Thats not really true. Some slip liners, some crack blocks, some blow headgaskets, crankshafts wear out, etc etc. If I had to guess, most rover v8s that were ever made have either been recycled or still exist in a mechanically useable state but with crap electric components or a rusty car around them.
Thats more than fair enough
Plenty of those to choose from, even with AWD, audis and subarus and so on. Ive got a subaru legacy 3.0R spec.b manual estate, I love it, but they arent for everyone.
With the best will in the world, a 300tdi, or probably any of the land rover diesel engines, will never make the power of a V8 with a mild camshaft and a tune.