Which issues? It is described as "RECOMMENDED" by honestjohn.
(As is the Kuga BTW)
I guess the following would be food for thought..
What's Bad
Standard 1.6 and 2.0 diesels EU III. 2.0 diesel available as EU IV, but emissions and VED go up a VED band.
Complaints of selecting reverse rather than 1st due to narrow gate on diesel's 6-speed manual.
Complaints of worse than 40mpg from 2.0 diesel cruising at 80.
Complaints of dash top reflections in screen by day and instrument reflections at night and that the 'floating' instrument panel is hard to use.
Complaints of poor fuel economy of 5-cylinder petrol automatics, though these owners may not have been aware of free dealer software update to address this (see Recalls).
What to Watch Out For
Special plastic electronic 'key' can get stuck in dashboard and in January 2006 Volvo was quoting until May 2006 to supply a replacement, offering custmers courtesy cars for that period.
Timing belt tensioners of D5s have been failing, so advisable to change belts and tensioners at 4 years or 60k miles whichever comes first.
Problems with 2.0 diesels include: brake vacuum pump failure, wheel bearing failure, EGR valve failure, aircon issues, software problems and electrical gremlins.
End of plastic dipstick of 1.6 diesel engine can break and drop into sump requiring removal of sump to retrieve it.
Recalls
Summer 2005 TSB for 5-cylinder petrol automatics for a free software update to improve mpg and gear changing.
July 2006: 'Active Service Action. A56018' "Volvo quality follow-up procedures have identified that on a small number of S40/V50 models the parking brake has not been properly engaged whilst the car is parked, resulting in the car being able to roll away. As a result, Volvo Car Corporation has decided that potentially affected vehicles should have an adjustment carried out to the parking brake mechanism. It has also been decided to update the Owner's Manual, including the provision of a supplementary instruction booklet. This provides clarification on correct use of the parking brake."
Early 2007 TSB to modify the brake vacuum pump/servo on pre 2007MY 2.0 diesels to same spec as 2007MY.
11 /12/2006 R/2007/006 VOLVO CAR S40 engine may fail
29/11/2007 R/2007/176 VOLVO CAR C30, S40 & V50 braking performance may be affected
21/01/2008 R/2008/013 VOLVO CAR S40 and V50 engine fuel pump may fail
15 05/03/2008 R/2008/040 VOLVO CAR C30,S40.V50 AND C70 reduced braking performance
25/04/2008 R/2008/066 VOLVO CAR S40,V50 AND C30 rear wheels may loosen
17 17/07/2008 R/2008/112 VOLVO CAR C30, S40, V50, C70. power steering pipe may leak.
S40 403368-432659 S40 403368-432659
18 22/07/2008 R/2008/116 VOLVO CAR C30,S40 & V50 accelerator pedal may not return to resting position
19 06/03/2009 R/2009/024 VOLVO CAR S40, V50, C30 possible engine bay fire
22-4-2009: Volvo Cars is to recall over 20,000 2007 build C30s, S40s and V50 diesels across Europe to check for faulty cooling fans. The company will install a plastic cover over the fan, spokeswoman Maria Bohlin told AFP. "There is a control module in the cooling system and because there was a manufacturing problem with this module... water might get into it and in the worse case scenario lead to short circuits," she added. Letters had already been sent out to owners.