In your case I would agree .. if you compare S1 and the 200 or 300tdi fitted to them .. gas is probably the go.
However, Maxi is looking at a later model Series II so he has an option to get TD5 which I believe will be on a par with a V8 on running costs. I agree .. 20k service interval is a bit much even for a TD5 .. but there is no need to oil change a TD5 every 5000km's even if used extensively in the bush. I would say 15k if you only do city driving and 10k if used in scrub.
Also, the info you gained talking to Rover mechanics regarding high bills for Diesel repairs is also based on earlier models. To date I haven't heard of any TD5's spitting the dummy in such a way that there should be a concern when considering the TD5 for long term reliability.
Any case ... I do think it comes down to how you use the vehicle.
Cheers,
Henry


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