Here's a short mini-howto for setting "vimdiff" as default "svn diff" replacement.
These steps should work on most/all Debian-based GNU/Linux distros (e.g. Ubuntu).
1) Write a small wrapper script:
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#!/bin/bash
DIFF="vimdiff"
$DIFF ${6} ${7}
2) Edit your subversion config:
In "~/.subversion/config"
Override the default diff command by adding this line in the "[helpers]" section:
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diff-cmd = svndiff
Now, "svn diff" calls vimdiff