Peugeot 308 vs BMW 2 Series

What's the difference?

The 308 GT Sport plug-in hybrid is a beautifully designed small hatch that is comfortable, enjoyable and easy to drive. The electric motor gives this hatch good acceleration and the equally impressive handling makes for a fun car to drive too. There's good storage, a decent boot and room for even tall people like me in those back seats.

There are two clear drawbacks, however: the price is steep compared to the petrol version; and you'll need to plug the vehicle into a power supply each night if you drive the car daily and want to achieve the 2.4L/100km fuel economy we did in this test.

Last, but probably the most important thing you'll read is that Peugeot will bring fully electric cars to Australia from the second half of 2023, from SUVs to (hopefully) the battery electric version of this very 308 hatch.

If it was my money, I'd hold on - you're going to have your next car for quite a long time so it's worth waiting for the fully electric versions.

Note: CarsGuide attended this event as a guest of the manufacturer, with meals provided.

It may be expensive for a small coupe. And EVs have reframed performance standards to the detriment of most internal combustion engine sports cars like this – at least for acceleration times. But the M240i xDrive Coupe is far more than just about numbers, imbuing the soul and spirit of what makes this brand’s vehicles so enjoyable and memorable to drive.

A unique and most-welcome survivor today, the MY25 makeover takes all that, and improves the interior, to be at the heart of what BMW has traditionally done best (styling aside). We found parting with it at the end of our term very difficult.

There hasn't been a Peugeot in the last five years that wasn't stunning. There's the high quality feel in their build, and premium yet unique look - like a new Volvo but with more flair. And the 308 hatch and this hybrid version has all of that.

From the sinister looking LED tail-lights to the wide mesh grille, you really get the feeling that Peugeot is hitting its design stride.

This 308 GT Sport plug-in hybrid looks identical to the petrol version with its low, wide stance, and big dark alloy wheels that fill up its arches.

The cabin is sporty, lavish and minimalist with quilted leather upholstery seats, the digital driver display and media screen, and avant garde small angular steering wheel.

BMW has iconic form when it comes to coupe, err, form.

Consider the timeless E9 Coupe of 1968, its elegant E24 6 Series successor of 1976 and the chiselled E31 8 Series of 1990.

Even the sinewy E82 1 Series Coupe of 2007 still resonates.

But, despite boasting long-nose/short-tail proportions, today’s G42 looks awkward from some angles, like a Lego version of the preceding F22 of 2014, complete with cartoonishly aggressive detailing that don’t sit happily on the car.

Not Munich’s finest moment. Still, as one of the last surviving small coupes, we’re still very glad it exists. And, in a rare case of more being more, this M240i’s body kit disguises some of the heavy-handedness.

So, what’s new here? Barely earning the facelift tag outside, the MY25 2 Series Coupe gains extra colours, restyled alloys and revised exterior trim, with more body paint in the lower parts and rear apron, as well as high-gloss black for the M240i’s mirror caps.

Inside, the modifications are more profound, updating to BMW’s 'Operating System 8.5', offering improved functionality and all housed within a fetching, single-piece rectangular display screen that also takes in the instrumentation.

Along with a flat-bottomed steering wheel, redesigned air vent knobs, fewer buttons, revised trim and different ambient lighting, they refresh what was a dated-looking cabin.

Peugeot's 308 is a small hatch, think Toyota Corolla, only beautiful and more spacious.

So, the 308 can carry five people with just enough head and legroom for a semi-giant like me (I'm 191cm) to sit behind his driving position.

There's good cabin storage with large door pockets, a long and deep storage box under the centre armrest up front along with two cupholders up there, too.

The boot has a cargo capacity of 361 litres, which isn't bad for this class.

To power devices there's a wireless phone charger under the dash, and USB ports for front and rear passengers.

A quirky Peugeot design feature is the low-placed angular steering wheel. I found had to squeeze my knees past to sit in the driver's seat. I'm not sure what size human was used as the test case for this but it wasn't somebody with stilts like mine, I can tell you that.

You could be forgiven for thinking you’ve stepped into a mid-sized rather than small coupe, with today’s G42 being larger in every area except wheelbase than an E46 3 Series Coupe of about 25 years ago.

Length, width, height and wheelbase dimensions are 4548mm, 1838mm, 1404mm and 2741mm, respectively, which make for a surprisingly easy-to-access and spacious cabin – at least for adults up front.

In fact, if nobody is sat behind, even a 200cm-plus individual can stretch out. German cars are great at accommodating the 99-percentile people. And head room’s not bad either, even with the standard sunroof.

BMW’s are about driving, so no shocks to learn that the M240i’s driving position is first class. Sat low and snug, this is a suitably sporty yet incredibly comfortable and high-quality environment, aided by nicely bolstered M Sport seats, a lovely steering wheel and a beautifully presented dashboard. Everything fits like a glove.

If the notion of reducing the number of buttons in the newly-extended electronic interface raises red flags (how many times have we moaned about this in most software-based Chinese vehicles?), rest assured: the M240i’s ergonomics are spot-on.

There are still plenty of switches alongside the iDrive controller and gearshifter for all major vehicle functions, Porsche-style, as well as big old physical buttons for the (soaring) audio, to back up the screen shortcuts for more-detailed functions. It only takes a few moments to learn how easy and intuitive the whole set-up is. BMW leads the way here.

Crisp, clear and colourful digital graphics almost make up for the fact that the gorgeous old analogue dials of old are extinct. Instead, the company serves up unremarkable angular instrument displays and electronic readouts. Very comprehensive and informative, they do the job, but are utterly bereft of character or style. It’s as if Munich’s designers have forgotten how to make things look pretty nowadays. Hang on, do we see a pattern emerging here?

More solid Teutonic sensibility – this time far-more artfully served up – can be found in the excellent ventilation system, ample console-sited storage and pleasingly deep door pockets, highlighting how easy the M240i is to live with.

Crash regulations demand central posts, so no pillarless sides unfortunately in this modern coupe, but frameless door glass is nice (and assists in entry/egress when retracted), enhancing that sporty sensation.

The flipside is poor side and rear vision for the driver, but – frankly – it is otherwise difficult to fault the M240i’s interior layout and presentation.

Even the back-seat area tries hard.

The seats whirr forward and back (slowly) to increase/decrease the narrow aperture as required (using a shoulder-height lever within easy reach), though you’ll need to be pretty flexible accessing the two-person buckets that await. Once ensconced there, there’s sufficient space, padding and support for most folk of up to about 180cm to travel in reasonable comfort, as long as the front-seat occupants aren’t in maximum chaise longue mode and journeys aren’t too long. The quite-upright backrest angle can’t be adjusted.

Just ensure the climate control is on. Things can become pretty stuffy, quickly. And be thankful for the air vents, extended glass area, middle armrest with cupholders and reading lights.

Further back, there is a large-ish, 390-litre boot with a low, wide and flat floor, that can be extended by tugging on a handle to drop the 40/20/40 split/fold backrests as required.

The usual tie-down hooks, lighting and power outlets are present, but you’ll search in vain for a space-saver wheel. Just the dreaded 'tyre mobility kit' that – once deployed – will likely ruin your tyre and cost hundreds to replace. No thanks.

A gashed tyre. No phone coverage. What a way to ruin a great drive day out on your favourite rural roads and in such an immensely enjoyable car. Australia demands a spare tyre.

The good news is, the G42 in 230i and flagship M2 retain the traditional longitudinal-engined/rear-wheel drive set-up, though the M240i has all-wheel drive (xDrive in BMW-speak) to help keep things under control.

All the other existing 2 Series models (basically, those with more than two doors) are transverse/FWD-derived.

Now, the bad news is that, from $102,100 (all prices are before on-road costs), the M240i is considerably more expensive than before. You can no-longer buy a traditional six-cylinder BMW coupe for under six figures. The continuing 230i Coupe, from just under $80K, uses a (albeit lovely) four-pot turbo.

At least the Mexican-made M240i isn’t short of equipment.

You’ll find an 'M Aerodynamics' package, 'M Sport' package that includes drive modes, M suspension with adaptive dampers, M brakes, M differential, M variable steering and M… more.

Additional items include adaptive LED headlights, leather upholstery, electric and heated sports front seats with driver’s side memory, climate control, sunroof, adaptive cruise control, paddle shifters, a 12.3-inch instrument cluster, a 14.9-inch multimedia display, 'Hey, BMW' voice control, a heated steering wheel, a head-up display, auto parking, a surround-view camera, 14-speaker Harman Kardon audio, digital radio, wireless charging, Apple CarPlay/Android Auto, emergency services access as part of a three-year subscription, electric heated/folding M exterior mirrors, ambient lighting, 19-inch alloy wheels and a tyre-repair kit ­– in lieu of a spare wheel.

Our car as-tested also included 'Brooklyn Grey' metallic paint ($1700), 19-inch M light alloy wheels with performance tyres ($2800) and the M Sport Package Pro material/trim package ($1900), helping to bump up the price to $108,500. No reversing nearside mirror-dip is a bit stingy, though.

Still, there’s also a decent wad of advanced driver-assist systems, including AEB front and rear, lane-support tech and various monitors. Read more about that and more in the safety section below.

The near-$20K price jump since 2022 also means the M240i is now more expensive than the Z Nismo and Mustang Dark Horse and is now rubbing shoulders with the (BMW-based and built) Toyota Supra Track Edition and even the MG Cyberster Dual Motor.

And, speaking of electric vehicles, as before, the now-$81K Tesla Model 3 Performance’s astounding 3.1-second acceleration is in another league.

No, the M240i is about traditional BMW values harking back to 'The Ultimate Driving Machine' era. Premium, driver-focused German grand touring sports luxury coupe, cabriolet or convertible.

From that perspective, the two-door 2 Series is the cheapest by a fair margin and in a league of its own.

The 308 GT Sport plug-in hybrid has a 1.6-litre turbo-petrol engine making 132kW and 250Nm combined with an electric motor at the front wheels making 81kW and 320Nm.

The combined output of the engine and motor working together is 165kW and 360Nm, and sending that grunt to the front wheels only is an eight-speed automatic transmission.

Acceleration is good. We're talking 0-100km/h in 7.4 seconds which is more than two seconds quicker than the petrol-only variant.

As before, the M240i employs a 3.0-litre direct-injection turbo-charged in-line six-cylinder petrol engine, making a heady 285kW of power at 6500rpm and 500Nm of torque between 1900rpm and 5000rpm.

A ZF-supplied eight-speed torque-converter automatic transmission is fitted (and, sadly, no manual is available), driving all four wheels via an AWD system with an M Sport-tuned differential.

This is what it's all about right? Well, Peugeot says that after a combination of open and urban roads the 308 GT Sport plug-in hybrid will use 1.3L/100km.

At the launch I did a 34km test loop through Sydney's Northern Beaches with a good mix of morning traffic and hilly terrain. At the end of my journey the trip computer reported an average fuel consumption of 2.4L/100km.

I drove the entire loop in Hybrid mode, but there is a Sport mode, a Battery Save mode and EV mode.

If you were to drive in EV mode Peugeot says the electric driving range with a full battery is 60km.

At the start of my drive the battery was about three-quarters charged with the gauges displaying 38km of range.

A mileage of 2.4L/100km is still excellent fuel economy and from experience I can tell you a petrol-only variant would be up around the 8.0 or 9.0L/100km mark for the same trip.

There is a catch, and that is you'll need to plug in your hybrid 308 daily to charge the battery if you plan to achieve the fuel economy I did.

Charging will be slow, however, because Peugeot has fitted this hybrid with a small 3.7kW on-board charger. So, even using a fast charger you'll be looking at more than four hours to fully charge the 12.4kWh lithium-ion battery.

This charging time and small electric driving range in return could be a deal breaker for some and it's the reason why I've given the 308 GT Sport plug-in hybrid a lower mark. If you aren't always charging this car your fuel usage will rocket. New buyers unaware of this could end up using more petrol than ever.

A fully electric vehicle may be a better solution for city dwellers.

Rated as a Euro 6d-compliant vehicle, the M240i’s average combined fuel consumption figure is 8.0 litres per 100km, for a carbon dioxide emissions average of 185 grams/km.

With a 52-litre tank brimmed with premium unleaded petrol (98 RON minimum is recommended), that should result in about 650km between refills on average.

Over a mix of urban and highway driving, we managed 8.9L/100km, which is better than the pre-facelift version’s 9.6L/100km. That’s impressive stuff for a performance-orientated sports coupe.

Once you've become accustomed to the strange, low steering wheel with its angular design the 308 GT Sport plug-in hybrid is superb to drive. The suspension is composed and comfortable, the handling is excellent, the steering is light and with the combination of both the electric motor and petrol engine, acceleration is good.

For those of you who haven't driven a plug-in hybrid before I think you'll like the quiet electric power at low speeds and the feeling of ‘instant' acceleration the electric motor adds, but compared to driving a regular petrol car the experience is much the same, just less noisy and smoother.

The M240i xDrive’s specification reads like it’s straight out of BMW fan fiction.

Nestled within a shrunken 3 Series-derived 'CLAR' platform brandishing near-50:50 weight distribution, stuffed between beefed-up struts up front, is a strident in-line six, driving the rear or all four wheels via an M Sport differential and held up by a multi-link rear axle.

The promise here is an athletic driving machine on one hand and a cosseting grand tourer on the other, but whether the M240i can walk that fickle red line as effortlessly four years on… well, that’s what we’re here to find out. As we said earlier, sub-3.5s Teslas and the like have really messed with the bang-for-your-buck playbook since 2021.

Luckily, the reality only reiterates the 2 Series Coupe’s place in the sun. Rather than the anodyne (or artificial) whine of an electric motor, here instead is one of the greatest modern engines in the world, mated to arguably the best auto transmission ever in existence.

That’s a terrific start. And, once the button is pressed, the M240i’s performance bandwidth is deeply moving and immensely satisfying.

With a kerb weight of 1690kg, the M240i’s power to weight ratio is an impressive 168.6kW/tonne, helping it to scoot from standstill to 100km/h in 4.3 seconds, on the way to an electronically-limited top speed of 250km/h. Note that the M2 flagship is just 0.3s quicker to 100.

Pottering about town in its most benign ('Eco Pro') setting, the B58-hearted Bimmer slinks about gingerly, purring like a content tabby while skimming along over all sorts of urban roads like a luxury car costing a lot more should, taking everything in its stride. Given this is what driving is like for most people most of the time, the BMW nails it.

More throttle unleashes a surging snarl as the BMW’s speed steps up, with varying degrees of urgency according to the driver’s will and desire. Racing up through the gears, the German straight six feels like it has barely stirred; like things are just warming up.

In conjunction with Sport mode, here is where the M240i really starts to take off, leaping into action, engine roaring as speeds soar as if every road is a stretch of derestricted autobahn. The pace of this coupe is quite remarkable. Planted yet precise, the steering firms up as the chassis hunkers down, and you’re left in awe of how calm and composed the car constantly feels. Even in pouring rain.

As the roads start to snake and twist, the BMW glides through the chosen line with startling grip and confidence, without ever feeling nervous or twitchy in standard traction settings, regardless of surface or weather conditions. That’s the AWD doing its thing.

The M240i is all about nuance and control, whether you’re talking steering, handling, roadholding, braking or electronic intervention. It is refreshing to feel so connected to the driving experience so intimately.

As we said back in 2022, plonking for Sport Plus mode, with the stability and traction nannies neutered, is an easy street to big old oversteer spills and thrills, if so desired.

And then, you’re back in Eco Pro, crawling along in cocooned comfort and relying on the ADAS tech to waft you along, before being back in 'Individual' mode as the road ahead clears, with powertrain in 'Sport' but the suspension in 'Comfort'; just right for times when you just want to streak ahead of slower traffic without pummelling your spine. It’s all there for you. The M240i can do it all.

Inevitably, in Sport mode the ride’s firmness can be fatiguing on bad urban roads. Likewise, the tyre noise over coarse bitumen is tiring over longer drives. And it is all too easy to exceed the speed limit.

Earlier, we said we prefer this over the extroverted, track-focused M2, despite the latter’s astounding speed, thunderous soundtrack and tremendous dynamic capabilities, and that’s because of the M240i’s ability to deliver pleasure with everyday user-friendliness. Plus, the performance flagship is only 0.3s quicker to 100.

Maybe the latest base manual M2 might change our minds.

As it stands, on the move, the M240i is BMW in full flight, staying true to brand values but without frying your nerves or depleting your bank account too much. We love it and you should too.

No ANCAP rating exists for the G42 M240i Coupe in Australia.

However, a 220d diesel coupe (not available here) tested by Euro NCAP back in 2022 managed a four- out of five star result, with pedestrians/vulnerable road user protection and emergency lane keeping recommended for improvement.

The MY25 M240i comes with a raft of advanced driver-assist systems, including AEB (operational from 5.0km/h to at least 210km/h and with cyclist and night-time operation), forward collision warning, front-cross and rear-cross traffic alert, 'Rear Collision Prevention', 'Speed Limit Information', lane departure warning with passive steer assist (operational from 70km/h), lane keep with active assist, blind spot monitor and driver attention monitor.

It also comes fitted with 360-degree view cameras, parking sensors, anti-lock brakes with electronic brake-force distribution and brake assist, stability control, traction control, corner braking and six airbags, made up of dual frontal, side chest and head-protecting airbags for the first row and side chest protecting airbags for the second row.

Speaking of the back seat, a pair of ISOFIX points as well as two top tethers for securing child seats are present.

The 308 GT Sport plug-in hybrid is covered by Peugeot's five-year/unlimited-kilometre warranty.

Peugeot will cover the hybrid battery with an eight-year/160,000km warranty.

Servicing is recommended at 15,000km or 12 month intervals and it can be expensive. Peugeot says the first service will be $425, then second is $771, the next is $425, then at 60,000km the costs will be $900, then $439 for the following.

BMW offers a five-year/unlimited kilometre warranty, matching all of its German rivals, as well as three years of roadside assistance.

As always, servicing frequency is condition-based, depending on how they’re driven, amongst other factors, with an indicator on the instrument panel to alert the driver/owner. That said, our advice is to always visit your BMW dealer annually or at every 10,000km, just to be certain.

Capped-price servicing is not offered.

However, the ‘BMW Service Inclusive Basic package’ is available at extra cost, covering scheduled servicing for five years/80,000km, as long as the scheme is subscribed to before the end of the first 12 months of first registration. A 2 Series should cost from $2380.