Buying Guide: Peugeot 306

Easy to work on, cheap to buy and run and fun to drive, there’s plenty to love about the increasingly rare 306

How to buy this underrated little French go-kart.

It’s a quarter of a century since the 306 reached UK roads, yet it still looks so fresh that it can be hard to think of this stylish hatch, estate, saloon and convertible as having achieved classic status. Out of production for almost two decades, this Peugeot is getting rarer than you might think, which is a shame – so now’s the time to snap one up while you’ve still got a chance .

Which one?

While the hotter models such as the Rallye, XSI and GTI-6 get all the attention, there’s a raft of other editions offering usability, enjoyable handling and value by the bucket load. The naturally aspirated diesels are best avoided because the turbocharged alternatives offer usefully more zip without much of a real-world fuel consumption penalty. The diesel engines are indestructible if maintained – but neglected cars aren’t rare. The eight-valve XSI engine is also superb because it’s very strong; it’s essentially a cast-iron version of the 205 GTI engine and the bottom end is much the same as that of the GTI-6. Don’t dismiss the more ordinary petrol-engined 306s as you get so much car for your money. They are, however, surprisingly rare as when new, most 306 buyers went for something sporty or a diesel.

Meanwhile, the 306 GTI-6 is everything you could want in one car – you get hatchback practicality, incredible pace, a brilliant driving experience and if you look after it there’s even investment potential. The same is true of the Rallye, XSI and S16. But while the 16-valve S16 is more powerful than the eight-valve XSI, the latter has a wider power band with more mid-range torque, so it can be the more satisfying to drive. Incidentally, while the XSI didn’t get anti-lock brakes as standard and came with three or five doors, the S16 got ABS and came with three doors only; it was this model that evolved to become the GTI-6 with a smoother, more powerful engine and (for the very first time in a hot hatch) a six-speed gearbox as standard.

Also, the 1997 facelift brought a 16-valve engine for the XSI.

Predictably, finding a cherished example of any of these sporty editions can be tough. These are cars that beg to be driven hard, which isn’t a problem if tired components are replaced – problem is that too many sporty 306s have been neglected.

Bodywork

Predictably, the sportier 306s are the most likely to have gone backwards through a hedge, so if you’re buying something warm or hot be sure to analyse the panels gaps very closely. The plastic bumpers don’t rust but they can get peppered with stone chips. The same goes for the bodywork but Peugeot fitted galvanised panels throughout, which is why visible bodywork corrosion should be minimal. If there’s evidence of much rust, it’s likely because the car has been crashed and cheap pattern non-galvanised panels have been fitted. The panel supply situation is still pretty good, with OE and pattern parts generally available, though some Peugeot bits are getting scarce. If opting for pattern parts the fit is usually pretty good – but not always. While the visible outer panels should still be in fine fettle, the underside might not be, as a rubberised underseal was used. Corrosion sometimes takes hold behind the coating, which can then peel off to reveal holed metal behind. Focus your inspection on the chassis legs inside the front inner wings and the front jacking points where they meet the subframe.

Phase 3 306s were fitted with sideskirts and these tend to mask corrosion, although any rust shouldn’t be extensive. Earlier cars were better built than later ones but there are few Phase 1 306s left. The most valuable 306 – the Rallye – is the one most likely to be affected by corrosion as it was poorly painted, especially in the engine bay.

Anything specific to the cabriolet will be hard to find and it doesn’t help that the roof mechanism wasn’t designed or made to an especially high standard. All cabriolet roofs are hydraulically activated; the pipes and microswitches that