Peugeot 107 New Price UK 2005-2014 Feels Unreal Now
The Peugeot 107 new price in the UK started at about £6,995 for the three-door Urban and £7,345 for the five-door when it launched in June 2005, and it remained a budget city car through the end of production in 2014. By the time the model reached the end of its run, the 107 had built a reputation for ultra-low running costs, simple trim strategy, and strong value positioning in the UK market.
What the Peugeot 107 cost new
The original launch pricing set the tone for the car's whole life cycle: Peugeot kept the entry point low and the spec simple, with the 107 Urban positioned as a stripped-back city runabout rather than a premium small car. In practice, that meant the 107 undercut many rivals on sticker price, while still offering the same 1.0-litre 68bhp engine and compact footprint that made it easy to park and cheap to insure.
| Model year | UK new price | Notes |
|---|---|---|
| 2005 launch | £6,995 3-door / £7,345 5-door | Urban trim, 1.0-litre petrol, 68bhp |
| 2005 onward | £500 extra for auto | Automatic gearbox option |
| 2014 end of run | Model discontinued | Replacement-era pricing shifted to used values |
That launch price matters because it explains why the Peugeot 107 became such a popular first car and urban commuter choice: buyers were paying for a small, efficient package rather than features or power. The car's market image was always defined by affordability, with review outlets repeatedly describing it as a cheap-to-buy, cheap-to-run city car.
Why it feels unreal now
The phrase "feels unreal now" fits the Peugeot 107 because the car entered the UK market at a time when a new car under £7,500 was genuinely newsworthy. Today, that kind of pricing sounds almost implausible, especially for a proper five-door hatchback from a major brand. The 107's original positioning also makes modern inflation, regulation, and equipment creep easier to understand: even the most basic new cars now cost far more than this tiny Peugeot did at launch.
One reason the 107 stood out was its combination of a low price and low operating costs. Reported economy figures for the 1.0-litre petrol version were around 61.4mpg to 65.7mpg depending on version, and insurance groups were especially low, which reinforced its value story for younger drivers and city households.
"The 107 is a tiny little city car."
Price context by year
The Peugeot 107's UK new-price story is easiest to understand as a snapshot of mid-2000s small-car economics. The launch model was priced aggressively, and Peugeot relied on a limited trim line-up to keep the headline figure down. By contrast, later years of the model's life are better understood through used-car data, since the 107 was no longer a new-car purchase by the mid-2010s.
- 2005: Launch pricing at £6,995 for the three-door and £7,345 for the five-door.
- 2005: Air conditioning was an optional extra at £500, showing how bare-bones the entry model was.
- 2005-2014: The 107 remained on sale as a simple, economical city car with a 1.0-litre petrol focus.
- 2014: The model's run ended, leaving used examples as the main way to buy one.
How it compared
At launch, Peugeot positioned the 107 against closely related city cars rather than larger superminis, and the strategy was clear: be one of the cheapest ways into a brand-new hatchback. The result was a car that was easy to recommend to first-time buyers, especially because its efficiency, tiny dimensions, and low tax/insurance profile matched the needs of urban drivers.
| Factor | Peugeot 107 launch-era position | What it meant for buyers |
|---|---|---|
| Price | Very low | Accessible entry to a new car |
| Engine | 1.0-litre, 68bhp | Enough for city use, not built for speed |
| Running costs | Low mpg and insurance burden | Budget-friendly ownership |
| Equipment | Minimal at base level | Kept the purchase price down |
For buyers in 2005, the value proposition was straightforward: spend around seven grand and get a brand-new Peugeot badge, low fuel consumption, and a car small enough to make city driving painless. That is why the 107 is now remembered as a symbol of an era when new-car affordability looked dramatically different from today.
Used-market aftermath
Once production ended, the 107's pricing moved entirely into the used-car world, where values stayed remarkably low. Recent market data shows average used examples in the low-thousands, which reinforces just how inexpensive the car has become relative to its original new price. That gap is one reason the 107 attracts attention in retrospective pricing articles: it highlights how much value small cars lose over time, even when they remain mechanically simple and easy to run.
Current used-car pricing also shows that later model years can still command a premium over early ones, especially if mileage and condition are strong. A 2014 example is typically priced above a 2005 or 2006 car, but both remain far below the car's original list price, which is what makes the launch figure so striking in hindsight.
- Identify the year and body style first, because the 107's value changes materially by registration year.
- Check mileage and service history, because low-priced city cars can hide wear from short-trip use.
- Compare against similar Peugeot 107 listings, since condition can move price by hundreds of pounds.
- Remember the original new price, because it shows how far the car has depreciated since 2005.
Ownership appeal
The 107's long-term appeal was never about luxury; it was about keeping motoring simple and affordable. The 1.0-litre petrol engine produced modest power, but it was efficient enough to make the car a sensible choice for commuting, shopping runs, and new drivers who wanted predictable costs. That combination of price, economy, and size is why the 107 still gets referenced whenever people talk about cheap new cars from the mid-2000s.
Its small-car formula also helped Peugeot build trust in a market segment where buyers often looked for the lowest possible total cost of ownership. With low emissions for the era, compact dimensions, and a basic but functional interior, the 107 delivered exactly what budget buyers expected.
Takeaway for buyers
If you are looking at the Peugeot 107 today, the key number is not its current used value but its original UK launch price, because that puts the whole car into historical perspective. The 107 arrived in 2005 at a price point that now feels almost impossible for a new branded hatchback, and that is exactly why it has become such a shareable example of how car pricing has changed.
Expert answers to Peugeot 107 New Price Uk 2005 2014 Feels Unreal Now queries
Was the Peugeot 107 cheap when new?
Yes. At £6,995 for the three-door and £7,345 for the five-door in 2005, the Peugeot 107 was priced to compete as one of the UK's most affordable brand-new cars.
When was the Peugeot 107 sold in the UK?
The Peugeot 107 was launched in June 2005 and remained in production until 2014.
What engine did the Peugeot 107 have?
The main UK petrol engine was a 1.0-litre three-cylinder unit producing about 68bhp, which was aimed squarely at city use and economy rather than performance.
Why is the Peugeot 107 remembered now?
It is remembered because its original new price, low running costs, and tiny footprint captured a moment when genuinely cheap new cars were still available from mainstream brands.