Suddenly Massimo Dutti is at the forefront of a trend, a new departure for this chain that does not follow fashion as intensely as Zara, the largest of its siblings in Inditex, the Spanish clothing colossus. Credit-crunch chic, the by-product of the economic difficulties, is all about beautiful, moderately-priced clothes that stay in your wardrobe for several years, the kind of thing that Massimo Dutti supplies in its 430 stores worldwide.

Competitors in this sector - whose signature garment is the sexy yet timeless caramel-coloured leather jacket (yours for £175 at Massimo Dutti) - include Banana Republic, the Gap group's offer for those who yearn for Ralph Lauren but do not have the lucre.

Banana Republic opened its first UK outlet last week on Regent Street. But Massimo Dutti is also expanding. The latest store made its debut earlier this month in the new extension of Canary Wharf's Cabot Place West mall. A branch of Zara stands next door, bigger and splashier, as if declaring its status as Inditex's favourite child with its 1,144 stores.

I have seldom set foot in a Massimo Dutti since my first Chain Reaction visit to the Kensington High Street store in the summer of 2006. Zara's ever-changing stock appeals to the weakness for novelty. But on a miserable afternoon a week ago, my colleague Judith and I were being so buffeted by the breeze that we slunk into the nearest shop to the mall entrance - which just happened to be Massimo Dutti.

We found a retail sphere where classic does not equate with elastic waist; the impeccable skirt suits in grey and navy (jackets, £110-£135 and skirts, £55) were for those who put in the time in the Pilates studio.

The steel and glass interior was minimalist, but minus some of the chill factor; there were fresh flowers, for example. Judith and I could not stop saying “Oh, isn't that lovely!” at pieces such as the safari jackets (£135) with matching skirts (£55), the belts (£25-£35) and the navy double-breasted cardigans (£79). OK, so we did go to Zara as well, but purely for comparison. On this occasion, Massimo Dutti put its sister in the shade; maybe its time has come.

The links in the chain

Sales at Inditex were €8,196 million in the year to February 2007; net income was €1,002 million

Retail is detail

Layout: understated yet welcoming 9/10

Staff: smarter than the average assistant 7/10

Changing rooms: less immaculate than the rest 6/10

Bags: elegant 8/10

Overall score: haute luxe for the middle-income market 9/10

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