Peugeot 408 vs Lexus LS460

What's the difference?

The Peugeot 408 GT Hybrid delivers heaps of standard equipment and safety tech for what is now a much more competitive price. It’s also super fuel-efficient, which is right for these turbulent times, offers thoughtful practicality and the wagon-fastback-crossover-SUV look is striking. The price paid for miserly economy is a peaky small-engine powertrain and the ownership promise isn’t exactly class-leading. That said, it deserves consideration in its new, even more competitive under $60K mid-size SUV segment.

The Lexus LS 500 and 500h are both exceptional cars. The ‘obnoxious’ styling especially to the grille makes the offerings from BMW, Benz and Audi look bland and overly corporate inside and out. It’s really in the dynamics department that the LS falls short of its rivals and only the LS 500 is enjoyable if you like to drive with a degree of conviction. 

Both the LS500 and 500h, though, have wonderfully comfortable rides and this together with those sumptuous interiors makes these the perfect place to be if you’re in the back being swiftly and quietly taken to you next meeting.

For me the sweet-spot pick would be the LS 500 F Sport for its value and dynamic ability.

Peugeot Design Director Matthias Hossann has been guiding the brand’s look and feel since 2020 and the result is a recognisable approach across the range with enough flexibility to give each model its own personality.

Recurring themes include the dramatic, fan-like grille with body-colour elements, narrow angled LED daytime running lights (DRLs) slicing through the outer edges of the nose and sinister tapered headlights set into the front corners.

The rear end maintains the visual drama with a stacked, angular treatment sectioning off the ‘Claw Effect’ LED tail-lights (the Peugeot brand mark is a Lion), chamfered mid-section and chunky bumper.

And among what increasingly feels like a mass of same-same newcomers the 408’s sloping turret and high, wide haunches give the car a distinctively sporty fastback look.

The interior is classy and clean although the almost uniformly grey colour palette is unrelenting.

The two-tier dash adds visual interest and a combination of sweeping curves and clean, straight lines around the cabin lift the tone. Nappa leather trim with the ribbed seat centre panels using perforated hide also looks classy.

But then we come to the ‘iCockpit’ instrument display and steering wheel combination. It’s based on the idea that reducing the size of the steering wheel and lowering its position while flattening its top and raising the location of the instrument binnacle is a better solution than the traditional look-through-the-steering wheel approach.

It doesn’t work for everyone and it doesn’t work for me. As noted in previous Peugeot reviews, after more than a decade in existence various members of the CarsGuide editorial staff continue to struggle with the arrangement, while others love it. 

For me, the wheel feels too low, yet the top of it obscures the lower part of the instrument panel. While it may work well for others I see it as the answer to a question no one was asking.

“You’re either going to love them or hate them.” You can bet that whenever you’re told this just before being introduced to somebody then that somebody is going to be downright obnoxious. The same goes for the LS, well it’s face anyway, because those are the kinds of statements made about that grille.

The thing is, the LS needs an obnoxious face because its up against The Establishment -  the Mercedes-Benz S -Class, BMW 7 Series and Audi A8, and given there’s no way they’ll ever let Lexus into their little ‘club’ it’s good that the LS has steered clear of imitating them and is boldly different.

This was also the type of thinking which inspired the grille’s creator, Tokuo Fukuichi. The so called ‘spindle grille’ first appeared in 2010 on the CT200h before rolling out to the rest of the Lexus line-up. The look polarised the opinions of fans and even executives inside Lexus. But Fukuichi was adamant the key to the brand’s survival and success was to not to be boring.

That massive gaping mouth is anything but boring, and for this new-generation LS the spindle grille has been overhauled. Yes, some car companies might make a few tweaks to a grille, but not Lexus. Using a CAD computer program, it took designers six months to refine each of the 5032 surfaces on the F-Sport’s grille and the more than 7000 on the Sports Luxury’s. If only you didn’t have to slap a number plate on these exquisitely spun net-like structures.

New LED headlights and the ‘Zorro blade-slash’ LED running lights are equally obnoxious and therefore perfectly suited for the LS’s face. So too are the enormous air inlets below them in the bumper. If only the rest of the car’s exterior was as wild and not mild and milder the further you get from the grille. The rear looks stately, modern and sleek but could have done with something more adventurous (similar to IS’s taillights).

But the LS’s insides make up for that dullness, with a cabin that’s decadent and alien at the same time. A dash which sweeps from door to door features asymmetrical string-like design elements which are a theme carved through wood and glass and stitched into leather throughout the cabin. The quality is superb, while the fit and finish is better than I’ve seen on some of its competitors.

There are four no-cost interior packages on the Sports Luxury ranging from 'Moon White' trim with walnut decorative inlays to black trim with 'Crafted Latte' inserts. But it’s the $9800 optional 'Black with hand-pleating' and 'Kiriko' glass which is a stand out. It’s an intriguing look, the pleated fabric which cascades around the hand-cut Japanese glass.

The F Sport’s cabin is less decorative with seats that hold you tighter in three no-cost option leathers from 'Moon White' to 'Flare Red' with aluminium door and dash decorative elements.

Both cabins are sumptuous, although they fall a little short in gob-smacking tech like those amazing, expansive, floating dash screens and the virtual instrument cluster in the S-Class. Yes, there’s the large screen up front and the seat-back screens in the rear but the styling of the graphics and typeface reveal the Toyota DNA.

The LS has the presence a prestige brand’s flagship car should - imposing, long and wide. Look at the LS’s dimensions. At 5235mm end-to-end and 1900mm across, the LS is longer and wider than a Mercedes-Benz S-Class, but swoops in lower at 1450mm. The LS’s wheelbase is longer than a regular S-Class’s at 3125mm, too.

Apart from the grille you can tell an F Sport from a Sports Luxury by its black brake calipers and black elements in the front bumper, boot lid and sill.

To tell a 500 from a 500h, the difference is subtle. There are the badges, of course, but the 500's rear bumper also has a different design with chrome exhaust surrounds.

At close to 4.7m long, around 1.9m wide and a bit less than 1.5m tall with a 2790mm wheelbase, the 408 sits in the middle of the typical mid-size five-seater footprint.

Ample room in the front, although the lower section of the two-tier dash protrudes a fair way towards the driver and front passenger and the centre console is broad so it feels snug rather than airy.

Storage includes generous door bins with room for larger bottles, a lidded (and illuminated) bin between the seats that doubles as a centre armrest, two cupholders in the console with an oddments tray ahead of them and a decent glove box with an extra pocket built into the lid.

Switching to the rear, sitting behind the driver’s seat set for my 183cm position, there’s loads of leg- and headroom and enough width for three adults when required and more than enough for a trio of up to mid-teenage kids. Centre rear is less of a short-straw position, too, thanks to a relatively low and flat central tunnel.

The lack of a fold-down rear centre armrest is a miss mainly because it means there are no cupholders in the rear. But there are decent door bins with a space for smaller bottles, netted map pockets on the front seatbacks and a storage cubby at the back of the front centre console.

Speaking of which, individual air vents in the back of that console are a welcome addition.

 The boot is large for the class at 508 litres (VDA) with the rear seat upright and 1583 litres with the 60/40 split-folding backrest folded down. The power tailgate (with foot sensor and pedestrian detection) also makes life easier.

Other thoughtful touches include four load tie-down anchors, a netted pocket on the right-hand side, elasticised straps on the left-hand side, specific lighting and a pair of bag hooks.

Power and connectivity options include two USB-C sockets, a 12-volt outlet and a wireless phone charging pad in the front, another two USB-Cs in the back and a second 12V plug in the boot. So no problems with charging capacity for phones and other devices.

Maximum braked trailer towing capacity is a useful 1300kg (750kg unbraked) but we have to put a big black mark against provision of a repair/inflator kit rather than a physical spare. Not good enough for the Aussie market. 

Anything with a 3.1m wheelbase has to be practical right? Well, legroom in the back is excellent, but I can’t properly stretch out in that reclining rear seat with the ottoman without my feet hitting the seatback.

Headroom is also a bit a restricted in that rear row for me, too. That’s something to keep in mind for taller passengers (I'm 191cm tall).

A cargo capacity of 480 litres is 30 litres shy of the Mercedes-Benz S-Class, while the cooler box in the rear (that comes with the Sports Luxury trim) eats into the boot space and drops the total to 440 litres.

The LS is a five-seat sedan, but that centre rear seatback folds forward to become the armrest and houses the controls to the massage and reclining functions, plus two cupholders.

There’s another two cupholders up front and pockets in all the doors. While the storage area under the centre console armrest in the front and back is good – that’s about it for storage.

An access mode will raise the car by 30mm when getting in and lower it by 10mm when getting out. Those wide opening doors also make entry and exit easier.

The line-up is simple. There are two powertrains: the turbo-petrol V6 LS 500, and the petrol-electric LS500h hybrid, and there's no price difference between them. Then, there are two trim levels: the F Sport for $190,500 and Sports Luxury for $195,500. 

Coming standard on the F Sport are 'F Sport' seats with leather upholstery, heated front and rear seats, dual-zone climate control, 28-way power adjustable front seats and head-up display. The multimedia system comes with a 12.3-inch screen, sat nav, DVD player, DAB+ digital radio, Bluetooth connectivity and a 23-speaker Mark Levinson sound system.

There’s also LED headlights, 20-inch alloy wheels and a kick-open tailgate. While the F-Sport misses out on some of the plush features of the Sports Luxury it does get hardware for better on-road dynamics which you can read about in the driving section below.

The Sports Luxury has that large screen, those power adjustable front seats and the multimedia system with that Mark Levinson stereo, too, but adds much more. The front passenger seat slides and folds itself forward to allow the seat behind it to recline and extend its ottoman-style leg rest. 

Both rear seats are 22-way power adjustable and heated. If you’re lucky enough to be lounging back there, you’ll also two 11.6-inch seat-back screens with a DVD player. Plus, there’s four-zone climate control, a rear cooler box and power sun shades.

The F-Sport and Sports Luxury have their own choice of no-cost interior options. The Sports Luxury also gives you the option to buy (for $9800) one of four special interior packs – you can read about the standout one with the hand-cut glass below.

There are 11 body colours to choose from: Sonic Quartz, Sonic Silver, Titanium, Liquid Metal, Onyx, Graphite Black, Vermillion, Scarlet Crimson (a dark red), Metallic Silk, Deep Metallic Bronze and Deep Blue.

The Peugeot 408 Hybrid is powered by a 1.2-litre, turbo-petrol, three-cylinder engine producing 100kW at 5500rpm and 230Nm at 1750rpm.

This compact, all-alloy, direct-injection unit works in concert with a single 15.6kW/51Nm 48-volt electric motor integrated into the six-speed dual-clutch auto transmission and energised by a 0.9kWh lithium-ion battery.

Drive goes to the front wheels only and Peugeot claims a 0-100kmh sprint time of 9.4 seconds.

Let's talk engine specifications .The LS 500 has a 3.5-litre twin-turbo petrol V6 making 310kW/600Nm, with drive being sent to the rear wheels via a 10-speed automatic transmission. That's impressive horsepower, but this car is heavy is a weight of about 2.3 tonnes.

The LS 500h has a 220kW/350Nm 3.5-litre V6 (a different engine to the 500’s) plus two electric motors driving the rear wheels. The total power output is 264kW. Shifting gears in the 500h is a continuously variable transmission (CVT). Just a reminder, too, the LS 500h is not  a plug-in hybrid. Regenerative braking re-charges the lithium-ion batteries.  

If you're looking for a diesel, you won't find one here. Same goes for a manual gearbox. And, while buyers can choose an all-wheel drive (awd) Lexus LS in other markets around the world, ours are all front-wheel drive.  

The 408 Hybrid’s official fuel consumption figure for the combined (urban/extra-urban) cycle is 4.5L/100km, the 1.2L turbo triple emitting 102g/km of CO2 in the process.

And it’s important to point out those official (ADR 81/02) numbers for the 408’s consumption and emissions are better than any of the direct competitors we’ve called out in the ‘Price & Features’ section above. 

Over a week of mainly city and suburban running with some freeway sections thrown in, we recorded an on-test average of 6.0L/100km. Impressive for a mid-size crossover weighing in at a bit over 1.4 tonnes.

Brim the 52-litre tank with minimum 95 RON premium fuel (ethanol blends not recommended) and using our real-world figure you can expect a handy driving range in excess of 860km.

The LS 500 has an official fuel consumption of 9.5L/100km while the 500h’s is 6.6L/100km after open and urban road driving. We drove both cars on mainly country roads and saw an average of 10.1L/100km in the LS 500 and 9.1L/100km in the 500h.

Even with the assistance of an electric motor in the transmission and a turbo on the engine, a 1.2-litre, petrol three-cylinder powering a more than 1.4-tonne five-seat car is always going to be an interesting equation.

And in practice, although the small triple’s peak torque (230Nm) is available from just 1750rpm it lacks the smoothness of larger capacity mild- and full-hybrid combinations. Especially at slower speeds, the powertrain feels relatively edgy and agitated.

Outright acceleration is fine (claimed 0-100km/h acceleration is 9.4sec) with decent mid-range pulling power for confident overtaking or decisive lane changing (a 15.6kW/51Nm boost from the motor playing its part) and the dual-clutch auto is a more polished example of what can be a fractious device. 

But engineering and tuning for maximum fuel-efficiency has an impact on driveability. For example, we noticed the air-conditioning system’s output softened at standstill, which led to some mild window fogging in stop-start traffic on a particularly humid morning. Haven’t seen that for a while. 

The strut front, torsion beam rear suspension delivers a compliant ride and responsive handling in classic Peugeot fashion. The steering in particular points accurately and provides good road feel. 

We’ve covered the intricacies of the i-Cockpit instrument and steering wheel configuration in the Design section as its shortcomings (for me, anyway) are more ergonomic than dynamic.  

The car is relatively quiet, thanks in part to sound-dampening acoustic glass and the Michelin e.Primacy tyres (205/55) which also grip persistently if you decide to slice through your favourite set of corners. Push the engine harder and it’s revvy note and exhaust rasp will start to make their presence felt. 

Regenerative braking is helpful and the physical brakes (ventilated discs and the front and solid rotors at the rear) are nice and progressive.

The front seats are firmer than the Peugeot norm but remain comfy enough and they provide enough side support to keep you well located. 

Despite the swoopy fastback design, all-around vision is surprisingly good and an overall length under 4.7m, an acceptable 11.2m turning circle, a clear reversing camera and a 360-degree camera view make parking straightforward. 

My first experience of the new LS was from the back seat of a 500 Sports Luxury being driven from the airport to the venue where Lexus Australia would deliver the presentation on its fifth generation of the car.

Seat reclined, I was whisked quietly and comfortably through the traffic, barely any road or wind noise, the ride was superb on that air suspension, a little floaty but still damped well enough for it not to become bouncy, with minimal head sway (the movement that makes you car sick).

Cocooned in leather with seat-back screens for audio and DVD the ride and environment was just right for a limousine chauffeuring important business types who need swift and tranquil transportation. Not for weirdos like me who were only interested in the way the front and back multi-link suspension kept a 2.3-tonne car with a 3.1m wheelbase so civilised, even through roundabouts. I wondered if this was actually the best way to experience the LS – from the back seats, being driven?

When I did drive the 500 and 500h in the two trims later it more or less confirmed that first impression. The 500 in F Sport trim was the best to drive, while the 500 in Sports Luxury was the best to be driven in. Why? I’ll explain.

The LS 500’s 3.5-litre twin-turbo V6 makes more power than the hybrid for starters, which is always a good thing when you need to move a car this heavy. Even then the LS 500’s acceleration isn’t super quick, and the engine needs to work hard when asked to get a wriggle on. That 10-speed automatic transmission is excellent though. 

The same can’t be said for the CVT in the 500h which under harder acceleration does what CVTs do in that situation, make more noise without seeming to get the drive effectively to the wheels.

The 500h’s naturally aspirated V6 is a good thing, but it seems the weight of the car and the CVT work against it being exciting to drive. After a couple of hundred kilometres in a 500h blasting through the countryside steering it became tiresome rather than rewarding with the engine constantly kicking in and whining incessantly when asked for more beans, please. 

This car is far better suited to slipping silently through city streets than it is galloping through the bush – that’s where the 500 is a lot more at home.

The 500 and 500h are rear-wheel drive cars, and this, along with an almost 50-50 balance, sets the ground work for good cars to pilot. The F-Sport trim adds an active rear stabiliser bar as standard equipment and brings a more sophisticated version of Lexus’s 'Vehicle Dynamic Integrated Management' (VDIM) – a stability system using data from suspension, ABS, traction control, electric power steering, the stabiliser bar and rear steering. The result is the control of longitudinal, vertical, yaw, roll and pitch movements for better ride and handling.

The F Sport trims adds bigger brakes, too with 400mm x 36mm discs on the front and 359mm x 30mm at the back, plus staggered tyres with 245mm rubber at the front and 275mm at the rear.

The electric steering is light, which makes it easy to manoeuvre in carparks, and an 11.2m turning circle is great for the class. 

On the open road at speed the steering is pinky-finger light even in Sport+ mode, and while it’s smooth and accurate, I want to feel more connected to the wheels and where they’re pointed.

While the LS 500 is more the driver’s car than the 500h neither perform as well dynamically as Benz’s S-Class, but from the back seat the LS feels just as comfortable and even plusher.

The Lexus LS has not been crash tested, but all the signs are there that this is an exceptionally safe vehicle, from the structure of the car to the advanced safety technology such as AEB (forward and reverse) with pedestrian detection, lane keeping assistance and adaptive cruise control.

For child seats there are three top tether anchor points and two ISOFIX mounts across the rear seats.

Both the 500 and 500h are fitted with run-flat tyres.  

Peugeot covers the 408 with a five-year/unlimited kilometre warranty, which is perilously close to sub-par in 2026 with an increasing number of brands at seven, eight and up to 10 years conditional. The battery warranty at eight years/160,000km matches the market.

Roadside assistance is included for five years, service is recommended every 12 months/15,000km and pre-paid servicing is offered across three-, four- or five-year plans, with the latter at $2070.

That’s a not insubstantial average of $414 per workshop visit, which Peugeot says will save you $893 compared to pay-as-you-go over the five years.

For reference, a Toyota RAV Hybrid service for any of the first five years is $260, although pricing steps up after that period.

Peugeot has a well established network of 31 dealers mainly covering major cities and key rural areas, primarily on the east coast. Currently, no presence in Tassie or the Northern Territory, while Perth and Adelaide are the only representation in WA and SA. 

The Lexus LS is covered by a four-year/100,0000km warranty. Servicing is recommended every 15,000km or 12 months. There is no capped price servicing program. Being a Toyota family product the Lexus LS also comes backed by the same reputation for reliability and you may experience lower maintenance costs than perhaps its German rivals.