Parkers overall rating: 4 out of 5 4.0

Should you buy a Peugeot 106?

The Peugeot 106 in all its forms is rapidly heading towards modern classic status. The standard petrol and diesel versions are all cheap to run and more importantly, to buy right now. And despite rumours to the contrary, the 106 is well built and fundamentally reliable – and you can buy with confidence if you’re looking for a cheap runaround and aren’t planning on doing any long motorway journeys.

Cars to consider instead are the closely-related Citroen Saxo, Nissan Micra and Ford Ka. The Peugeot is better to drive than the Nissan, better built than the Ford and more widely available than the Saxo. And if you avoid the sporting versions, they’re cheap as chips to buy, with good examples available from as little as £500.

But the sporting models are the stars, and are modern classics in their own right. The XSi, GTi and Rallye models are already there, with the latter rising in value sharply since 2018. These rises come hand in hand with the stellar rise of the Peugeot 205 GTi, and what makes the 106 so appealing compared with the 205, is that it’s properly built, and if you buy smart, you can find a nice one for a fraction of the price of their legendary predecessor.

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