Peugeot 107 Review: A Small City Car With Big Practical Value
The Peugeot 107 remains one of the most affordable and fuel-efficient compact hatchbacks ever produced by Peugeot. Developed together with the Toyota Aygo and Citroën C1, the Peugeot 107 became popular across Europe thanks to its low operating costs, compact dimensions, and surprisingly reliable Toyota-engineered mechanical components.
For urban drivers, first-time car buyers, students, and commuters, the Peugeot 107 still offers impressive value in the used-car market. Although it lacks the advanced technology and safety systems found in newer vehicles, it continues to attract drivers looking for a practical and economical city car.
Overview of the Peugeot 107
The Peugeot 107 was introduced in 2005 and stayed in production until 2014 before being replaced by the Peugeot 108. The vehicle was produced through a collaboration between PSA Peugeot Citroën and Toyota in the Czech Republic. (AutoWiki)
The car belongs to the A-segment city car category and was mainly designed for urban mobility. Its compact body dimensions make it extremely easy to maneuver in crowded cities and tight parking spaces.
Key Specifications
| Specification | Peugeot 107 |
|---|---|
| Production Years | 2005–2014 |
| Body Type | 3-door / 5-door Hatchback |
| Engine | 1.0L 3-cylinder petrol |
| Power Output | 68 hp |
| Transmission | Manual / Automated Manual |
| Fuel Economy | Up to 65 mpg (UK) |
| Top Speed | Around 157 km/h |
| Seating Capacity | 4 passengers |
Technical data from automotive catalog sources shows that the 107 delivered exceptional fuel efficiency, with some variants consuming as little as 4.3L/100 km. (Automobile Catalog)
Exterior Design
The Peugeot 107 features a youthful and playful design. Its rounded headlights, short overhangs, and smiling front fascia helped it stand out in the city car market during the late 2000s.
Despite its tiny dimensions, the vehicle looks modern even today. Peugeot refreshed the design several times during production, especially around 2008 and 2012, improving bumpers, sound insulation, and styling details. (Automobile Catalog)
Exterior Highlights
Compact dimensions for easy parking
Lightweight construction
Stylish urban appearance
Available in multiple bright colors
Optional 5-door practicality
The compact wheelbase makes the car agile in urban traffic. According to automotive reviewers, the 107 performs especially well in narrow streets and congested city centers. (Gumtree.com)
Interior and Comfort
Inside, the Peugeot 107 offers a simple but functional cabin. The dashboard layout is minimalist, reflecting the car’s affordable city-focused mission.
The front seats provide decent visibility and comfort for short commutes, while rear space is limited, especially for taller passengers. The 5-door version improves access significantly.
Interior Features
Depending on trim level, features may include:
Air conditioning
Power windows
CD player with AUX input
Bluetooth connectivity
Leather steering wheel
Split-folding rear seats
Higher trims such as the Allure version added alloy wheels and LED daytime running lights. (Autotrader)
Engine Performance and Driving Experience
The Peugeot 107 is powered mainly by a 1.0-liter 3-cylinder petrol engine producing around 68 horsepower. While acceleration is modest, the lightweight body makes the vehicle feel lively at lower speeds.
Driving Characteristics
| Category | Performance |
|---|---|
| City Driving | Excellent |
| Highway Driving | Acceptable |
| Fuel Efficiency | Outstanding |
| Ride Comfort | Good for class |
| Noise Insulation | Average |
| Steering | Light and responsive |
Auto reviewers praised the engine’s character and low running costs, although highway refinement is not its strongest point. (Auto Express)
For city driving, however, the Peugeot 107 excels thanks to:
Tight turning radius
Easy parking
Lightweight steering
Economical fuel usage
Low insurance costs
Fuel Economy
One of the strongest reasons people still buy the Peugeot 107 is its exceptional fuel economy.
Many manual variants achieve more than 65 mpg under ideal driving conditions. (Autotrader)
Estimated Fuel Consumption
| Driving Condition | Estimated Consumption |
|---|---|
| City | 5.0L/100 km |
| Highway | 4.0L/100 km |
| Combined | 4.3–4.6L/100 km |
This makes the 107 one of the cheapest petrol cars to run in its class.
Reliability and Common Problems
Reliability is one of the Peugeot 107’s biggest advantages because Toyota played a major engineering role in the project. Multiple automotive reviews highlight that the car benefits from Toyota-style mechanical durability. (Autotrader)
Common Problems
Like any aging used car, the Peugeot 107 has several known issues:
| Common Issue | Details |
|---|---|
| Water Leaks | Around tail lights and doors |
| Clutch Wear | Frequent in city-driven cars |
| Rust | Older examples may rust underneath |
| Exhaust Issues | Exhaust components can wear early |
| Steering Problems | Some owners report power steering failure |
Reddit owner discussions also frequently mention water ingress, clutch wear, and catalytic converter issues. (Reddit)
Despite these concerns, many long-term owners report that the car remains dependable with proper maintenance.
One Reddit user described the Peugeot 107 as “pennies to run” after 10 years of ownership. (Reddit)
Safety
Safety is one area where the Peugeot 107 shows its age.
The car received a three-star Euro NCAP rating under updated testing procedures because it lacks many modern active safety systems. (Auto Express)
Standard Safety Equipment
Front airbags
Side airbags
ABS braking system
Electronic brakeforce distribution
Stability control (on later models)
While acceptable for its era, the vehicle does not match modern city cars in crash protection technology.
Used Car Buying Guide
If you are considering purchasing a used Peugeot 107, inspecting the vehicle carefully is essential.
What to Check Before Buying
Clutch condition
Water leaks in the trunk and floor area
Rust underneath the chassis
Service history
Catalytic converter condition
Brake performance
Tire wear consistency
A well-maintained example can still deliver years of economical driving.
Peugeot 107 Pros and Cons
Pros
Extremely fuel efficient
Cheap insurance and maintenance
Excellent city maneuverability
Toyota-engineered reliability
Affordable used prices
Cons
Limited rear passenger space
Small luggage compartment
Basic interior quality
Weak highway refinement
Older safety standards
Peugeot 107 vs Competitors
| Feature | Peugeot 107 | Toyota Aygo | Citroën C1 |
|---|---|---|---|
| Fuel Economy | Excellent | Excellent | Excellent |
| Reliability | Very Good | Excellent | Very Good |
| Interior Quality | Basic | Slightly Better | Basic |
| Running Costs | Very Low | Very Low | Very Low |
| Resale Value | Moderate | Strong | Moderate |
Because the three vehicles share many components, the differences are mostly cosmetic and trim-related.
Is the Peugeot 107 Worth Buying in 2026?
For drivers seeking an affordable urban vehicle, the Peugeot 107 still makes sense in 2026.
It is not a luxury hatchback, nor is it a performance car. However, it delivers:
Very low ownership costs
Proven reliability
Excellent fuel efficiency
Easy city usability
If you mainly drive in urban environments and want inexpensive transportation, the Peugeot 107 remains a smart used-car option.
Drivers who prioritize advanced safety systems, long-distance comfort, or larger cargo capacity may prefer newer alternatives.
Final Verdict
The Peugeot 107 proves that simple city cars can still offer tremendous value years after production ended. Its combination of low running costs, compact design, and reliable mechanical engineering helped it become one of Peugeot’s most successful urban hatchbacks.
Although the interior feels basic and safety technology is outdated by modern standards, the 107 continues to shine as an economical commuter car and an ideal first vehicle for budget-conscious drivers.
For buyers searching for practical transportation without expensive ownership costs, the Peugeot 107 remains one of the best used city cars available.
Author Bio
Azka Kamil – Automotive Enthusiast
Azka Kamil is an automotive enthusiast who regularly writes about global car trends, vehicle reviews, automotive technology, and the used-car market. His work focuses on practical vehicle ownership, reliability analysis, and helping readers make informed automotive decisions.