I'm in the same position my friend! Here are my thoughts on it:
Corolla:
Pros: Roomy interior, better resale, tougher suspension for long routes/interior driving
Cons: bigger target for snatching, NO ABS, every tom dick and harry has a corolla!
City:
Pros: better fuel consumption, more value for money (in terms of features), ABS is standard
Cons: Squishy interior, build quality is dodgy, City new shape is imminent next year.
In my opinion i'd still go for corolla.