My mother has a A3 and that has been an excellent buy - they are fine over 100k miles as well given German durability - just check the cambelt has been replaced at around 70k miles (and that is a general tip), also worth seeing if the cam chain is ok too if you can inspect it.....
You should be able to get a 2000-2001 Skoda Fabia with sensible mileage for that sort of money. 1400cc petrol is ok but the 1.9 diesel gives 50+ mpg with no bother at all. As has been said, check the cambelt has been changed at 70k.
I want a smaller engine because of the cheaper tax and insurance that is available. The cam belt tip is great, thanks. Yes, Cazzz, I've looked all over but there's nowt better than getting folk's opinions.