Top 10 best cars for under £150 per month 2022
£150 a month is enough to get you a great set of wheels. We pick over the most attractive offers around right now.
It’s incredible to think you can buy a brand-new car, complete with a full warranty, the latest number plate and in the specification you want, for less than £150 a month. That’s a brand-new car for less than you might pay a month for a used one.
And that’s the beauty of a Personal Contract Purchase – or PCP – deal. Every manufacturer offers such a scheme, which are superb for allowing you to pay a larger or smaller deposit to increase or decrease the size of your monthly payments.
You can even tweak the length and the mileage limit to suit your needs – the longer the agreement and the lower your annual mileage limit, the less you’ll pay each month. What’s more, so keen are dealers and car manufacturers for you to sign up, many offer low-rate, or even 0% APR, deals, as well as deposit contributions often running to thousands of pounds and other incentives besides.
PCP deals require an initial deposit and those monthly payments – over two to four years. At the end of the deal, you have a number of options: pay the final ‘balloon’ payment to keep the car, use the equity you’ve built up (if applicable) towards the deposit on your next car, or hand the car back and walk away. This flexibility appeals to many, but it’s essential you understand the way the deal works and what you’ll be paying and when.
For this list, we’ve tried to include cars with reasonable up-front deposits. However, if you’re willing to put more than this amount down as a deposit to lower your monthly payments, you can drive away in some more expensive machinery, including an Audi A1, a Toyota Corolla and a Volkswagen Polo.
If you’d like to know more about PCP deals and other types of finance, head on over to our advice article, which features a handy jargon buster. Be sure to check out our weekly round-up of the best offers too, as being in the know can save serious money when buying a new car.
All offers and prices are correct at time of writing – here are the best new cars for £150 a month.
We’re pleased to see that our reigning Carbuyer Small SUV of the Year is currently available for £150 per month. You’ll need a deposit of roughly £4,500, and Renault is offering a deposit contribution or 0% APR.
The Renault Captur is based on the Renault Clio, which you can also get in budget, and is more practical than many of its main rivals. Its interior is fantastic, feeling upmarket and featuring all the latest equipment. Even the cheapest version gets keyless start, smartphone mirroring and LED headlights.
The Skoda Kamiq is a decent all-rounder. Its interior is airy and well-thought-out, and its 1.0-litre petrol engines are economical enough to make up for the lack of a diesel engine. The boot is bigger than you’ll find in a family hatchback such as a Volkswagen Golf and, despite being one of Skoda’s smaller models, still features a host of useful features, from an ice scraper in the fuel filler cap to an umbrella stashed in the door.
For this budget, you’re looking at the basic S trim. We’ve picked the Kamiq over the Skoda Fabia as it comes with a more powerful engine; the Fabia’s 64bhp engine can feel underpowered out of town. You’ll have to stump up a slightly higher deposit for the Kamiq, but it’s reasonably well equipped with alloy wheels, air-conditioning and DAB digital radio.
If you’re looking for a stylish, practical, efficient and well equipped city car, it’s not possible to do better than the Kia Picanto. It’s easy to drive around town, thanks to great visibility and compact dimensions.
Yet it doesn’t feel out of its depth on the motorway – even if you stick with the 1.0-litre petrol engine. You can get the Picanto in entry-level ‘1’ trim without a huge up-front deposit, but doubling your deposit gets you into the fancy GT-Line trim.
It may be 10 years since the up! first turned its wheels, but it’s still one of the best city cars you can buy. The boxy shape means it’s more practical inside than you might expect, with room for four people and a decent amount of luggage. Now better equipped as standard, the cheapest up! brings Bluetooth, air-con and split-folding rear seats. Do you really need much more in a city car?
Keeping up with traffic will take some effort, but the diminutive Volkswagen feels nippy around town and stable on the motorway. It’s quiet until you ask more from the happy-sounding 1.0-litre engine, and it’s fun to drive. The cheapest model is available with three or five doors, and we’d choose the latter if you’re going to be carrying passengers at all regularly; the five-door only requires an extra deposit of £100 or so over the three-door.
It’s no surprise to see the UK’s cheapest car on this list, but it might surprise you to see the deposit you need. Dacia’s current offer for the Sandero Essential specification is £151 per month, after a deposit of the same amount. That’s for the Bi-Fuel version, which replaces the spare wheel with an LPG tank and is a cheaper alternative to a hybrid; LPG costs much less than petrol.
Don’t confuse Essential for the now-departed Access trim; Essential features Bluetooth, digital radio and even cruise control. Even the high-spec Sandero Stepway Comfort, with its rugged looks and rearview camera, is yours for £150 per month after a deposit of less than £2,500. You get a generous 10,000-mile annual limit, too.
The Citroen C3 is a funky alternative to the Ford Fiesta that focuses on comfort over sportiness. But it’s also cheaper than the Fiesta; you can’t get a Fiesta for £150 per month any more. A C3 will require a deposit of around £3,500 to get it down to our budget at the time of writing, but you won’t need quite so much when Citroen offers lower APR rates.
Citroen has styled the C3 to look like a mini-SUV, with cues from the cool C4 Cactus present too. You can add a range of personalisation options, although these will push up the price. The 1.2-litre petrol engines are capable of 50mpg, which makes it hard to recommend the expensive diesel engine.
Despite its compact dimensions, the Hyundai i20 is practical and easy to live with. The five-door-only i20 has a reasonably boxy shape, which means it makes the most of its interior space, with a decent boot and more than enough space for four adults – five at a pinch.
All models are well equipped, but it’s the good-value SE Connect that falls within our budget. Equipment includes an eight-inch touchscreen with phone connectivity, sat nav and DAB radio. Of course, if you don’t need quite as much space, the cheaper Hyundai i10 is available for £150 per month with a smaller deposit.
The Kia Rio isn’t the most exciting car, but it should prove absolutely great to live with. Owners love Kia’s answer to the Vauxhall Corsa, and it finished second out of all the cars on sale in our 2021 Driver Power owner satisfaction survey. In fact, it got top-10 finishes for interior and comfort, practicality, ride, running costs, reliability and even exterior styling, and its infotainment system was rated the best of any car.
An entry-level Rio can cost far less than £150 per month, but we’d recommend the ‘2’ if you can stretch to it. Not only does it unlock a more powerful turbocharged engine, but it features an impressive array of equipment including a reversing camera and cruise control.
We bet you didn’t expect to see a family SUV on this list but the Dacia Duster is excellent value-for-money and makes other SUVs look rather expensive. You don’t get a desirable badge but you do get low monthly payments – no-frills and mid-range variants are available for around £150 after a deposit of less than £2,600.
Essential does what it says on the tin; there are few luxuries but you do get split-folding rear seats, Bluetooth, digital radio, air-con and a height-adjustable driver’s seat.
Like the Dacia Duster, the MG ZS is a crossover for the price of a well-equipped city car, although its 1.5-litre engine isn’t particularly economical so you won’t see savings at the pumps. Still, the interior is a pleasant place to be, the boot is big and the car comes with a surprisingly long equipment list; the mid-range Excite gets cruise control, Apple CarPlay, sat nav and alloy wheels.
It’s currently within budget for a deposit of £2,500 on a low-APR deal, which would also get you a top-spec MG 3 supermini.
Unsure as to whether PCP or HP finance is right for you? Check out our guide PCP vs HP to find out which finance is right for you.
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