Yes, swords are much faster, meaning your parry/counter parrys are much better, likewise later on you can weild a two handed sword in one hand, meaning uber power but shield, which makes blocking far far more effective, massively so.
Swords are far better in general as the speed means you get interupted far less, also from what I can tell you can get uber swords far before you can get uber axe's.
Think the game was very good in all, though I felt like the choice between sides was too unclear, which is what made me end up not a mage, without really realising I was cutting myself out of the option. Oh well.
The only real irritation is that its often faster to jump everywhere, rather than run, so I was a bunnyhopping fool for far too much of the game.
Oh, its also very very bug free, infact the only bug I think I had at all, was I levitated to a platform underneath another, "landed" and ended up with half my body stuck in the upper platform, but that was one bug in the entire world.
Not a single crash, not a single incompleteable mission, not graphical glitches that I noticed, no characters stuck anywhere or missing items. Frankly, for a pretty long game thats almost unheard of so well damn done to them. From someone who tried Gothic 3 for all of a couple hours before I wanted to kill myself and gave up, a completely bug free game(or enough for it not to effect the game really at all) is a pleasure.
Even massive releases, FO3, Oblivion and any other game I can think of, Stalker being an obvious one, they all had bugs, lots of them, and not hugely stable.
Keep in mind the reviews are, afaik, all of the 360 one. I get the feeling they have worse graphics maybe, and the control system doesn't work as well on the 360, or maybe they just don't like the hardness, either way, the reviews don't really tie up to the game at all.
Just checked(because a review talked about size when installed to HDD on the 360) and the game is only taking up just over 2GB of hdd space. Tis a pretty huge game, that looks pretty fantastic, for it to only be 2gb in size.