Well I had a rental passat for 9,000 miles last year and I've currently got a Legacy 2.0d Estate so here is my view.
Passat is bigger, more refined (engine and wind noise) and CONSIDERABLY more economical. For my driving it would easily achieve over 50MPG whereas the Subaru struggles to do 40MPG. However, you say you do lots of short journeys plus tomwing so you won't achieve what I am getting.
Does the MPG really make a difference to you? Lots of short journeys and 500 mile trips every couple of months - work out your annual mileage at 50MPG and 40MPG and you may be surprised at how little it actually makes to your back pocket.
The Legacy I feel is better built and I reckon would last better and not feel 'baggy' so quickly. It also has 4WD so may be better for towing especially if you go to muddy fields. However 1400KGs seems rather a lot for either car in my opinion.
If I was putting my private money into either of these cars it would be the Subaru. I feel it is the better long-term car however the Passat will be nicer the first time you drive it. The Subaru has plenty of nice features that you will experience over time, ie Xenon headlights, heated seats, heater elements in windscreen to stop wipers freezing to the screen, 4wd for sure-footedness in all weatehr conditions.
That's just my view.
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