Peugeot executives will decide by summer whether to add another model to the assembly lines at Ryton, Coventry.

Automobiles Peugeot managing director Frederic Saint-Geours remains tight-lipped about which car may be built alongside the 206, though at the preview of 307 at Paris motor show, he fuelled speculation the 206 estate was the most likely candidate.

Sneak pictures have already appeared of a production-ready version of the holdall car, which is planned to reach Peugeot showrooms next year.

The new 307 – the 306 replacement and first fruit of PSA's Number Two platform – will compete in the European M1 (light car) segment, which PSA has pinpointed as pivotal for future growth.