Any car maker which produces a vehicle with smooth flowing lines, a beautifully-crafted interior and a fantastically powerful and economical engine must be on to a winner. Er, well, maybe.

Peugeot's 407 Coupe has all the fundamental components of a contemporary GT touring car. It is elegant, well-proportioned and follows an established tradition of great coupes produced by the company, that includes the 404, 504, and 406.

It can comfortably accommodate four adults and their luggage and under the bonnet of the test car was Peugeot's latest engineering pearl, a 2.7-litre V6 turbodiesel engine, rated so highly that Jaguar has snapped it up for its luxury saloons. The 205 horsepower unit drives through a six-speed automatic gearbox, which can be used in fully automatic; sport mode or sequential manual gearchange mode, using the Porsche Tiptronic' control system.

Peugeot says it aimed to make 407 Coupe the benchmark for handling in its range and it has done a first-class job. Road holding, in particular, is razor-sharp with electronically-controlled suspension ensuring good control of body movement, superb stability, a high level of responsiveness and extremely accurate steering. Inside, the coup is simply luxurious. Four separate bucket-style seats are trimmed in leather and surrounded by classy brushed aluminium trim. This opulence is further enhanced by the instrument panel, featuring five dials with chrome surrounds, needles with an aluminium finish and chronograph-style graduations. The three-spoke steering wheel features perforated leather on the side sections, while the thumb rests have a smooth leather finish. A brushed chrome insert on the third spoke of the steering wheel echoes the theme of the aluminium inserts in the passenger compartment.

Technology ranges from automatic headlamp and wiper activation and dynamic height adjustment of headlamps, to bulb-failure and tyre pressure monitoring systems.

But for all the comfortable cossetting, quality manufacture and exquisite engineering, you are left wondering just how successful this coup will be, especially in the UK. A near-£30,000 price tag opens up the options of many other beautifully-built, svelte, executive cars, many of them with a German badge on the bonnet. It would take a really determined individual to turn their back on the motoring mainstream and opt for Peugeot's lion instead. But if they did, they would be in for a treat.

Auto facts Peugeot 407 Coupe SE 2.7 V6 HDi

  • Price: £29,245
  • Insurance group: 16
  • Fuel consumption (Combined): 33.2mpg
  • Top speed: 143mph
  • Length: 481.5cm/189.5in
  • Width: 186.8cm/73.5in
  • Luggage capacity: 14.1 cu ft
  • Fuel tank capacity: 14.7 gallons/67 litres
  • CO2 emissions: 226g/km
  • Warranty: 3 years/60,000 miles