Peugeot 508 vs Volvo XC60

What's the difference?

The Peugeot 508 Sportswagon GT PHEV proves wagons can be extremely stylish but looks aren’t everything and it is an expensive option compared to its luxury rivals. It earns its place with the premium interior but the safety could be improved on and the tech is more confusing than it needs to be. But this wagon offers an alternative for families who are sick of being in an SUV yet still need a little extra space. 

My son didn’t go nuts over this and complained about his view.

The facelifted Volvo XC60 Ultra B5 Dark is the car at school pick-up that doesn’t need to brag. It just gets on with things and it looks good doing it. It offers a strong mix of family-focused features, comfortable and composed road manners and thoughtful practicality throughout the cabin.

The updated media system is crisp and responsive, though it could use a few tweaks to be truly intuitive. Overall, the XC60 mild-hybrid remains a solid choice for families who value understated luxury, comfort and safety over flash. It doesn’t reinvent the wheel, but it does what it does well.

The design of this wagon is what wins it the most points. It is a damn fine specimen with the sleek lines in the body panelling and the sexy rear that looks well-proportioned for its 4790mm length.

Dark, narrow windows, 18-inch alloy wheels and a minimalist-looking nose, with fang-like daytime-running lights, all enhance its sporty look.

The rear lights have Peugeot’s signature ‘claw’ design and there’s something suggestively fun about seeing a twin-exhaust on a wagon!

On the interior, the multimedia system takes centre stage and the dashboard looks quite sleek, despite all of the deep cutaways.

The steering wheel is in the compact style that Peugeot is known for but it makes the cockpit feel driver orientated.

The quilted Nappa leather trims and shiny piano-black accents (with the piano-key controls) make for a refined cabin space.

The XC60 has a graceful, poised curbside presence. Its wide stance and smooth body panels give it a confident silhouette, while the redesigned grille with dark accents, integrated intake vents (both faux and real), and those sharp 'Hammer of Thor' headlights tie it all together. It’s not trying to be sexy, but it is undeniably handsome. It's the kind of SUV that turns heads quietly rather than shouting for attention.

Inside, the vibe is pure Scandi chic. There’s a refreshing lack of plasticky surfaces, with everything feeling solid and premium to the touch. The supple Nappa leather seats and expansive panoramic sunroof instantly make the cabin feel airy and refined.

Taking centre stage on the dash is a new 11.2-inch portrait-style media display. The layout is a little too reminiscent of an oversized iPad for my taste, but the crisp graphics and quick touch response are big pluses. Adding a touch of craftsmanship, the crystal Orrefors gear shifter and genuine driftwood inlays across the dash and centre console bring warmth and texture you don’t find in most rivals.

Is this facelift breaking new ground? Not really. But then, it doesn’t need to. Volvo has long been firmly planted in the premium end of the field and this update simply shows it's still cultivating all the right qualities.

The front row gets the most space and you’ll be able to get into a comfortable position even if you’re tall.

However, it is a low car with its 142mm ground clearance and there may be a few grunts as you get in and out (or is it just me?).

My seven-year old loves how easy it is to climb in, though he didn’t have the best view out of the windows because the sills sit high.

The footwell lip also sits quite high, which isn’t an issue until you can’t open your door very wide and then it’s clumsy in a tight parking space.

The electric front seats are very comfortable and the extendable under-thigh support helps to minimise leg fatigue on a longer journey.

Surprisingly, for my 168cm (5'6") height, I have to sit much further back than I ordinarily would to get a comfy driving position.

In the back, you have plenty of headroom but behind my driving position, the legroom could be better.

An adult would still find it fairly comfortable on a longer journey so long as they aren’t behind someone tall. The seats themselves are well-cushioned and you sit in, rather than on top of them.

Individual storage options are good for this class with a dual-opening middle console, glove box and a great utility cubby next to the transmission shifter.

There is also a shelf underneath the centre console that houses the wireless charging pad and two USB-A ports but it’s a tad awkward to use and even see the ports when you're seated.

The amenities are good in the rear but for a top-spec model it’s lacking the luxury items you might expect, like heated seats and climate control but you’ll enjoy map pockets, reading lights, two USB-A ports and directional air vents.

It also has a fold-down armrest with two shallow cupholders, that in a quick turn, might spill their cups!

The boot is a great size at 530L with all seats in use and you can bump it to 1780L with the rear seats folded.

You get a level loading space and a 60/40 split with a ski-port in the back seat, which opens up your storage options.

There is a tyre repair kit rather than a physical spare but the tailgate is powered, which I always like.  

The technology is a mixed bag. It looks sharp and the touchscreen multimedia system is responsive but isn’t as easy to use as others I’ve sampled.

It doesn’t have a lot of accessible information or customisations available but it is easy to connect to the wired Apple CarPlay. There is also wired Android Auto for those users and built-in satellite navigation. 

The 12.3-inch digital instrument panel is the prettiest piece of tech in the car and there is more customisation available to make it feel yours.

Considering its price point and top-model status, it's more obvious that you miss out on premium items like three-zone climate control, faster USB-C connections and a head-up display.

The XC60 is spacious without being sprawling. The front row is the sweet spot for comfort, with generous leg and headroom plus ergonomic seats that offer excellent under-thigh and side-bolster support. They also bring the luxury of heating, ventilation and even massage functions.

The rear row uses firmer padding, and while the backrest looks fairly flat, it’s deceptively supportive. Adults should be comfortable back there on longer journeys. Access is only slightly compromised by the wheel arch eating into the rear aperture, but otherwise it’s an easy SUV to get in and out of. My eight-year old pointed out that the rear doors are on the heavy side, though, and often need a good slam to latch properly.

Storage is well thought out throughout the cabin. Up front you get a decent glove box, cupholders, drink bottle holders, door bins, a dedicated phone tray that doubles as the wireless charging pad and a shallow centre console with two USB-C ports. One niggle. The cupholders don’t grip cups as snugly as they should.

The rear row has a 60/40 split with a 'ski-port' door and a fold-down armrest. And in the back, there are door bins with bottle holders, a fold-down armrest with cupholders and net map pockets. Rear passengers are also spoiled with dual-zone climate control, four directional air vents and two more USB-C ports.

One of the XC60’s best family-friendly features is the integrated booster seats, which have two height settings and fold neatly back into the base when not in use. They’re a lifesaver if you have kids who feel like they've 'aged out' of car seats but aren’t quite tall enough to go without. Of course, there are also ISOFIX mounts and three top-tether points if you still need to install child seats.

Out back, the boot offers a flat loading space, a powered tailgate with kick function and a healthy 613L of storage with all seats up (up to 1543L when the rear row is folded). You also get a 12-volt socket, a proper temporary spare tyre, and if you’ve got the optional air suspension (as per our test model) you can raise or lower the boot height for easier loading.

Tech usability is a bit of a mixed bag. The new 11.2-inch media display is sharp and responsive, and it comes pre-loaded with Google apps like Maps, Spotify and Assistant. But the Apple CarPlay and Android Auto isn't wireless, which feels like a miss at this price point.

The Bluetooth is patchy, with calls and music sometimes not syncing properly. A wired connection works better, especially for my iPhone 15 Pro Max, but I'm not a fan of leaving my phone on charge all the time. If you’re already familiar with Volvo or Polestar’s system, you’ll feel at home, but first-timers may need a little time to adjust.

There are two mild-hybrid variants in the XC60 line-up, and the one we’re driving here is the flagship Ultra B5 Dark. Priced at $81,990, before on-roads, it costs about $7000 more than the entry-level Plus B5 Bright, but that premium buys you a longer list of included features that makes the Ultra Dark feel like the sweet spot of the range. Especially considering Volvo also offers two plug-in hybrid XC60s, but those command up to $20K more!

In terms of market rivals, the XC60 sits right in the middle. The Audi Q5 TFSI starts at $81,000, while the Lexus NX 350h Sports Luxury AWD asks $87,900, both before on-road costs.

Standard equipment is generous. The Ultra Dark gets a panoramic sunroof and Nappa leather upholstery, with the electric front seats offering heating and ventilation functions plus a heated steering wheel for winter comfort. There's a 360-degree view camera system with surrounding parking sensors and a park-assist feature.

Tech upgrades include a new 11.2-inch media display with in-built navigation, Google apps, and wired Apple CarPlay/Android Auto, backed up by four USB-C ports, a 12-volt socket and a wireless charging pad. There's also a Volvo phone app, which allows users to pre-condition the climate prior to entry, have a digital key and program the spare key for any kids who might want to borrow the car!

Families will appreciate the thoughtful touches like a powered tailgate with kick function, built-in child booster seats in the rear row, a temporary spare tyre (a welcome feature), four-zone climate control and lots of storage throughout the cabin. Keyless entry sensors on every door add another layer of convenience.

Our test car was also fitted with just over $5000 worth of options, including the Bowers & Wilkins premium sound system, active air suspension, tinted rear windows, and even front seat massage functions. When you consider that many rivals charge extra for equipment that comes standard here, the XC60 Ultra B5 Dark makes a strong case for itself on value.

The GT plug-in hybrid model has a 1.6-litre, four-cylinder turbo-petrol engine, as well as an electric motor that sits on the front axle. It has an eight-speed automatic transmission that produces smooth gear changing driving the front wheels.

The combined outputs are 165kW and 360Nm which means you have a good amount of power for this sized car but it’s not a performance wagon as its 0-100km/h sprint time is 8.3 seconds.

The lithium-ion battery has a small 11.8kWh capacity and will get from 0-100 per cent in three and a half hours on an 11kW system. On my standard house plug, it took closer to six and a half hours.

The Ultra B5 Dark tested here is all-wheel drive and has a 2.0-litre, four-cylinder, turbo-petrol mild-hybrid engine. It produces up to 183kW of power and 350Nm of torque.

The 'mild hybrid' tag comes from a 48-volt system paired with an integrated starter-generator. It’s not a full hybrid, so you won’t be gliding around silently on electric power alone, but it helps smooth out stop-start driving, boost efficiency and add a little extra shove when you put your foot down.

The result is an engine that feels lively in the city and confident out on the open road, with enough in reserve to make overtaking stress-free.

Peugeot says you can travel up to 55km on pure electric function, however my morning (return) school run is 38.4km and the electric range was spent by the time I parked in my garage after starting on a full charge. 

Under optimal conditions, where you’re utilising both the engine and motor, the GT PHEV has an official fuel cycle consumption of 1.5L/100km.

After charging it three times, travelling 444km on a mix of open/urban roads and using 33 litres of fuel, my real-world usage came to 7.4L/100km.

You absolutely get the best economy when you regularly charge it but sometimes you just don’t get the time to!

You'll need 43 litres of premium 95 RON unleaded fuel to fill the tank which, using our real-world average consumption figure, translates to a driving range of around 580km.

Volvo claims combined cycle (urban/extra-urban) fuel use of 7.6L/100km for the XC60 Ultra B5 Dark, which isn’t bad for a turbo-petrol but reminds you that this is only a mild hybrid. With a 71-litre fuel tank, you’re looking at a theoretical driving range of up to 934km which is great for a family SUV likely to see its fair share of school runs and road trips.

In my real-world testing, which included plenty of urban driving with one longer trip in the mix, I averaged 8.6L/100km. That’s a little higher than the claim, but still a respectable result overall.

The 508 Sportswagon is an odd car to drive. Around the city, the steering makes it feel like you’re in a go-kart and you may over-correct until you get used to it. 

On the open-road, it feels like it gets into its groove but the power reserves feel a tad too shallow as the engine can complain with only a light load. 

The suspension is well padded and you won’t notice too many bumps but you do get a fair bit of wind and road feedback at higher speeds. 

Because of the narrow windows, I am surprised by how great the visibility is but you feel tiny when you sit next to a big SUV in traffic!

That said, it corners beautifully and taking this on a winding coastal road is super fun.

The brakes are very responsive, which is great in stop-start city traffic but can make it feel a little jerky while navigating a car park.

And on that note, because of the funky steering feel, it takes a moment to calibrate your senses with what the car is doing.

Once you get used to it, it’s simple to park but the quality of the 180-degree camera system is pretty rubbish for where this car sits in the market.

There’s plenty of power on tap, with enough left in reserve when you really need to push it. Around town, the XC60 keeps up with traffic effortlessly, and out on the highway it never feels strained. The transmission is fairly punctual with its shifts, though you do need to drive it a little more assertively to avoid any lag when accelerating from a stop.

Visibility is excellent thanks to the big, wide windows and higher driving position. It’s also refreshing to have a wide rear window behind the C-pillar as it's something not all rivals manage.

On the road, the XC60 feels composed and comfortable. The cabin stays quiet even at highway speeds and the suspension soaks up the worst bumps without ever feeling floaty or disconnected. Handling is equally predictable, with steering and dynamics that feel natural and reassuring. Take a sharp corner at speed and you will notice a slight loss of composure but it rights itself quickly.

Day to day it’s also very car park friendly. Parking sensors and the 360-degree camera view make manoeuvring simple, though the video feed looks a little blurry at the edges. A more seamless stitch between camera angles would improve the presentation, but functionally it gets the job done.

While the 2026 Volvo XC60 hasn’t undergone ANCAP testing yet, it continues Volvo’s long-standing reputation for safety with a comprehensive suite of features. Standard equipment includes autonomous emergency braking, blind-spot monitoring, lane keeping aid, lane departure warning, rear cross-traffic alert, front and rear collision warning, traffic sign recognition, driver attention warning and seven airbags - basically covering all of the essentials.

For families, there are integrated booster seats in the rear row, ISOFIX child seat mounts, and three top-tether anchor points. A stand-out feature is the programmable spare key, which is colour-coded in bright orange and allows you to set speed and speaker-volume limits. Which is ideal for nervous parents who share the car with teens or other young drivers.

Other practical safety touches include a protective first-aid kit and warning triangle, adaptive cruise control with stop/go function, parking assist, surrounding parking sensors and a 360-degree camera system.

On the 508 you’ll enjoy a five-year/unlimited km warranty and the battery is covered by an eight-year or up to 160,000km warranty, which is great.

You can pre-purchase either a three- or five-year servicing plan and the five-year plan costs a flat $2100 or an average of $420 per service which is very reasonable for this class. 

Servicing intervals are at every 12months or 20,000km, whichever occurs first.

The XC60 is covered by a standard five-year/unlimited-km warranty, which is okay for its class, especially at the premium end. You can pre-purchase either a three- or five-year 'Volvo Genuine Service Plan'. The five-year plan will set you back $3870, which is steeper than many rivals, though Volvo sweetens the deal with five years' complimentary roadside assistance. Services are spaced at every 12 months or 15,000 km, whichever comes first.

One thing for regional owners to keep in mind, while Volvo has a decent retail footprint, there are only 34 Volvo service centres in Australia. Depending on where you live, that can mean a long drive. In my case, the nearest Volvo service centre is almost two hours away. That adds travel time and inconvenience for regular maintenance or unscheduled work.