Yes. If you want real life fuel economy it has to be diesel. Not only that, but the diesel is a much more pleasant car to drive. Being more torquey and the better performer size for size, as well as having lower emissions and therefore a lower tax band.
The only first hand experience I have of a hybrid is when a work colleague was lent a Prius as a courtesy car when he put his (used) Diesel VW Passat back to the Toyota dealer he bought it from for some remedial warranty work. On the way to the garage, the trip computer on his Passat was reading an average of 56 mpg. On the way back, with the Prius, he didn't manage to get it above 35 with the same kind of driving. I had a drive of the Prius, and thought it wasn't a patch on his TDi 130 Passat.
Another big difference is the fact that a big percentage of us drive vehicles with a manual gearbox. It is generally reckoned that an auto 'box will lead to an approximate 10% drop in economy and with fuel at £1.50 a LITRE at my local station, I want to squeeze every inch I can out of a tankfull!
2008 2.0 TDCi Zetec