION: Nine-speed automatic, all-wheel drive

PERFORMANCE: 0-60mph in 6.8 seconds and top speed of 139mph

ECONOMY: 42.8mpg combined and emissions of 175g/km