Much fanfare has surrounded Jaguar’s forthcoming foray into the compact premium saloon segment but the Land Rover arm of the JLR family also has something to shout about.

Land Rover’s Discovery Sport is just as big a deal as Jaguar’s XE and it too is also something of a first.

It might be replacing the Freelander but it marks a radical departure from the Freelander format and significantly is also the first of a new Discovery family of vehicles.

The Sport represents a step up from the Freelander in many ways. It certainly seems bigger and bolder - it actually sits lower but is longer - and crucially can seat seven passengers.

Okay, Land Rover are billing it as 5+2 and the third row of two seats is essentially for children or teenagers at a push, but the extra carrying capacity is a big deal and gives the car something of an edge compared to competitors like the Audi Q5 and BMW X3.

It’s an ingenious set up with a middle bench that can slide forwards and backwards to offer flexibility for all five passengers in the rear and it also has the stadium-style from the current Discovery where each row is higher than the one in front.

Slid fully forward there isn’t much legroom in the middle row but it enhances comfort levels in the rearmost seats considerably, to the point where adults could actually travel in them.

One of its greatest strengths is the comfort level for passengers in the middle row when the bench is slid right back and the rearmost seats either have very small passengers, aren’t being used at all or are folded out of sight.

Palatial might be overdoing it slightly as an appropriate adjective but the legroom offered is hugely generous, on a par with a luxury SUV or an executive saloon.

Looks-wise the Discovery Sport represents a big contrast to the Freelander and also gives a pointer to what’s to come with the Discovery family, as the car-maker consolidates what will effectively be two sub-brands - Range Rover and Discovery. There’s actually a third branch of the family - Defender - though where that’s going at the moment isn’t really clear.

Land Rover are clearly aiming at a different market to the Range Rover Evoque, with styling that has more of a utilitarian and family-friendly flavour than something that’s trying to make a fashion statement.

However it still offers design lines that are appealing and should be seen as mainstream enough to achieve Land Rover’s big ambition of making a dent in the fleet market.

Comfort levels are high, fit and finish seems excellent and the switchgear and instrumentation are very characteristically Land Rover - simple, functional, tidy and with just a hint of ruggedness.

Just one engine will be available initially in the UK, the SD4 2.2-litre diesel carried over from the Freelander, which is a capable enough performer. In terms of gearboxes there’s a choice of a six-speed manual or a nine-speed automatic, which features the circular pop-up gear selector pioneered on the Jaguar XF.

The 187bhp diesel will complete the 0-60mph sprint in 8.4 seconds, tops out at 117mph, emits 162g/km of CO2 and will manage 46mpg on the combined cycle.

However some buyers might want to wait for the new 150bhp 2.0-litre diesel Ingenium engine being made at the car-maker’s new factory near Wolverhampton.

The new units, which will be available later in 2015, really are going to be ground-breakers, offering emissions of just 119g/km. The lowest emission version will also be front-wheel-drive.

Will many people plump for a two-wheel drive alternative? Probably some but maybe not as many as one might expect, given the fact a large proportions of Discovery Sports will probably never venture off road.

There are those who will no doubt want four-wheel-drive go anywhere capability, and are prepared to pay extra for a vehicle that’s over-engineered for their needs, as it’s seen as an essential part of Land Rover’s DNA.

To show off its four-wheel drive capabilities to the full Land Rover launched the Discovery Sport in Iceland.

The snowy highland roads of the Arctic Circle island proved the perfect place to really put the vehicle through its paces.

One would expect any Land Rover to be a consummate off-roader and suffice to say the Discovery Sport is. It coped with some pretty extreme snow-encrusted trails and tracks with relative ease.

It feels good on regular roads too, or rather the snowy and sometimes icy Icelandic roads. The cars were fitted with metal-studded tyres, which are used widely in Iceland.

Even so it still delivered a surprisingly comfortable ride and felt smooth and refined. The only intrusive sound was the piercing Arctic winds battering the vehicle from time to time.

Other features include Land Rover’s raft of four-wheel drive aids, including modes for different conditions and an upgraded Hill Descent Control system.

The Discovery Sport also has Autonomous Engine Braking (AEB) and a bonnet airbag to protect pedestrians as standard.

It was recently awarded a five-star Euro NCAP rating and prices start from £32,395.

Overall it has to be said the Discovery Sport looks like a winner. A clever and well-thought out change of direction that should reap dividends and mark another important chapter in the story of Land Rover’s continued success.

Some would say the firm has the Midas touch at the moment and if advanced order are anything to go by - Land Rover has taken 2,500 already - then it would seem the Discovery Sport is set to see that continue.