Peugeot 408 vs Skoda Karoq

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.

This new entry-level Karoq gives the already accomplished mid-size SUV an even sharper value-for-money edge. On top of that it's space efficient, hugely practical and economical. Safety's up to speed, the ownership package is solid and it's a quiet, refined drive. Before joining the RAV4 queue, we'd suggest giving this Skoda some serious thought.

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

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.

Skoda's distinctively broad, vertically slatted grille stands the brand apart, and even after six years in market the Karoq looks crisp and contemporary with chiselled character lines and jagged head and tail-lights blending successfully with more gently curved surfaces along the car's flanks and turret.

It might be a subconscious side-effect of knowing Skoda is part of the VW Group, but I can't help seeing hints of Tiguan here and there, particularly around the side windows and rear end.

But cool touches like aero-influenced inserts in the 18-inch alloy rims reinforce the Karoq's individual look.

Move to the inside and while the 8.0-inch central media touchscreen and 8.0-inch digital instrument display are on the pace the overall design shows the car's age.

Quality trim materials lift the tone, the cloth seats with contrast stitching look (and feel) great, but the understated dash design in particular is 'traditional', the vibe accentuated by liberal use of piano black highlight elements.

That said, the mix of on-screen functions and physical controls works well ergonomically and the leather-trimmed, partially-perforated, flat-bottom steering wheel is hard to fault.

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. 

In terms of dimensions, at just under 4.4m long, a bit more than 1.8m wide and a fraction over 1.6m tall the Karoq is a relatively small medium SUV.

Yet, its 2638mm wheelbase means there's enough space between the axles for generous accommodation front and rear with enough room left over for a decent boot.

There's ample room for me, at 183cm, in the front with plenty of breathing space between driver and co-pilot. Not to mention heaps of storage including big door bins with room for large bottles, an open area in the centre console under an extending and height-adjustable centre armrest, various coin and oddments slots, a good size glove box, a broad lidded dash-top compartment and a drop down box near the driver's right knee.

Move to the rear, and sitting behind the driver's seat set to my position, I've got good head, leg and shoulder room. Best for two adults, although three would be possible for (cozy) short trips.

Three up to teenage kids will be fine back there, but if your kids are in a capsule, child seat or booster you'll be good with two but three will be a bridge too far.

Again there are door bins with enough room for oversize bottles, three cupholders in the fold-down centre armrest (one is 'venti'-sized) as well an oddments tray at the back of the front centre console and map pockets on the front seat backs. Adjustable ventilation is another plus.

With all seats up the Karoq offers a healthy 588 litres (VDA) of storage space, expanding to 1810L with the 60/40 split rear seat folded. A rear seat 'ski-port' style door also increases flexibility.

There are numerous bag and tie-down hooks as well as thoughtful storage spaces around the boot space. A full-size (speed limited) spare sits under the floor and while the tailgate misses out on power assistance, there's a typically useful dangling grab handle to help with closing.

For those keen on towing the FWD Karoq is rated up to a 1.5-tonne braked trailer (750kg unbraked).

To tempt people away from the Toyota RAV4 juggernaut you need a distinctive brand personality, which the Karoq has in spades, as well as a standard features list long enough to entice but not so lengthy that it sends the asking price over the top.

And this new Karoq entry-grade model is set at $39,990, drive-away, which is a shot across the bow of the base RAV4 GX 2WD sitting at $39,760, before on-road costs.

It's also in the same ballpark as the X-Trail ST five-seat 2WD ($37,250 before on-roads) and Outlander ES five-seat 2WD ($37,740 BOC).

So, the balancing act between price and equipment lands with standard feature highlights including dual-zone climate control, adaptive cruise control, 18-inch alloy rims, auto LED headlights, an 8.0-inch multimedia touchscreen, wireless Android Auto and Apple CarPlay, a reversing camera, built-in nav and eight-speaker audio.

That's pretty handy, although it's worth noting while the start is keyless, entry to the car isn't, and while the Karoq Style and SportLine boast an auto tailgate, this grade misses out.

Clearly, there's been careful fine-tuning of the value equation but the car maintains a premium look and feel that stacks up well in the segment.

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.

The Karoq is powered by a 1.4-litre, all-alloy, direct-injected, turbo-petrol four-cylinder engine sending 110kW (at 6000rpm) and 250Nm (from 1500-3500rpm) to the front wheels via an eight-speed automatic transmission.

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.

Skoda's official combined cycle fuel economy number for the Karoq is 6.5L/100km, the 1.4-litre turbo-petrol engine emitting 147g/km of CO2 in the process.

On the launch drive program for this new entry-level model, covering city, B-road and freeway running along the coast south of Sydney, NSW, we recorded an average of 7.6L/100km.

That's useful for a conventional combustion engine without the benefit of electric hybrid assistance. Worth noting, however, minimum fuel requirement is the pricier 95 RON premium unleaded.

You'll need 50 litres of it to fill the tank which equates to a theoretical driving range of 770km using the official figure or around 660km using our on-test result.

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. 

Despite riding on sizeable 18-inch alloys (shod with 215/50 Goodyear Eagle F1 rubber), first impressions behind the Karoq's wheel are dominated by how composed and refined it is.

Even on coarse, irregular B-roads the car remains supple yet balanced and well buttoned down in the corners. The steering is nicely weighted and road feel is good.

Skoda says the Karoq will accelerate from 0-100km/h in 9.2 seconds, which isn't ferociously fast but the 1.4-litre turbo four delivers its peak pulling power from 1500-3500rpm, which means you're never short of mid-range urge.

The smooth eight-speed auto also helps keep things on the boil although power delivery isn't always linear. Squeeze the throttle and the engine can take half a beat before responding in something of a rush.

Shift from 'Normal' to 'Sport' mode and the transmission will respond more urgently, holding on to ratios longer and changing down more readily. And if you want full control, move the lever over into the 'Tiptronic' manual position for satisfyingly rapid changes on-demand.

The engine remains quiet, only making its presence felt at higher revs, the supportive front seats remain comfortable over lengthy stints and the brakes (vented discs front, solid rotors rear) deliver firm, progressive stopping power even under the pressure of an enthusiastic twisty backroad run.

Under the heading of miscellaneous observations, the multimedia system is easy to navigate and quick to respond, the extending, height-adjustable front centre armrest is brilliant and the adaptive cruise system responds to changes quickly yet calmly.

The Skoda Karoq's previous five-out-of-five ANCAP star rating has timed out, given the assessment was from 2017, so it's now unrated.

But that doesn't mean it's underdone in terms of active crash-avoidance tech, this base version featuring AEB (operational from 4.0-250km/h) with pedestrian and cyclist detection, adaptive cruise control, 'Lane Assist', 'Side Assist' (with rear cross-traffic alert), Parking Distance Control (front and rear), a reversing camera, rear AEB as well as tyre-pressure and fatigue monitoring.

If a crash is unavoidable, there are seven airbags on-board - dual front, front side, full-length side curtain and a driver's knee bag.

Multi-collision brake minimises the chances of subsequent collisions following an initial impact and there are three top tethers and two ISOFIX anchors for baby capsules and/or child seats across the second row.

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. 

Skoda is ahead of the mainstream pack, offering a seven-year, unlimited kilometre warranty, which is two years up on the majority of the Karoq's competitors.

Roadside Assist is complimentary for the first year, renewed annually if you have your Karoq serviced at an authorised Skoda dealer.

The main service interval is 12 months/15,000km, which is in line with most of the competition, and Skoda offers a seven-year service pack for $2750, or $393 per workshop visit, which is competitive with much of the segment but some way off the Toyota RAV4 non-hybrid at $215 per service on a capped-price deal.

On top of that, through Skoda Choice you can opt for a Guaranteed Future Value offer ranging up to five years, with variable deposit and finance currently at a 6.99 per cent rate.

At the end of the term you can trade-in for a new Skoda, pay out the balloon amount and keep the car or simply hand it back.