What you decide to do next depends on two things: how much money you have to spend and what kind of condition your Peugeot is currently in.

Other than the flywheel issue, if it is in good condition and is regularly serviced, there is no reason why it cannot continue to give you many more years of loyal service. Clutches, and flywheels to a lesser extent, are considered consumable parts, so eventually they will wear out. The cost of replacing both will likely cost close to £1000 or more, but once done they should last for at least another 100,000 miles.

However, if you have money available to replace the car completely, you have the option of selling up and buying something younger. You could even replace it with another Peugeot 407 as it suits your needs well.