Tipo? Saw one of those in the classifieds the other day. It was on for just £400.

This one might be a little more expensive.

Ah, the 16-valve one, is it? Or Sedicivalvole as Fiat called it - bit of a mouthful but cracking hot hatch in its day.

No, no you're missing the point. Fiat is bringing back the Tipo name, not just bringing back the old Tipo. The classic (if that's quite the right word...) badge will be stuck on to the back of Fiat's new mid-size saloon and hatchback model, which has been born out of the Aegea concept car shown earlier this year.

It has been designed to be built in Fiat's factory in Turkey and is, effectively, a low-cost Dacia rival designed for eastern markets. It can be upgraded for proper European sales though, and Fiat says it will compete with models such as the SEAT Leon. With a 510-litre boot and space for five it may even manage to compete with some from the class above.

There's some sophistication on offer too - buyers can get the uConnect infotainment touchscreen system with Bluetooth and, if you pay extra, TomTom satnav and a reversing camera.

The platform comes from the Fiat 500X crossover and it will use a similar engine line-up of 1.4-litre turbo petrol units and 1.3-litre and 1.6-litre diesels. Fiat claims that the most frugal models will actually top the 70mpg mark. Like the Panda, it's supposed to be part of Fiat's 'Functional Family' line-up, which does the sensible and affordable stuff while the 500-badged models get on with being show ponies.

It'll definitely be coming here in hatchback and estate forms, with sales starting next year, but the four-door saloon version isn't UK-bound.