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Peugeot's hot 207 GTi will go on sale in June priced at £14,995, undercutting its major rivals.
The 175PS 1.6-litre turbo hot-hatch will rival cars such as the Renault Clio 197 and the recently launched Vauxhall Corsa VXR as well as the Mini Cooper S, which shares the same 1.6 engine.
Despite being a hot-hatch with a 0-62mph time of 7.1 seconds, Peugeot claims the car will return a 39.2mpg average fuel consumption and sits in the 21% benefit-in-kind tax band.
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Standard kit includes rear parking sensor, speed limiter coupled with cruise control, automatic headlights and wipers, dual zone climate control, powered folding electric door mirrors and auto-dimming rear-view mirror.
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