Coe was born Percy Newbold Coe in Stepney, the eldest child of Violet (née Newbold) and Percy Coe Sr. (1893–1974). Coe had a younger brother, Peter, who died in infancy in 1928, and he took on his brother's first name as a dedication to him. He was brought up in just two rooms on Cambridge Heath Road. Coe's first marriage ended in divorce, and in 1954 he married Tina Angela Lal, with whom he had four children including Sebastian Coe.
He worked in the merchant navy at the age of 19, during the Second World War, and was on a boat named the A.D. Huff that was torpedoed by the German battle cruiser Gneisenau, leaving him as only one of five survivors. He was picked up by a German boat, and was made to work in the kitchens, because he spoke fluent German. He was to be transferred to a prisoner-of-war camp, but escaped by jumping off of a train, along with a Canadian prisoner. He then walked all the way from Germany to Spain where he was imprisoned for six months.
After the war, while Sebastian was still young, the family moved up to Sheffield from Middlesex, and he worked there as a production engineer in a steel cutlery factory. He did not begin coaching Seb until just before he turned 50, his favourite sport being cycling rather than athletics.
As an engineer, Coe became dissatisfied with the athletics coaching offered to his son Sebastian at his first club, Hallamshire Harriers. This training was based on the principles propounded by the New Zealand coach Arthur Lydiard, and involved a substantial amount of long-distance running. By contrast, Coe took the view that "long slow training turned you into a long slow runner", and adopted a system of speed-endurance training involving fast repetitions with short recoveries, based on the ideas of the German coach Woldemar Gerschler. He used his fluency in German to translate many East German books on training. Much of his training was also based on self-taught biomechanics, from his background as an engineer. In addition to coaching his son Sebastian, Peter Coe also coached Wendy Smith-Sly, who placed second in the 3000 metres at the 1984 Summer Olympics. He would often refer to himself as Sebastian Coe's coach rather than his father.
Coe's second wife, and mother of four of his five children, Tina Angela Coe (née Lal), died in Hammersmith and Fulham, London, in 2005, aged 75. Peter Coe died in 2008, aged 88. He and his son Sebastian remained close up until his death, speaking almost every day on the phone. Previously they had co-written two books on athletics coaching together.
- Winning Running: Successful 800m & 1500m Racing and Training. Peter Coe, Trafalgar Square Publishing, ISBN 1-85223-997-2
- Better Training for Distance Runners. David E. Martin, Peter N. Coe, Human Kinetics Publishers, ISBN 0-88011-530-0
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- Coe, Sebastian (2013). Running My Life. Hodder. p. 11. ISBN 978-1-444-73253-5.
- "Peter Coe, coach and father of Sebastian, dies at 88". The Independent. 2008-08-09. Retrieved 2016-06-01.
- "Seb Coe - Who Do You Think You Are - Athletics: a family tradition..." www.thegenealogist.co.uk. Retrieved 2016-06-01.
- Miller, David. "Peter Coe: the father who kept Seb on track". Telegraph.co.uk. Retrieved 2016-06-01.
- "Hall of Fame 2015 inductees - England Athletics". www.englandathletics.org. Retrieved 2016-06-01.
- "Family Announcements, Peter Coe - Funeral Directors and services - Family Announcements Announcements". www.family-announcements.co.uk. Retrieved 2016-06-01.
- Coe, Sebastian (2013). Running My Life. Hodder. pp. 35–39. ISBN 978-1-444-73253-5.
- Butcher, Pat (2004). The Perfect Distance: Ovett and Coe - The Record Breaking Rivalry. ISBN 0-297-84745-7.[clarification needed]
- "Track Chat: Engineering Greatness: Peter Coe". tonyward-trackchat.blogspot.co.uk. Retrieved 2016-06-01.
- Peter Coe dies aged 88, The Times, Published: 9 August 2008
- "Peter Coe- father of ex-Olympic champion- dies". Team USA. Retrieved 2016-06-01.
- "Roger Black, Peter Coe and Basil Heatley among England Athletics Hall of Fame inductees - Athletics Weekly". Athletics Weekly. 2015-10-18. Retrieved 2016-06-01.