Peugeot 205 – Plucky Pug Turns 40

The French. You’ve gotta love ’em. They can be a quirky bunch, at least when it comes to vehicle design. I guess you have to be a little unconventional to enjoy eating terrestrial pulmonate gastropod molluscs, the legs of amphibians and andouillette (if you know, you know), but culinary controversies aside our Gallic neighbours have produced some of the coolest and most revered rides of all time. From the Citroën SM with its hydropneumatic air suspension and the XM’s single spoke steering wheel to the twin-engine setup of the 2CV Sahara and the propeller-driven Helicron they have produced some incredibly interesting cars over the years. But then they also come up with some that are devoid of quirk and with not a gimmick in sight, just, simply put, good cars. And one such good car, a great car in fact, is the Peugeot 205 – a fantastic little hatchback that turns 40 this very month.

The 205, in any guise, is a brilliant little car to own and is as equally effective as a daily runabout as it is a starter classic or investment piece (we’re looking at you Monsieur GTi). But don’t just take our word for it. The Peugeot 205 was the most sold classic car in 2022 in France with 8,000 transactions. After four whole decades in the game that speaks volumes as to the car’s enduring popularity. If it was rubbish, people wouldn’t buy it, it’s as simple as that. Unveiled in February, 1983 the 205 was launched around a similar time as other new cars in the supermini class; cars like the Fiat Uno and Vauxhall Nova, for instance, but the Peugeot’s entry into the market was actually conceived as a project, named Projet M24 way back in ’77.

Eschewing the more compact dimensions of typical Euro minis at the time Peugeot decided to increase the footprint of the 104 upon which the 205 was based in order to offer slightly more room for the car’s passengers and their collective luggage, a move that would prove a winning formula. It also allowed for the use of larger engines, a move that would prove to be a game-changer when the GTi hit the streets. Combine that with MacPherson struts up front and trailing arms and torsion bars at the rear, giving the 205 it’s famed balanced handling and you’ve got something that just works.

Although Pininfarina was asked to put pen to paper for the 205 Peugeot actually ended up with an in-house design overseen by Gérard Welter, a man who would later go on to create the WM Peugeot P88, a car that set the top speed at Le Mans when in 1988 it achieved a frankly staggering 251mph on the Mulsanne Straight, a feat that subsequently prompted the powers that be – l’Automobile Club de l’Ouest – to install the two chicanes on the straight and they, along with Welter’s record, remain to this day. Paul Bracq was brought on board to design the interior and between the two, with their collective talents and experience, settled upon the final aesthetics of the 205 we all know and love today.

Upon launch the boggo 205 was offered with five-doors and the 45bhp, 1.0-litre engine and four-speed gearbox from the 104 from which it was borne but the full range consisted of various levels of trim and engine displacement, including the GL, GR (1.1-litre), GT (1.4-litre), GLD and GRD (1.8-litre diesel). With numerous accolades incoming from the motoring press all were well received and gave discerning buyers plenty of options when it came to their new and improved small car for the masses but it wasn’t until March of ’84 that the 205 got all sporty and in the land of the hot hatch the GTi is King. Widely renowned and respected the Peugeot 205 GTi remains one of the best to ever wear the badge and is generally accepted as the greatest of that feisty bunch of ’80s yobbos.

Hot on the heels of the Volkswagen Golf GTi, the 205 GTi, with its new 1.6-litre XU engine delivering 105 horsepower, was well placed to compete and would go on to define this new hot hatch market for which it was intended. Wearing some additional muscular appendages with confidence it certainly looked the part and although not quite as quick as the Golf it was more affordable and still those excellent road manners took centre stage ahead of any perceived performance shortfalls. It was still capable of 115mph and a sub nine second 0-60 dash, however. For those that did want a little more oomph, however, they would only have to wait a couple of short years for the 1.9 GTi to make its grand entrance.

The 1.6 was also upgraded around this time with a new cylinder head and larger valves which increased peak power by ten whole ponies but it was the 1.9 that really grabbed people’s attention. With 130bhp and a 7.8 second 0-60 this time, the 1.9 was the complete package: performance, handling and looks, all neatly bundled into compact, three-door perfection. So good was the 205 that it was the car chosen by Peugeot for its Group B rally weapon and the resultant 205 T16 is the spiciest of spicy 205s.

Yes there was the Rallye (like this one currently available on our auctions platform). Peugeot’s track-focussed version, with its stripped interior and bucket seats but nothing can compare to the turbocharged T16 in terms of sheer performance. The road going homologated version was pretty spectacular but the rally car was something else and with Constructor’s and Driver Championship wins in ’85 and ’86 it was a proven race winner. If you haven’t already then check out our The Homologators article on the T16 for a full rundown.

Various developments were implemented and other models and special editions were released over the 205’s 16 year production run. These included the wonderfully cute CJ, CT and CTi convertibles (and in the case of these cabriolet versions Pininfarina was, in fact, brought back in as designer) but as the turn of the century approached the 205 was dropped from Peugeot’s roster after almost five-and-a-half million sales to be replaced by the new 106 and 206, and while they were both decent enough efforts the 205’s boots were simply too big to fill and the French auto-maker would struggle to recapture the magic of the 205, especially the GTi.

It remains an utterly brilliant car and when we think “GTi” it’s usually always a toss up between the 205 and the Golf but invariably the 205 wins out. It is THE hot hatch in our humble opinion and if you’ve been keeping up with the Car & Classic YouTube channel you will no doubt have seen our video on the Tolman 205 GTi which we feel is worth a mention here because it means you can have what is essentially a brand new Peugeot 205 GTi today and that, dear reader, is why we love the world of classic cars. Legends can live on, they can be reborn and become better than ever. You can own and drive them exactly as they were intended but without the hassle of shoddy old electrics, or speed holes the size of Dachshunds and whichever model you opt for, be it an original ’80s GTi, a rebuilt Tolman or even a convertible CT or stock GL, the fact remains that you will have bought a truly wonderful little slice of automotive history. The ’80s flagship of the French Lion brand’s roar can still be heard today, as loud as it ever was. Happy birthday.