The Peugeot 308 has been a big talking point for the French carmaker since its launch, thanks to an innovative and paired-down interior, alongside its award as European Car of the Year.

Now come the 308 SW, the estate version of the family hatchback, which has the same front-end as its hatch sibling, but a longer wheelbase and rear overhang, of 11cm and 22cm respectively, which should mean increased practicality, with more rear legroom and boot space.

At 4,585mm long, 1,804mm wide and 1,471mm, the car is very similar in exterior dimensions to key rivals like the Volkswagen Golf Estate and Honda Civic Tourer. But does it perform in every category?

Performance

The 308 SW offers six petrol and diesel engines, all Euro-6 compliant and with some impressive efficiency figures to suit. Highlights include the use of PSA’s 1.2-litre 128bhp PureTech three-line petrol, hitting 0-62mph in 12.1 seconds with a top speed of 127mph, and the 1.6-litre BlueHDI 118bhp diesel powertrain does the sprint in the same 12.1 seconds, maxing out at 121mph.

Despite having the same 0-62mph times, the petrol naturally feels quicker off the mark, although the six-speed manual is a bit jumpy, especially in the lower gears.

But, and it’s a big but, the diesel still offers plenty of power for the car, and given the dramatically better efficiency figures (see Costs), and the smoother gear shifts mated to this powertrain, the 1.6-litre BlueHDI seems better suited to the SW.

We also tested the 2.0-litre BlueHDI with 148bhp, which is the swiftest of the bunch, reaching 62mph in 9.8 seconds with a top speed of 134mph. While this has plenty of pull from low down the revs, the 1.6-litre variant remains our favourite, and will be the big seller of the range.

Ride and Handling

The steering is light - perfect to run around towns - though it’s not too vague on motorways. It’s least suited to vigorous rides on B-roads, especially with the addition of some noticeable body roll, but that’s unlikely to be a particular problem for 308 SW buyers.

The French carmaker has knocked 140kg off the weight of the 308 SW versus its predecessor, while also making the centre of gravity 20mm lower, all of which should help improve the dynamics of this car. That small sporty-ish steering wheel, first seen in the 208, still draws opposed views, either seeming awkward or welcoming – we go for the latter, although it’s positioning means it’s still hard to see all of the relevant information behind, such as the speedo. A regular complaint in recent Peugeots. The steering is light - perfect to run around towns - though it’s not too vague on motorways. It’s least suited to vigorous rides on B-roads, especially with the addition of some noticeable body roll, but that’s unlikely to be a particular problem for 308 SW buyers. Peugeot has opted for a soft suspension, although naturally it becomes harder on the bigger alloys (which increase as you go up the trim range), which soak up a vast array of surfaces when cruising. Chuck a few bumps at it consecutively, however, and it quickly becomes unsettled. Still, overall, it’s a composed ride, and refined too, with the 1.6 diesel impressively hushed at high speeds.

Interior and Equipment

When the Peugeot 308 was awarded the European Car of the Year accolade, it trumped cars such as the BMW i3 and the Tesla Model S.

The cabin echoes the 308 hatch, featuring Peugeot’s so-called i-Cockpit, with a 9.7-inch touchscreen and very few buttons, making the interior look oddly sparse in comparison to most, but ever-so-neat as a result. Quality is also massively up, with Peugeot striving for Germanic standards on this front, and not coming far off. There are four trims available: Access, Active, Allure and Feline. Standard on all models is DAB digital radio, USB connection and Bluetooth, as well as LED daytime running lights. Step up to Active and you add rear parking sensors, automatic headlamps and wipers and dual-zone air con, as well as that smart-looking touchscreen. Penultimate top trim Allure includes features such as a reversing camera and front fog lights, while the Feline specs 18-inch alloys, panoramic sunroof and a number of safety systems. Quibbles with the interior include visibility of the instrument cluster behind the wheel, meaning you have to pick your seating position very carefully to see the speedo, while controlling some things, such as heating through the touchscreen can seem a bit laborious. Room in the rear is good; my rather tall driving partner had plenty of headroom and leg room, making this car better in the family stakes than ever before. Boot space is the major talking point here, and the 308 SW is leading the way for not only size, but also accessibility. Hosting 660 litres of luggage room, it beats off many foes, including the Golf Estate at 605 litres, the Civic Tourer at 624 litres and the SEAT Leon ST at 587 litres. Seventy litres of that space is under the floor, which is handy for smaller items, or hiding bits and pieces, while the rear seats fold totally flat creating 1,660 litres of space, which, according to some photos we’ve seen, means the car fits a surfboard inside.  How many 308 SW owners are surfers is another matter. There’s also a wide boot aperture (106cm) and very little wheel arch intrusion compared to its predecessor, making access and item storage far more user-friendly.

Cost

The price tag of the 308 SW is one of its strongest assets as it undercuts both the VW Golf Estate and Honda Civic Tourer.

Peugeot has excelled on the running costs front, with no diesel unit emitting more than 111g/km of CO2. The most efficient in the range is the 1.6-litre 120bhp diesel, emitting an impressive 85g/km with fuel economy of 88.3mpg (15-inch or 16-inch alloys). On those same wheels, the PureTech 130bhp emits 109g/km in manual form and delivers 60.1mpg, while the speedy 2.0-litre diesel emits 99g and offers 74.3mpg. The price tag of the 308 SW is one of its strongest assets as it undercuts both the VW Golf Estate and Honda Civic Tourer.

Our Verdict

Peugeot continues to raise its game with the 308 SW, producing a genuinely good-looking car that offers plenty of practicality and quality to boot. It still doesn’t quite have the driving dynamics of some rivals, but it’s more appealing than ever before. Then there are its Germanic qualities which may sway those who are after something that looks the part but will not hurt the bank. Seriously, its wallet friendly price really cannot be understated. In a nutshell. The 308 SW’s practicality and new-found interior quality will attract the family market, but its range of efficient engines, mainly the 1.6-litre diesel, may lure in some unexpected business customers.