Best cars

Top 10 best company cars 2022

There are so many attractive choices these days that picking the best company car can be quite a challenge. We look at the best of today's most popular models

Hyundai Ioniq 5 front 3/4 cornering

Half of all new cars registered in the UK are purchased for company car fleets but what should you look for when it comes to buying one? When choosing a company car, you'll want to keep a close eye on costs, with a car's Benefit-in-Kind (BiK) liability a deciding factor.

For decades the diesel engine was the default choice of the company-car driver. Now, however, a diesel model that doesn’t comply to RDE2 standards incurs a 4% BiK surcharge (up to 37%) over petrol models with the same emissions figure. This means you need to consider if you will drive enough miles to justify the amount you’d save in fuel over the higher BiK cost and related income tax.

Top 10 best small company cars 2022

With diesel power gradually falling out of favour, what are the cheap alternatives? In recent years, petrol, hybrid, plug-in hybrid, and electric cars have all become increasingly popular with company-car drivers thanks to more beneficial BiK tax rates. For 2021-22, business users of electric cars pay just 1% BiK tax. By comparison, a former company-car favourite, the Ford Mondeo, now attracts a steep BiK rate when specced with a 2.0-litre diesel engine. So, although alternative fuel models may come with a larger price tag, they’ll end up saving you money in the long term.

Here is our list of the 10 best company cars you can buy today:

Hyundai Ioniq 5 hatchback review

Best Family Electric Car: Hyundai IONIQ 5
Carbuyer rating

4.5 out of 5

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It might look retro with its 8-bit inspired lights but there's nothing old-fashioned about the Hyundai Ioniq 5. Built from the ground up to be a fully electric car, the Ioniq 5 boasts the latest battery and charging technology. With the largest battery pack it also has a range of up to 298 miles, easily dispatching long motorway trips. Far-flung trips will also be made easier by ultra-rapid 350kW charging, which has only been available in more exotic models until now.

For those happier to stay nearer home, the entry-level version gets a 58kWh battery and 168bhp electric motor, with a still-respectable range of up to 238 miles. There's even a dual-motor version, with 301bhp and a 0-62mph time of 5.2 seconds. Despite its size and weight, the Ioniq 5 has a low centre of gravity, so its handling feels natural and poised without requiring overly stiff suspension.  

Volkswagen ID.3 hatchback review

Best Small Company Car: Volkswagen ID.3
Carbuyer rating

4.4 out of 5

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The Volkswagen ID.3 is the brand’s electric alternative to the VW Golf. It’s spacious and fun to drive but offers running costs that a conventional Golf can’t hope to match. It’s significantly cheaper than the Tesla Model 3 but the range-topping models offer similar range.

Although the ID.3 is actually fractionally shorter than a Golf, the wheelbase (the distance between the front and rear axles) is 13cm longer. This means there’s more room inside, especially when it comes to rear legroom. Despite the rear-mounted motor, the ID.3 also offers five extra litres of boot space over the VW Golf, totalling 385 litres.

The smallest 45kWh battery boasts a pure-electric driving range of 205 miles, while the range-topping 77kWh model can travel up to 341 miles between charges. By comparison, the most affordable Tesla Model 3 offers 254 miles of range. As an electric car, the ID.3 falls into the Benefit-in-Kind (BiK) bracket of just 1%. Assuming your daily commute doesn’t exceed the electric range on offer, the ID.3 could save you a lot of money in company-car tax.

Porsche Taycan saloon review

Best Large Company Car: Porsche Taycan
Carbuyer rating

4.3 out of 5

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Porsche clearly wanted to make a statement with its first electric car and in the process has built one of the best company cars in existence. While most models from the performance marque sit in the highest 37% BiK band - putting them well and truly out of favour with fleet buyers - the Taycan is in the same 1% band as a Nissan Leaf. It's also VED (road tax) exempt, and there's no luxury car surcharge for EVs either.

All of these benefits come despite the fact that the Taycan will beat many Porsche models, sports cars and super saloons away from the lights. In range-topping Turbo S trim, the Taycan has 750bhp and can launch from 0-62mph in 2.8 seconds. It isn't only good in a straight-line, so our favourite Taycan is in fact the entry-level version with rear-wheel drive. It still feels quick but is more agile too.

Jaguar I-Pace SUV review

Best Large Electric Car: Jaguar I-Pace
Carbuyer rating

4.4 out of 5

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The Jaguar I-Pace is the firm’s first attempt at an electric car and undercuts the rival Tesla Model X. As a zero-emissions electric car it gets an affordable BiK rating and boasts stunning exterior design and a beautiful interior, even on the entry-level S spec.

It’s also practical, thanks to a 656-litre boot and a small boot under the bonnet. With a range of up to 292 miles and a 0-62mph time of 4.8 seconds, the I-Pace easily matches a majority of the cars on offer here for range and ability.

Tesla Model 3 saloon review

Tesla Model 3 saloon fron 3/4 cornering
Carbuyer rating

4.4 out of 5

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The Tesla Model 3 represents incredible value for money as it offers a fully electric car for the same price as a mid-spec diesel BMW 3 Series. Its whisper-quiet electric powertrain is a real plus for company-car drivers, placing it in the lowest BiK band and providing huge savings on fuel. While Tesla’s impressive Supercharger network isn’t free for Model 3 users, numerous locations and simplicity of use means recharging on the move is pretty painless. The Model 3 is the first Tesla to be compatible with other charging networks too, thanks to its CCS charging cable.

Placing an impressive 9th out of 75 cars in our 2022 Driver Power customer satisfaction survey, it's clear the Model 3 offers quite a lot more than just low running costs. There’s the performance for one thing, as all models offer rapid acceleration, while the interior is both futuristic and spacious. Tesla’s smallest offering scored top marks for safety too, especially in the safety assistance category.

Mercedes A 250 e hatchback review

Best Plug-in Hybrid: Mercedes A 250 e
Carbuyer rating

4 out of 5

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If the 530e and Model 3 are out of budget, the recipient of our 2021 Best Small Company Car award is worth a look. The current Mercedes A-Class has struck a chord with UK buyers, largely due to its sublime interior, while the efficient petrol and diesel engines have now been joined by a business-friendly plug-in hybrid offering.

The Mercedes A 250 e adds an electric motor and a 15.6kWh battery to the existing 1.3-litre petrol engine, resulting in an electric range of around 40 miles and official CO2 emissions of just 37g/km. When you’re in a rush, the two power sources combine to make it possible to reach 0-62mph in 6.6 seconds, so it can keep pace with a Volkswagen Golf GTI.

Skoda Enyaq iV SUV review

Skoda Enyaq iV SUV - front 3/4 dynamic
Carbuyer rating

4.5 out of 5

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The Enyaq iV may not be Skoda’s first EV – that honour goes to the discontinued Citigo-e iV city car – but it is arguably its most complete. It is, in essence, a more affordable version of the Volkswagen ID.4, but manages to match and even surpass it in several aspects. The family SUV offers a well-appointed interior that includes several of Skoda’s ‘Simply Clever’ features such as an umbrella in the driver’s door.

Entry-level versions of the Enyaq have a range of around 250 miles, while those specified with the larger 80kWh battery option can manage up-to 331 miles, depending on wheel size and specification. Those looking for something a bit sleeker can opt for the Skoda Enyaq Coupe iV – a swooping coupe-SUV version of the regular Enyaq.

Mercedes C-Class hybrid review

C 1
Carbuyer rating

4.3 out of 5

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Although the comparison has become somewhat of a cliche, the latest Mercedes C-Class has truly positioned itself as a budget alternative to the larger S-Class. Just like its limousine sibling, the C-Class has an elegant exterior design and an equally opulent interior. This is dominated by a huge 11.9-inch central touchscreen which utilises the brand’s slick MBUX operating system. It is available with augmented-reality navigation that superimposes directions on to the road using the car’s camera systems.

The real reason for company car drivers to consider the C-Class, however, is its superb PHEV model. Dubbed the C 300e, this offers a near-unbeatable 60-mile electric range, which should be enough to cover most commutes. If you’re looking to travel farther, the 1.5-litre petrol engine can work in tandem with the hybrid system to return up-to a frugal 404mpg.

BMW 330e hybrid saloon review

BMW 330e
Carbuyer rating

4.3 out of 5

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The latest BMW 3 Series has again proven an easy choice for company-car drivers, following on from the previous generation model as it does with a very well equipped and beautifully built interior, good handling and strong engines. You'll not be disappointed on a twisty road; the car's rear-wheel drive (or optional four-wheel-drive xDrive) setup is responsive and well balanced, and even the less powerful models are fun to drive.

With an electrically assisted engine, the 330e plug-in hybrid is the model to pick. It can cover up to 37 miles on electric power, and is a potential money-saver due to a low BiK rate as a result of 39g/km of CO2.

Renault Captur SUV review

Best Small Family Car: Renault Captur
Carbuyer rating

4.3 out of 5

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The Renault Captur is heavily based on the Renault Clio supermini, and is one of the best small SUVs you can buy. It has a smart, well-built interior that is centred upon a portrait-style touchscreen, similar to that seen on much more expensive Teslas. A sliding rear bench also allows for extra flexibility, enabling owners to prioritise boot or passenger space.

Sitting at the top of the Captur range is the E-Tech plug-in hybrid model; while this is relatively expensive to buy outright, its low running costs will appeal to company car drivers. The E-Tech can manage around 30 miles of electric range on a single charge and can return fuel economy figures of up to 188mpg, provided you keep the battery topped up.

Want to find out whether hybrid, plug-in hybrid or electric power is better suited to you? Click here to read our Hybrid vs plug-in hybrid vs electric cars guide.

Top 10 best company cars 2022

  1. Hyundai Ioniq 5
  2. Volkswagen ID.3
  3. Porsche Taycan
  4. Jaguar I-Pace
  5. Tesla Model 3
  6. Mercedes A 250 e
  7. Skoda Enyaq iV
  8. Mercedes C-Class hybrid
  9. BMW 330e
  10. Renault Captur

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