Best new cars for under £250 per month

After an affordable new car? You'll be well catered for with our list of 10 great cars for less than £250 per month

Murray Scullion
Oct 29, 2019

In the market for a brand new car with a budget of £250 per month? We've got you covered with our list of some of the best cars you could get with some great value PCP finance deals. 

Cars with strong residual values are looking better value by the day. Premium models that cost more, but lose less, are more attainable than ever because the money you spend on a PCP (Personal Contract Purchase) is essentially just paying the depreciation.

Premium manufacturers BMW and Audi both feature on this list, and both had models in the best-selling cars of 2018. But mainstream makers like Ford and Renault also offer great value at this range, while cheaper manufacturers like Skoda will afford you the luxury of space.

All of the cars listed here are based on PCP deals, but many manufacturers also offer brand new cars with hire purchase deals, which can lower your monthly payments even more.

 

Read on to see what we think are the best new cars for under £250 per month on the market.

Best new cars for under £250 per month

1. Ford Focus

Our pick Ford Focus Zetec 1.0-litre EcoBoost 100PS
List price £19,650
Annual mileage limit 9,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£246.4736£3,0000%£7,777£19,650

 

Despite the ever increasing presence of crossovers and SUVs, the Ford Focus was still the sixth best-selling car in March 2019.

There are good reasons for this. It’s more fun to drive than it needs be, yet it rides comfortably and classily too. The interior is much improved compared with older versions of the Focus as well, so it's no longer such a button-strewn mess.

In all, you have nine trim levels to choose from but, for this price-range, it’s best to go with the second-cheapest Zetec spec. It’s not like you’re slumming it though, as Android Auto and Apple CarPlay capabilities are included, plus it gets Ford’s Quickclear heated windscreen.

Some enticing 0% APR deals just sweeten the deal, especially as the Focus is still relatively new, only going on sale in 2018.

Ford Focus buyers' guide

2. Volkswagen Golf

Our pick Volkswagen Golf Match 1.0 TSI
List price £21,950
Annual mileage limit 10,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£235.6548£3,0003.6%£7,619.40£23,704.95

 

Sensible sells. And by gum is the VW Golf sensible! It brings a new definition to getting the basics right. It’s comfortable, well made, safe, cheap to run, and has higher than average residual values.

Because it holds its price so well (Golfs tend to only lose around 25-35% of their value after three years) finance deals tend to be good value - this price range will get you a Match edition with the economical 1.0-litre petrol engine.

Match is the latest trim level to be added to the range, and Volkswagen reckons it saves customers around £300 when comparing like for like because of the added gadgetry it includes. It takes the equipment from the discontinued SE and SE Nav trim levels (including an eight-inch touchscreen display) and adds new 16-inch alloy wheels, front fog lamps, and rear privacy glass.

Volkswagen Golf buyers' guide

3. Audi A1

Our pick Audi A1 30 TFSI Sport 
List price £20,585
Annual mileage limit 10,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£22947£2,295.215.9%£9,381.25£23,149.46

 

New for last year, the Audi A1 does a convincing job of being an upmarket supermini. It follows the same recipe as the previous model - posh badges on the outside, and a well made and sumptuous interior inside.

For this money you’re looking at the 30 TFSI engine (a 1.0-litre petrol with 116hp). This is quick enough for most people’s needs - even for those who regularly travel on motorways.

Sport specification is second from bottom on the trim hierarchy, but it does come with Audi’s functional yet flash Virtual Cockpit. This is a digital instrument cluster behind the steering wheel that changes its function and appearance as required.

Audi A1 buyers' guide

4. BMW 1 Series

Our pick BMW 118i M Sport Shadow Edition 5 Door
List price £28,340
Annual mileage limit 10,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£24948£4,6294.9%£10,098.23£31,150.90

 

The BMW 1 Series may be the size of a supermini, but it’s more like a junior executive car. Inside, the quality shines and the dashboard, instruments, and technology are befitting of what BMW drivers have come to expect.

It also drives like a BMW should - even the entry level 118i has a reasonable turn of pace, delivering a 0-62mph time of 8.5 seconds.

This particular model is available with a PCP finance deal, however, BMW offers a very similar deal on PCH. This essentially means that you are leasing the car, and hand the car back at the end of the agreement, usually without the option of buying it. With a PCP deal, you have the option to buy the car.

BMW 1 Series buyers' guide

5. Hyundai Ioniq

Our pick Hyundai Ioniq Hybrid SE
List price £21,790
Annual mileage limit 10,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£248.2931£55005.9%£10,282.31£23,731.01

 

Hybrid cars are becoming more prevalent on the streets of Britain. Demand for electric and hybrid vehicles soared by 26 per cent in January 2019 in comparison with January 2018 and it's continued to grow thoughout 2019. People are getting used to the idea of using electricity to swan through cities in silence, all while having a petrol engine for getting up to speed on longer journeys.

The Hyundai Ioniq is one of the best hybrids around and you can expect to see north of 80mpg if you regularly drive short journeys in town. Its ride is compliant and smooth, even on poor quality roads, and the automatic gearbox is slick and quiet too, unlike the type used in the Ioniq’s main rival - the Toyota Prius.

SE spec is the entry level, but you’re still getting a lot for your money, including rear parking sensors, a touchscreen media display, and phone connectivity.

Hyundai Ioniq buyers' guide

6. Mazda 6

Our pick Mazda 6 SE-L NAV +
List price £23,595
Annual mileage limit 9,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£22542£3,886.754.1%£8,323.63£26,160.38

 

If you’re not a fan of garish SUVs, then a simple, elegant, and understated saloon might just tickle your fancy. The Mazda 6 is all of the above, and then some. Sharp and narrow lights keep things looking modern, while inside, it’s tasteful and simple. Admittedly, the eight-inch media display may be too subtle for some.

The smooth ride, keen engines, and sharp steering make it a class act throughout. Mazda’s 4.1% APR over 42 months is pretty good value, and the company also offers a 0% APR deal spread over 24 months.

SE-L NAV + models are well-equipped, sporting daytime running lights, traffic sign recognition software, a head up display, sat-nav, reversing camera and a heated steering wheel.

Mazda 6 buyers' guide

7. Skoda Karoq

Our pick Skoda Karoq SE 1.0TSI
List price £21,940
Annual mileage limit 15,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£236.4535£5,0006.9%£9,46.10£24,481.85

 

There are many medium-sized crossovers at this price, but we like the cut of the Karoq’s jib the most.

It’s a lot more mature looking than most, and in the right colour and wheels combination (Emerald Green and 18-inch ‘Braga’ wheels, please) it becomes an elegant way of ferrying around the kids.

Inside is where it really shines though. There’s room for four large adults, and it’s full of nice little touches like a 12v plug in the rear, as well as hooks in the boot for the shopping.

It’s still relatively new, so don’t expect any huge deals knocking around. SE spec is affordable, and comes with cruise control, Apple CarPlay, Android Auto, and rear parking sensors.

Skoda Karoq buyers' guide

8. Kia Ceed Sportswagon

Our pick Kia Ceed Sportswagon ‘2’ 1.6CRDi
List price £20,545
Annual mileage limit 10,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£225.0937£4,0002.9%£7,960.50£21,563.74

 

Kia’s success in the UK has been for a number of reasons, chief of which is designing and making cars in Europe. The Ceed is one of these cars. It’s still not quite as good as a VW Golf, but with financial incentives, it does make a compelling opponent.

The boot on this estate is massive - with a loading capacity of 600-litres with the seats up. It beats the regular Ceed hatch by a full 205-litres.

The diesel engine chosen here returns up to 58.9mpg and is also rated to tow a 1,200kg braked trailer.

Kia Ceed buyers' guide

9. Renault Captur

Our pick Renault Captur Iconic TCE90
List price £19,925
Mileage limit 6,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£23949£2394.9%£6,522£19,134

 

The Renault Captur is a small crossover, which means it has a highish driving position, making it easy to get in and out of, but it’s also compact and easy to thread through traffic.

Boot space is 455-litres, a full 155-litres larger than the similarly sized Renault Clio. The zippy 0.9-litre petrol engine is great for around town, but can feel a bit slow for the motorway. Iconic trim gets you parking sensors, 17-inch alloy wheels, and tinted windows.

A tiny deposit of £239 makes this the most affordable car on the list, and a great option for those that need a car now, but don’t have a huge chunk of cash.

Renault Captur buyers' guide

10. Citroen Berlingo

Our pick Citroen Berlingo Feel 1.5BlueHDi
List price £20,180
Annual mileage limit 6,000 per annum

Monthly paymentsNumber of instalmentsDepositRepresentative APROptional final paymentTotal cost of finance
£237.6437£4,782.454.9%£7,897£21,984.49

 

It might not be the best-looking car around, but there’s very little else that affords you the luxury of space like a Citroen Berlingo.

It's based on the Citroen van with the same name, so rear space is epic. Boot space measures in at 775 litres - a full 400 litres larger than the best-selling family car in the UK, the Ford Focus. It also packs a phenomenal 186-litres of interior storage, which is made up of numerous cubby holes and stash boxes that litter the cabin.

Although the driving experience isn't exactly exciting, it is comfortable and quiet, with ultra-light steering and an impressively short turning circle. The 1.5-litre BlueHDI diesel engine is best if you regularly travel fully laden.

Citroen Berlingo buyers' guide         

 

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