A monthly payment of £400 gets you an awful lot of car. Indeed, that amount will get you a new car deal on just about any type of car you could want, whether you’re looking for a family-friendly SUV, a posh saloon, or a sporty little number. You’ll find all of those, and more, on this list of the best cars for £400 per month.
We’re looking at both leasing and personal contract purchase (PCP) deals. To secure a PCP deal, you pay a deposit then a series of monthly payments. When those payments end, you can make the optional final payment to take full ownership of the car, or give it back.
Leasing – technically called personal contract hire, or PCH – is effectively a long-term rental. You make an initial payment followed by monthly payments. At the end, you just hand the car back.
If your budget doesn’t quite stretch to £400 a month, check out our pick of the best cars available for £300 a month.
Best new cars for £400 a month 2024
Desirable, well-built electric SUV
Our budget stretches to the Enyaq 85 Edition model which has 348 miles of range, triple-zone climate, adaptive cruise control, clever variable LED lights, front and rear parking sensors, and a rear-view camera.*
Read our full Skoda Enyaq review
Pros
- Comfortable and roomy interior
- Good electric range
- All-wheel-drive available
Cons
- Options jack up the price
- Looks a bit plain
Baby hot hatch is feisty and fun
The Hyundai is the best of the bunch, combining very quick acceleration with pin-point handling. It’s not quite as joyous as the Fiesta, but it’s more practical and better equipped.
Read our full Hyundai i20 N review
Pros
- Serious speed, fabulous handling
- Very well-equipped
- Surprisingly practical
Cons
- Stiff ride
- Iffy interior materials
Smart premium hatchback is a great all-rounder
All in all, it’s one of the very best hatchbacks on the market. The 118i M Sport highlighted here comes with satnav, Apple CarPlay, cruise control and heated seats. Its 1.5-litre engine provides swift performance and over 40mpg.
Read our full BMW 1 Series review
Pros
- Loads of standard features
- Great to drive
- Smooth, quiet ride
Cons
- A bit cramped in the back
- Fiddly infotainment
Stylish and engaging family-size SUV
Centre-Line may be the entry-point trim level but it comes with Apple CarPlay/Android Auto, satnav, dual-zone climate control and adaptive cruise control. The 165hp petrol engine feels a bit breathless but is surprisingly efficient.*
Read our full Mazda CX-5 review
Pros
- Premium interior quality
- Lovely to drive
- Generous standard features
Cons
- Engine a bit gutless
- Not the quietest ride
Deeply handsome saloon that’s great to drive
It’s also practical enough for family life and the latest version has brilliantly user-friendly infotainment system. The mid-range Veloce model has Apple CarPlay/Android Auto, satnav, adaptive cruise control, electric leather seats and a heated steering wheel. With a 280hp petrol engine, it’s rapid and does 30mpg-ish.*
Read our full Alfa Romeo Giulia review
Pros
- Best-looking mid-size saloon
- Usefully spacious
- Just delightful to drive
Cons
- Interior quality lags behind rivals
- Efficiency isn’t great
Sets the standard family SUVs must live up to
In Life guise, the Tiguan has satnav, Apple CarPlay/Android Auto, three-zone climate control and adaptive cruise control. The 130hp petrol engine twins adequate performance with decent efficiency.*
Read our full Volkswagen Tiguan review
Pros
- Hugely spacious and practical
- Deeply comfortable
- Efficient engines
Cons
- A few irksome controls
- Rather dull to drive
Pragmatic family car choice
The boot is one of the largest for its class and the rear seats can be fully removed. It’s not a short process, but it does essentially turn the Karoq into a small van.**
Read our full Skoda Karoq review
Pros
- Comfortable
- Spacious interior
- Easy to drive
Cons
- No hybrid
- Not that sharp to drive
The best sports car for the money
If you search around, both the 1.5-litre and 2.0-litre engines are available in budget. Despite being cheaper, we can't recommend the 1.5-litre. It's noticeably slower and not all that much less expensive per month compared with the larger unit.**
Read our full Mazda MX-5 review
Pros
- Enormously good to drive
- Well-executed yet inexpensive
- Remarkably cheap to run
Cons
- Very compact interior
- Tiny boot
Easy-to-use and surprisingly posh family SUV
Around £400 per month will unlock a great number of these variations. We recommend going for the hybrid in five-seat configuration.**
Read our full Nissan X-Trail review
Pros
- Hybrid is refined
- Spacious as a five-seater
- Posh interior
Cons
- Rivals are sharper to drive
- Cramped third row of seats
**These deals are indicative examples of some packages available as of 5 January 2024 but are subject to change without prior notice. Everyone’s financial circumstances are different, and the availability of credit is subject to status. Terms, conditions and exclusions apply. Parkers cannot recommend a deal for you specifically.
