Although I have had a few niggles with this car, I must say it's enjoyable to drive regardless of its minor faults.
The car, though not the quickest in the 'hot hatch' range, manages to get you off the mark and down a straight line pretty quick. The engine is best in the mid-rev range.
Peugeot's are not known for their reliability, but I fell in love with the car when I saw it - it has distinctive and sharp styling, and the alloys look great. Get the SP kit (with SP grill and arches- looks nice). I use it as a daily runner - my other car is a Honda Civic S-type, which wins hands down in terms of reliability.
But for a good bit of fun, you won't go wrong with the car. Handling is responsive (though unconvincing in the wet), and there's no traction control, steering feedback is good though. To sum up it's a fun drive.
The car is nippy, although VERY thirsty on fuel - I only manage to get about 26mpg (though it's all city driving) - so expect to fill up often. My wallet has been heavily impacted, I'm shocked at how thirsty it is for a small car - trying to drive economically doesn't really much of a difference either. Nonetheless, you get on with it, and the fun drive always makes up for that shortfall.
Although the car has its issues as described above, it's bearable. They are all small niggles and often inexpensive to repair (I have a warranty third party) - coil pack was approx £100 and the rest was usually resolved by diagnostics reset. The boot sensors/ central locking sensors, sometimes go crazy in cold/wet weather, so I unplugged the boot sensor as it would never let me lock the car with remote.
I have been told that wishbones are also prone to high wear and tear on these models - I don't thrash the car, so don't see why one of mine gave way! But, parts are inexpensive generally so not much to moan about.
The cabin is quite dull and boring, but surprisingly comfortable. I'm 5ft 11 and fit comfortably with all the steering/seat adjustment options. Back space is limited and can only fit 2 small adults/kids, but then again it's a 3 door, so you didn't buy it for ferrying passengers did you?
Equipment is decent and what you need really - air-con is faultless (though sometimes makes an annoying whistle), auto headlamps are handy, and the 6 CD changer and steering remote are nice additions. The on-board computer display also is handy as it can display a host of trip/fuel info. Half leather seats are a bit naff, but most people seem to like them.
Peugeot also charge £70 for diagnostics tests, but when I gave my car to them they discounted it to £35 when nothing was found at fault - they didn't have to so I appreciated that.
To sum up, it's a fun car to drive, I can see why it would appeal to young drivers (21-26 age) as it's cute, nimble, and gets you from A-B fairly quick. The engine is quote 'torque-y' at 3000-4000rpm, and has a nice grunt to it, which is always a plus.