Normally old Volvos are one of the safer bets, but you won't get great MPG from them around town.
But then you will probably save money on repairs compared to a beat up Renault.
Old usually equals expense, simply by definition that it's old and worn.
I've just bought a 1999 Volvo V70 2.5tdi, it's great on fuel for what it is (40+ mpg thus far!) but, since I've bought it it's needed a new battery, alternator, two tyres and last week developed a fuel leak after a return pipe snapped off the fuel filter, all are typical wear and tear items but very quickly my cheap £650 V70 has cost quite a bit more.
I'm not bothered mind you, I bought it specifically for towing a large caravan (which it excelled at last weekend) and for carting my two German Shepherds around in comfort (for them) at this budget I'd assume the OP is a bit strapped for cash and therefore I'd advise to buy as late and unfashionable as possible rather than going for an old but supposedly reliable make...
I bought mine cheap expecting to pay out more on it in repairs getting it right, I dare say the OP doesn't want to be in this situation....
He should buy my Corsa DTi which the Volvo replaced - shame he's miles away!