BMW or Peugeot

Weve just bought a new Honda CR-V to replace one of our existing cars. The problem is, we dont know which one to get rid of. We have a 2000/W BMW 318i and an '04-plate Peugeot 307 SE 1.6 with 30,000 miles on the clock. Both have manual transmission and petrol engines. My heart says keep the BMW but my head says keep the Peugeot. They've both just passed their MOT tests. Can you advise me which one will be the cheapest to keep in the long run? I'm aware that the BMW is more expensive to tax and fill up with petrol, but will it last longer and be cheaper to maintain in the long run?
Gail Dodd

If youre looking for budget motoring, the Peugeot will almost certainly work out cheaper in the long run.

As youve pointed out, the BMW will cost more to fuel and tax although not by a huge amount.

The real expense, however, is likely to come from repairs and maintenance. Peugeots arent renowned for their reliability, but since your 307 has only covered 30k miles it shouldnt need extensive repairs for some time.

Your BMW, on the other hand, is getting to the point where major repairs become much more likely. Labour rates at your BMW dealer will probably be quite a bit higher than those at Peugeot, and the equivalent parts for a 3 Series will be also be pricier.

So, even if your 307 does need some work doing, chances are it will cost a lot less.