I have driven a Peugeot 206 1.4 LX and found it to be quite a pleasant experience. The build quality seems fairly good and the dashboard layout is a world away from previous offerings in the 106 and 306. It is much better laid out and more convenient for the driver, especially the central pod. The dials are clear, and it has a nice, adjustable, chunky steering wheel.
The 206 has plenty of room inside for a regular family and a fair-size boot - in fact, thanks to its better packaging, it almost matches the much bigger 306 for interior space. The ride is on the firm side but gives very precise handling, maintaining Peugeot's reputation for fine-handling cars.
The gearbox is a reasonable unit to use, giving smooth changes, and the powerful disc brakes work well. It has a very high level of equipment as standard, including items such as air-con, electric windows, central locking etc.
The engine seemed quite a lively little unit, but I still think Peugeot could improve its petrol units in comparison with the excellent turbo-diesel engines. I would like to see the 2.0 HDi unit in the otherwise excellent 206.
The latest styling details really make this model stand out from the pack, giving it a cute but aggressive edge. It certainly makes the Fiesta look ultra-boring, as well as beating it on interior/boot space. Where the 206 gobbles up luggage, the Fiesta struggles to fit a pushchair and a few squashy bags, hampered by wheel-arch intrusion. I was very disappointed with the Fiesta in this respect.