An artist'simpression of the Peugeot 308 based on inside information and partial spy pictures. Both illustrations Auto Express
The face-lifted 307 is apparently struggling to compete against newcomers such as the Ford Focus, Opel Astra and VW Golf.
When the 308 hits showrooms it will feature a dramatic styling departure from the current model. It will take its styling cues from the 407 and in general it will appear sleeker.
The car will also get new underpinnings, but the engine line-up is expected to be similar to that of the current range.
Another important Peugeot model to be launched next year is the replacement for the 206.
The 207 is due to be unveiled at the 2006 Geneva Motor Show, but it will face stiff competition from cars such as the new Renault Clio and Fiat Grande Punto.