I’d ask the same question on a caravan forum and be prepared for a very long thread. There are several weight measurements that need to be considered when towing – the kerbweight of the car (not the max tow, that is different), the max loading of the caravan, the max weight that can be applied to the towball of the car, and the max load that can be applied to the rear axle of the car, and maximum train weight for the vehicle, that is towcar & trailer weights together.
Common guidance is that for caravans, due to their high sided nature, a caravan should not weigh more than 85% of the towcar kerbweight for a novice tower, but up to 100% of vehicle kerbweight still remains legal but increasingly less stable. Exceeding 100% is possible, but usually this will be with a none caravan type trailer (think car transporter) which are greatly less effected by cross winds and overtaking traffic than a caravan. I’d think a 206 with a 700kg caravan will be overtaken a lot too!
Noseweight on the hitch should be approx 5-7% of the caravan max load, but cannot exceed the manufacturers stated max hitchweight (noseweight) or the actual max loading stated for the hitch itself (usually Alko, which is in the region of 100kg). That means the 700kg caravan will sit with a noseweight around 35kg (5%).
Rear axle weight of the car cannot be exceeded but is nearly impossible to weigh without taking the loaded car & caravan to a weighbridge. Noseweight can be measured using bathroom scales and a piece of wood equivalent in length to the height of the vehicles towball. Max train weight is again best measured on a public weighbridge and cannot legally be exceeded.
When a vehicle has a max tow of say 3500kg, like a lot of bigger 4×4’s do, this is based upon engine & gearbox being able to cope with the description that Spooky gives, being able to pull away from a stop on a given gradient in the region of 10-12%. A very small number of cars might have a max tow lower than their kerbweight, but the 206 doesn’t stand out as being one of them. Some small cars don’t even have Type Approval for towing due to too low kerbweight etc.
There are also a couple of obscure laws regarding length & width of the caravan that mean some big continental caravans need “commercial” vehicles greater than 3.5tonnes to tow – hence why travellers often use Transits to to tow their big Hobby or Tabbert caravans.
So long as the maths adds up there is nothing to stop the OP’s proposal, I’d want to make sure that car & caravan are both mechanically sound and up to the job.
