Firstly, there is a lot of speculation, poor advice and in acurracte talk about these engines.
I have worked on these cars and engines for many years, and have owned several, including high mileage examples (Rover 45 1.8 I took to 170k miles).
The head gasket is an item that can fail on these engines yes. Many of these failures however occur when undetected coolant loss occurs causing the level to drop to low. Running with no/low coolant/overheating of any engine can damage the head gasket - these light weight engines especially so.
There are several 'weak points' of the cooling system on the Rover's with this engine type that can cause leaks:
1) Inlet manifold gasket (black plastic manifold only) which can leak both externally and internally (giving head gasket failure type symptoms). External leaks will run down the back of the engine, or run around the head to block joint (which can look like a leak from the head gasket!). Internally they leak in to a cylinder - which can cause rough running on start up.
2) Water pump (in my experience around 60-70k miles these can start to leak). This can be hard to spot.
3) expansion tank cap
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