Best cars for less than £150 per month

Last updated: Aug 18, 2015

Buying a new car can often seem daunting financially, particularly when you catch sight of list prices. However, the majority of people now pay for their cars on finance deals, allowing them to spread the cost of the car over a number of years by paying in more affordable amounts each month, as opposed to a huge sum up front.

Naturally, the monthly payments for many cars are still unaffordable for many buyers but the good news is that there are now plenty of excellent cars on the market available for monthly payments of £150 or considerably less.

The Ford Fiesta has been the UK's best-selling car for several years and is available for less than £140 per month in Zetec trim, while one of our favourite city cars, the Hyundai i10, is available for less money per month than it costs to buy a tank of fuel for a Range Rover.

There are both leasing deals and PCPs (personal contract plans) available, allowing you to choose a package that's most suited to your circumstances. You can read more about car finance here.

Thanks to these deals and competition for sales between manufacturers, motoring is arguably more affordable than ever, with bargain deals giving more people the opportunity to have a car. If your monthly budget doesn’t leave you with much spare cash to pay for a car but you simple have to have one, we’ve compiled a top ten list of the best budget buys currently available.

It's also worth checking our new car deals story, which gets updated on a weekly basis - you may find an offer that puts a particular car within your monthly budget.

Nissan Note mini MPV

There are cheaper small hatchback cars to buy, but few offer as much space inside as the Nissan Note. There are plenty of choices for less than £150 a month, but stretching your budget by just £50 a month can uncover some even more enticing deals. The current car might have shed its old boxy image, but this model provides more space than the larger Nissan Juke, and Nissan usually offers a range of deposit contributions to sweeten the deal yet further. Read more.

Key points

3.8 / 5
Price 
£9,995 - £18,020

Hyundai i10 hatchback

The new Hyundai i10 won Carbuyer Car of the Year in 2014, simultaneously taking Best City Car in the process, and now you can get behind the wheel of the i10 for just £69. The 1.0-litre BlueDrive model returns 65.7mpg and CO2 emissions of 98g/km, making the car cheap to run and free from paying road tax. The interior is spacious and the boot's one of the biggest in its class. The car is surprisingly good to drive and also quieter on the motorway than rivals such as the Citroen C1. A five-year warranty rounds off an excellent package. Read more.

Key points

4.9 / 5
Price 
£8,895 - £12,945

Skoda Citigo hatchback

If you want to cut your motoring bills, you could do worse than selecting a Skoda Citigo for your daily drive. Available from as little as £75 per month, the small Skoda represents incredible value. For rock-bottom running costs and decent levels of equipment we recommend the 1.0 GreenTech Elegance, which emits a tax-busting 96g/km of CO2. Read more.

Key points

4.9 / 5
Price 
£8,275 - £11,120

Ford Fiesta hatchback

The Ford Fiesta is a former Carbuyer Supermini of the Year and continues to sell in droves, in fact it is Britain's most popular new car. It's stylish, great to drive and costs little to run – and all apart from the flagship cars are available on a small budget. We recommend the perky 1.25-litre Zetec, which is available for £139 per month. Read more.

Key points

4.4 / 5
Price 
£10,145 - £18,395

Kia Cee'd hatchback

If you’re willing to sacrifice a degree of performance for a gain in practicality, then the Kia Cee’d is a sound choice. It's a solid, well-built and comfortable family hatchback, with enough space to rival the Ford Focus. A monthly budget of £137 will get you a 1.4-litre petrol model in a trim that'll feature air-con and Bluetooth. Read more.

Key points

4.6 / 5
Price 
£14,805 - £24,205

Peugeot 208 hatchback

There are a number of affordable ways to get yourself a Peugeot 208. The handsome small hatchback can be leased for less than £120 a month and it's also on the firm's "Just Add Fuel" scheme. That means for a monthly fee of £149 a month, you can get the car, alongside three years insurance, servicing, warranty and breakdown cover. All you need to do is pay for your fuel. Read more.

Key points

4.1 / 5
Price 
£11,695 - £21,995

Vauxhall Corsa hatchback

The Vauxhall Corsa is the newest model here, but there are still some appealing deals on offer. Motorists can have a Corsa Sting model with a 1.2-litre petrol engine for £109 a month on a PCP deal, although we'd recommend stretching to another £20 a month for the same car with the 1.0-litre turbo engine. There are also options to lease various Corsa models for monthly payments of less than £150. Read more.

Key points

4 / 5
Price 
£9,265 - £17,595

SEAT Ibiza hatchback

There's no shortage of choice when it comes to a SEAT Ibiza for less than £150 a month. In fact, you can park a three-door Ibiza SC Toca model on your drive for just £99 a month. Although that's a bargain, we'd spend a little more to get a more powerful engine. The sweet spot is the 1.2-litre TSI engine in sporty FR Black trim for just £139 a month. Read more.

Key points

3.7 / 5
Price 
£10,000 - £17,335

Suzuki Swift hatchback

There are plenty of superminis within the £150 per month budget, but one still stands out as a relative rarity – the Suzuki Swift. This capable hatchback, available from £99, is fun to drive and looks great. The 1.2-litre engine can feel underpowered, but around town the light steering makes parking a doddle. To access the £99-a-month deal, you'll need to pay a £1,724 deposit, with the plan running for four years. Read more.

Key points

3.7 / 5
Price 
£8,999 - £14,199

Fiat Panda hatchback

The Fiat Panda is another practical, yet funky choice. And it's affordable too, with a £99 deposit and £99 a month for four years to secure a 1.2-litre Panda Pop. It's not the most lavishly-equipped model in the range, but the repayments are low, and the optional final payment is low at just £2,336. Small family car ownership simply doesn't come much cheaper. Read more.

Key points

4.2 / 5
Price 
£9,375 - £14,975