Watch this space saver from Peugeot

The most surprising aspect is that, despite being 193 mm longer, and capable of carrying 480 litres of luggage with the rear seats still in place, it still retains the stylish lines on the front, and the slight slope of the rear avoids the traditional boxy look, common with estates.

In some ways, it's like the fortune-tellers of the past. As manufacturers flip through the oceans of analysis that pours onto their desks each day, their eyes hunt hungrily for signs of shifts and trends in consumer behaviour.

It would seem that, judging by announcement of forthcoming model launches, and "leaks" about work in progress, the auto industry is focusing on the mini or compact MPV market.

Opel is nearing completion of its entrant, the Meriva, a baby brother of the popular Zafira. Elsewhere, Fiat is due to bring out an estate version of the Stilo later this year and Volkswagen has just announced details of its compact MPV, the Touran, miniature of the VW Sharan.

Peugeot seems to have got a jump on the rest by adjusting its popular 206 and 307 models and offering more luggage space and length.

On Monday we attended the Irish launch of the 206SW, following on from the spring launch of the larger stablemate, the 307SW.

Don't be misled by the common appellations - they might carry the same initials but Peugeot has strangely chosen to change the meaning of the letter "S" in each case.

In any event, we doubt many potential buyers will care one way or the other about the lettering.

The only possible use for such information is for use in a potential pub quiz tie-breaker. With that in mind we offer the answer: SW on the 206 stands for Sports Wagon, while on the 307 it stands for Sky Wagon.

So to the car itself.

As a longtime fans of the stylish lines of the 206, I approached the idea of an 'estate' version with a great many misgivings.

Whether you refer to it as a compact MPV or estate, the problem with so many of these enlarged hybrids is that they become utilitarian vehicles with features dictated by practicality at the expense of elegance.

The curved rear of the 206 adds greatly to the car's character, so any adjustments were going to have to incorporate some degree of styling to win us over. But there is, thankfully, more to the 206SW than simply a rear end overhang.

Peugeot prefers to refer to the 206SW as "a vehicle the size of a town saloon with the character and performance of a sports car and the functionality of an estate".

Regardless of what you call it, the new model has 28 per cent more boot space than existing versions of the 206 and has greater headroom and visibility for rear seat passengers.

Certainly the decision to set the rear door handles into the pillars, an idea pioneered on the Alfa Romeo 156, enhances its appearance.

In many ways Peugeot is right to point to looks more in keeping with a town saloon than an estate.

The SW comes with a choice of four petrol engines (1.1, 1.4, 1.6 and 2-litre) and a 1.4 HDi turbodiesel engine, due here by October. Prices start at €15,815 for the 1.1x, and go up to €17,015 for the 1.4xt and €19,715 for the 1.6XSi. A top of the range 2.0 Gti will sell for €25,015. We drove the 1.4xt version and found it very responsive for its size.

Standard features include power steering, twin front airbags and remote control central locking.

Emma Toner, for Gowan Distributors, the Peugeot importers, estimates sales for the 206SW of around 500 units a year. As for the 307SW, she says Peugeot has registered over 200 units here since its May arrival.

In all its formats, the 206 is running a close second in the mini or B segment, the leader being the Fiat Punto. According to Emma the 1.4 diesel version is the best-selling diesel model in the segment. This year alone sales have risen by 25 per cent."