Peugeot fell one step short of providing a true turbo diesel hot hatch version of the 206. A 136bhp version would have been possible, and would no doubt have been quite something, but for its own reasons Peugeot restricted the car to 110bhp, making this a very warm hatch rather than an undeniably hot one. Calling it a GTi, as Peugeot did, was widely regarded as a mistake.Something similar has gone on with the 207, though Peugeot has backed off with the name. The 207 GT HDI uses the same 110bhp 1.6-litre turbo diesel engine, and the dynamic results are almost identical. The 207 is 0.3 seconds slower to 62mph than the equivalent 206, but its top speed is 2mph higher, and the newer car's combined fuel economy of 58.8mpg is too close to that of the previous one to be worth arguing about.There is, however, a big gulf between the two cars. While the 206 was genuinely sporty - even if not to the extent that the GTi tag suggested it might be - the 207 is less effective, more confused, and even less worthy of its GT tag.I'm not entirely convinced by the 207 in any case. There are undoubtedly good points; the Euro NCAP crash test results are exemplary, of course, and you can quickly see how much effort Peugeot has put into pedestrian protection in particular. Apply a firm hand to the extremities at either end and you'll immediately notice how bendy they are. The car will start to absorb some of the energy of a low-speed impact before serious damage has been done to the human being at the other end.But I would have expected some of the 206's issues to have been sorted during the design of the new car. The front passenger has a great deal of room, but nobody else does; the driver's footwell is still quite cramped, and only an indent in the back of the front seats prevents even medium-sized rear passengers from being thoroughly wedged in.The side window line is very distinctive, and it's also highly effective at the front, where it extends well below the level of the windscreen. This is a splendid contribution to visibility, but it's ruined by what happens further back. The windows taper to a point near roof level, leaving a massive, roughly triangular rear three-quarter blind spot at each side of the car. Peugeot is hardly alone in providing inadequate rear visilibity - the disease is widespread among supermini manufacturers - but I do wish someone would reverse the trend.GT is the highest of five trim levels available in the 207 range. Although the initials have sporting connotations, in this case there is also a lot of equipment not provided as standard on lesser 207s. Unique to the GT are directional headlights, an auto-dimming interior mirror, automatic lights and wipers, dual-zone climate control air-conditioning, an alarm, a panoramic sunroof, part-leather trim, silver door handles and colour-coded side mouldings.The list of equipment also includes more obviously sporty items such as an aluminium gearknob, ESP and 17" wheels with low-profile tyres. And it's noteworthy that only the 110bhp HDI engine and the 1.6-litre petrol turbo are available on GT models. Yet there is no suggestion that the suspension is anything other than standard; it certainly does not seem to have been retuned to take into account the wheels and tyres, which create an appalling mismatch.The GT feels awkward in all driving conditions. The fairly soft suspension combines with the unyielding rubber to create a ride which is jiggly and uncomfortable even in town. Many other sporting cars are like that, of course, and they settle down when they're being pushed hard out in the country. But the GT's ride never resolves in that way, and its handling is dull and uninteresting no matter how smartly you press on.The 206 GTi HDI was a driver's car. It had stiff ride quality too, but at least the handling provided some compensation. The 207 GT HDI does nothing to redeem its awkward low-speed behaviour. If you want to find a 207 with star quality, you have to look elsewhere in the range.Second opinion: I like the look of Peugeots in general and the 207 is no exception. It was widely admired by some people I gave a lift to (albeit shoehorned in the back) who cooed over the quite elegant interior. But it's not that great to drive. I thought the gearchange was a bit squishy and it didn't operate quite as nicely as I would have wanted. The car is lovely on smooth roads, but as soon as it hits anything remotely bumpy, the ride quality's about as good as a penny farthing. And as for the rear visibility . . . you'd need X-ray vision to see out of the back corner. Claire Lumb. Engine 1560cc, 4 cylinders Power 110bhp Fuel/CO2 58.8mpg / 126g/km Acceleration 0-62mph: 10.1 seconds Top speed 120mph Price £14,745 Details correct at publication date
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