MODERN CLASSICS
WISE BUYER
1991-2003 James Walshe explains how to buy an example of this sparkling supermini
Why you want one
When engineers at Peugeot are tasked with building a small car, they almost always hit the jackpot. The company has a proud history of offering superminis that not only tick the boxes for practicality and ease of ownership, but they're fizzing with chic and class-leading road manners.
The 106 arrived in 1991 and slipped in beneath the 205, the pair sitting alongside each other in the range until the older car was finally canned in 1999. While it hasn’t attracted the 205’s adulation or hero status, the 106 proved to be an immensely popular car across Europe, with low prices and cheap servicing the main appeal at the time. However, as the years have passed, the 106 has become increasingly appreciated by owners for so much more than mere shopping trolley status.
Drive any version and it isn’t long before you discover the magic formula. Steering with loads of feel and cornering that never fails to put a grin on your face – it makes you wonder how other car makers couldn’t do it this well. With the move towards bigger cars in 2023 and no plans to replace the small Pug range (the 108 being the last), these diminutive superheroes will become very collectable, too. Especially the hot versions.
Which one should I buy?
The XSi, Rallye and GTi have a market all their own, with buyers scrambling over each other to get at good examples for sale. The first attempt at a hot 106 was the 118mph fuel-injected XSi, with its dinky five-spoke alloys and neat bodykit. The first version of the Rallye, like the example you see here, is particularly sought-after. Known as the S1, it’s a homologation special that comes with a high-revving 100bhp 1.3-litre engine. The unit is unique to the model – designed to comply with French rally classes – and is mated to a short ratio five speed box. It's also one of the greatest hot hatches of all time and the market has now caught onto that fact! The S2 Rallye was a little more refined with its 103bhp 1.6-litre TU engine, while the GTi was launched with the 1996 facelift cars and got a 120bhp 1.6-litre 16 valve engine.
