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The Peugeot 106 ran from 1991 to 2004 and had a significant facelift in 1996, which is the key boundary to be aware of — pre-facelift (1991–1996) and post-facelift (1996–2004) stalks are not guaranteed to interchange. Within each of those two generations, stalks are generally considered compatible, but always confirm the exact part against your registration with the breaker before buying.
The 1996 facelift brought changes to the steering column and stalk assembly, so a stalk from a post-facelift car (1996–2004) crossing into a pre-facelift (1991–1996) car — or vice versa — is not something we can confirm as a straight swap. Name the boundary to your breaker and ask them to cross-reference the part number against your registration to be sure.
For indicator stalks, trim level does not affect fitment — the stalk is determined by the steering column assembly, not whether the car is a base XN, mid-range XR, or a performance Rallye or GTi. You may find minor cosmetic differences such as finish or feel between stalks sourced from different trim levels, but these are cosmetic rather than functional concerns.
Both years sit within the post-facelift generation (1996–2004), so a stalk from a 2001 car is a strong candidate to fit your 1998 Independence without issue. That said, always quote your registration to the breaker so they can confirm the part number matches before you commit to buying.
No — engine size has no bearing on indicator stalk fitment for the Peugeot 106; the stalk is determined by the steering column generation, not the engine fitted. Focus on whether the donor car is pre- or post-facelift (the 1996 boundary) and let the breaker verify the part against your registration.
Yes — because trim level does not affect indicator stalk fitment on the 106, not knowing the donor car's trim name is not a problem. What does matter is confirming whether the stalk is from the pre-facelift (1991–1996) or post-facelift (1996–2004) generation, so ask the breaker to confirm the donor vehicle's year before purchasing.