Fabia everytime, these cars are awsome!! loads of fun, tuneable, reliable and you get a lot for your money.
I am an Ex VW tech of 7 years then went to Skoda as Senior tech, i pretty much know these inside out.
The engine is straight out of a Golf GT TDi, in my opinion the best deisel engine ever made!! The same technology that took Audi to victory a few years back at Le Mans!! absolutaly bullet proof (as long as regular servicing is adheared to). It is actually a de-tuned version of the 150 bhp Mk4 Golf Aniversary engine (just a smaller intercooler and different Mapping) you wont see less than 38 - 40 mpg, even if you thrash it!!
The Fabia is 'multiplexed' basically the electrics are digital, unlike the Octavia wich only uses some multiplexing the fabia is around 90% digital, the Octavia still uses 12v switching relays the Fabia has computerised 5v digital pulses wich means they can be much more precise and controled.
The Fabia's handling i think is quite good, well balanced and quite stiff, just look how far Skoda WRC got when they ditched the Octavia and put the Fabia on the stages!! I think the Octavia, allthough still a great car is a bit wollowy in comparison, if i was off for a thrash down the lanes of the twothe Fabia wins hands down...the only down side is that the deisel only revs to just over 5k i think, wich makes it a bit of a different driving experiance, the 6 cogs and torque that could pull the QE 2 into dry dock makes up for it tho!!
If your not too fussed about having a small car then go for the Fabia,
the Octavia is old technology in comparison, you will see what i mean when you drive them!!
Its defo a modern classic....
Paul....