It is only a year since the last Daily was launched, marking the introduction of right handdrive models powered by Iveco's new 3-litre common rail diesel as well as the Daily Agile with new automated manual gearbox. Now it is the Euro 4 emissions limits that have brought about change.

The deadline is approaching fast, bringing the big cuts in exhaust emissions that the new limits demand. That in turn has meant extensive reworking of the combustion and more cooling for the engines. To do so has meant redesigning the front of the vehicle which, like many other light CVs, has in turn triggered a facelift. This explains  the bigger grilles that the latest crop of light CVs will all be wearing by the end of the year.

For the Daily, this means that the basic range of van, chassis/crew-cab and minibuses remains, while the basic load box on the vans is more or less unchanged. Weights and dimensions are all as for the outgoing model.

Up front, the Daily sports a new bonnet, bumper, grille and headlamps. Like the changes to the rear and the cab, these are the work of renowned Italian designer Giorgetto Giugiaro. The new grille echoes the design of the Iveco truck ranges from EuroCargo to Stralis, giving the Daily more of a corporate nose. There are minor tweaks to the van backend too, including new roof air vents and spoiler, which also houses a new rear brake ight and loading area light. The rear lights have also been reworked. External work is ompleted with redesigned door mirrors, incorporating indicator repeater lamps. The inside gets a new dashboard, instruments and steering wheel and the gear lever has moved from floor to dash, improving cross-cab access.

The big changes are under the bonnet, with tweaks to both the Daily engine ranges. All 2.3-litre engine variants gain a variable geometry turbocharger, which helps to reduce emissions and delivers better low speed response. To the driver, there is little difference. All three power ratings are carried over to the Euro 4 variants – 95hp, 114hp and 134hp, while the engine designations remain the same – HPI for the 95 and 114hp variants and HPT for the 134hp top rating. If you thought that 164hp was more than enough from the Euro 3 3-litre engine, then you may not be whipping your cheque book out for the latest 174hp 3.0 HPT variant that replaces it.

Similarly, the 134hp 3.0 HPI rating now rises to 144hp.  Torque is up for both, with350Nm (258lb-ft) on tap between 1500 and 2700rpm from the HPI and a useful 400NM (295lb-ft) between 1250 and 3000rpm from the 3.0HPT, which should be plenty for the Daily's top 6.5 tonnes gross vehicle weight (GVW) rating.

Both engines have twin overhead camshafts, four-valvesper cylinder, with common rail fuel injection delivering the high injection pressures needed for cleaner combustion. Lighter Dailys do not need an exhaust particulate filter to reach the new limits, but heavy-duty models and minibuses are fitted with one as standard.

To cope with the higher power available, the Daily's brakes have been uprated. Larger diameter  brake discs are fitted front and back, with ventilated discs at the front. ABS brakes are standard, load-sensing ESP with hill-holder function is a £260 option. Iveco claims that 3.5-tonne GVW  models will come to rest from 62mph in a distance of 42m. At such a relatively modest price, ESP will be money well spent for duty of care conscious operators.

The Daily's wiring gets an overhaul too. CAN-bus electronic architecture reduces connections by around 30% and there is an improved diagnostics interface too. A trip computer and radio/  MP3 player are standard. The Daily nose job signals further changes inside and it will be the reworked interior that drivers will see most. Agile models have had the gear selector mounted on the dashboard from launch last year, although manual models continued with a floor-mounted shift. The new dash accommodates the gear shift for all models, which multi-drop drivers will appreciate.

The basic switch gear maintains the major controls on column stalks, but there are new instruments, a new steering wheel, revised heating and ventilation controls, and more stowage space. Door bins, cubbies of various sizes and three DIN-size storage compartments in the dash ought to satisfy most users. If not, overhead stowage space is an option. Less obvious changes elsewhere include new rear door locks, new fuel tanks providing at least 200mm more ground clearance and a new side sliding door mechanism.

The instruments do not get our vote because of the cheap looking markings and disappearance of the green economy indicators on the rev counter. The range of adjustment for the driving seat makes up for there being none on the steering. The battery of minor switches for mirror heaters, air suspension and other functions on the outgoing dashboard has been  replaced with a line of identical switches across the centre of the dash. If anything it is less userfriendly than before, with functions difficult to distinguish at a glance. By contrast the three new dials controlling the heating and ventilation are clearly marked and within easy reach.

Start the 3-litre engine and it reminds you just how well sorted it is. There is the smooth and refined tickover, while the new 174hp variant provides all the performance necessary for effortless 6.5-tonne operation. It was only available to us in a fully laden 3.5-tonne 17cu-m capacity van at the launch. The performance was impressive – it was not easy to determine whether it was loaded or not. But the dash-mounted manual gearshift needs some work. The six-speed box has a wide gate and imprecise movements. In other respects, the new Daily does impress. The steering delivers good feedback to the driver, fully laden, the ride is firm but comfortable, soaking up most bumps and irregularities.

We drove the 144hp version in a 35 C15 chassis-cab with dropside body, fully laden. It may lack the outright performance of the 174hp variant, but that is almost academic at 3.5-tonnes GVW. Performance is more than adequate.

Conclusion

Overall, the new Daily left a good impression. It is still good to drive, but feels more assured from the driver's seat, while the suggestion that the 2.3-litre engine has been hushed up will improve the appeal of Iveco's smaller lump. Even so, the 3-litre engine is the jewel in the crown thanks to its seamless delivery and quiet operation.

Iveco launched the Agile automated gearbox with the 3-litre engine a few months ago – originally it was only available with the 2.3-litre motor. A brief drive on a test track showed how well the torquey engine and smooth shifting automated box work together. It should mean easy stop/start operation without the fuel consumption penalties of a full automatic. The Daily arrives in the UK from June, but it will be  September before models become available in numbers. Buyers can expect a 1% rise in price compared with the current model.

A 4x4 model with increased ground clearance and serious off-road capability is undergoing UK type approval and will probably be available from early 2007. Models will be powered by the 3.0 HPI 144hp engine.