True, but capsules were passé, and winged shuttles were 'the future', whether or not they made sense economically!
There are a few advantages to winged/lifting body craft - for instance, they're a lot easier to steer back to a landing site. The weight penalty sucks, but that was supposed to be made up for by reusability. Of course, they could have done reusable capsules a lot cheaper....
For the very same crew number a capsule will weight 5-6 tons when anything with lift (wings, lifting body, biconic) will be past 10 tons.
the best ESA could have done would have been an Apollo-like capsule atop an Ariane 44L.
The biggest problem with Ariane 4 was the fuel - they used very toxic hypergolics, which meant that, when the rocket was fueling, they had to shut down the main highway in the Department(!!).
If the whole series had started with Lox/Kerosene (e.g. using the British Blue Streak as the first stage, as the original ELDO launcher did - and note that that was the ONLY stage that was consistently successful), it would be a lot easier to move up a size to launch a Hermes size craft.
A hidden advantage of hypergolics is that, when the rocket explodes on the pad, the fireball is much smaller than LOX/kerosene. That's the very reason why Gemini had ejection seats only.
The early Ariane (1 through 4) were very, very reliable. Even more reliable than Ariane 5. Which is supposed to be man rated. Which proves, by the way, that the term "human rated" is just bollocks.
There were seven failures between 1979 and 2003. Of the seven failures, FIVE (1982, 1985, 1986, 1994 two times) were traced to the HM-7 cryogenic third stage. Ner use that for manned flight, unless you want GEO astronauts
The very two stage core, Ariane 1 > 44L only had
two failures over 150 flights or so.
- the second flight, May 1980, was first stage pogo, and never manifested again.
- The other failure is probably The Most Silly Rocket Failure Ever.
February 24 1990. A cloth, a handkerchief a mecanician had forgotten in an engine coolant tube.
The engine overheated, stopped, and the unbalanced Ariane 44L veered off course, missed the launch tower by 2 meters (!) and had to be destroyed later.
Beyond that, no failure of the core. Reliability of Ariane 1 - 4 core was something like 99%. Enough to launch astronauts, even if the rocket was never build for that in first place !