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The 13 best cars for £200 per month - your best PCP and PCH choices in this competitive price sector

  • Deals on everything from SUVs to hatchbacks
  • Great value personal leasing finance options
  • Manageable deposits and monthly payments

Written by Ryan Gilmore Updated: 28 October 2024

You’re not the only person looking at cars in the best cars for £200 per month range – this article is among the most popular in our suite of new car deal pages. Despite rising prices and increasing interest rates, there are still lots of great cars available for around £200 per month.

That’s good news because £200 is roughly 10% of the average salary in the UK, and that’s what many finance experts consider a sensible amount to spend on a car. The other good news is that there are some really great cars available for around £200 (and up to £250 for those who can stretch a little) and we’ve found the ones we think represent the best value at this price point.

This list highlights both personal contract hire (PCH) – or lease – deals and a couple of our favourite personal contract purchase (PCP) deals. As this is a very competitive price point with lots of special offers available, we’ll be continuously updating this page with the latest offers.

Best new cars for lease for £200 a month 2024

Better value than a Golf, and bigger too

If the Volkswagen Golf remains the go-to family car, the Skoda Octavia is the thinking person’s alternative. It takes a lot of the quality and technology of the latest Golf, infuses it with a bigger boot and takes away some of the price too, a fantastic deal. The only casualty is badge prestige, but let’s not pretend Skoda is anywhere near the butt of bad car jokes any more.

For your money, you can pick between a hatchback or stretch to an estate and rule the roost in one of the best load luggers one sale. Both petrol and diesel options are bulletproof and can be found for less than £200 per month. We do however, miss the plug-in hybrid version of the previous generation.

Read our full Skoda Octavia review

Pros

  • Roomy for both passengers and luggage
  • Excellent fuel consumption 
  • Solid image and reputation

Cons

  • Lacks a plug-in hybrid variant
  • Some interior plastics feel cheap

A premium feel on a budget

More refined than ever, the latest MINI Cooper is a plush and charming car. Its revised styling and new interior make it feel premium beyond its price tag. Although it may have lost its manual gearbox option, the car still feels a joy to drive, as any good MINI should.

The MINI's rear space is limited, and the boot is sub-par, so it won’t work for everyone. However, it counters that with charm and quality by the bucketful. For £200 per month, nothing else feels as special to drive. You can even have it as an EV, but you’ll need to throw in at least an extra £30 a month to get one.  

To find out more, read our full MINI Cooper review

Pros

  • High-quality interior
  • A lot of fun to drive
  • Stylish to look at, cheap to lease

Cons

  • Boot space is limited
  • Cramped rear seats

The quiet hero of the family SUV world

Renault is in a golden age of design at the moment. The current Captur is a smart-looking family SUV that's one of the finest in its class. The interior quality punches well above its weight, and it’s decently spacious, too. It even drives and handles fairly nicely.

For a car that counts best-sellers like the Ford Puma and Nissan Juke among its rivals, it offers a lot of quality for your money, even if it never graces the top 10 best-sellers chart. If you have your heart set on a small SUV, and you can’t quite stretch to the Puma, a Captur should top your shopping list.

Read our full Renault Captur review

Pros

  • Spacious, quality interior
  • Easy-to-use tech
  • Great value for money

Cons

  • Hybrid model isn't particularly refined
  • Limited powertrain choices

The sensible way to go electric

One of the most affordable ways to go electric without compromise is the Volkswagen ID.3. It’s been refreshed with new styling, and an updated infotainment system for an altogether more compelling package. It finally features all the hallmarks you’d expect from the German brand.

Jazzy styling subtly flexes its eco credentials, while the interior has been toned down and packed with better-feeling plastics. You’ll more than likely be getting the smaller battery for less than £200 a month, but with a range of 270 miles, it’ll serve as a family car with no issue. Partner all of this with some excellent leasing offers, and it's just the ticket to going electric.

Read our full Volkswagen ID.3 review

Pros

  • Good real-world range
  • Airy and spacious cabin
  • Impressive performance

Cons

  • Fiddly touch controls
  • Cupra Born is better to drive

Yes, a family-sized hatchback can be truly comfortable

If you’re after comfort and striking looks, the C4 is well worth considering. There are plenty of family hatchbacks to choose from, so you have to admire Citroen for trying something different by creating this interesting hatchback/SUV crossover that genuinely stands out from the crowd.

The state of the art is probably the Skoda Octavia or SEAT Leon but neither of those will turn heads and the C4 will. It's a striking-looking car that combines SUV attitude with a convenience of a more traditional five-door package. It's really comfortable and feels good to drive, as well. Add in decent equipment levels and it's a thoroughly tempting package.

Read our full Citroen C4 review

Pros

  • Excellent long-distance cruiser
  • Eager and efficient engines
  • Spacious, minimalist interior

Cons

  • It's not sporty
  • Steering lacks feel

Competent SUV that's great for families

Vauxhalls might not be as cheap as they were in the pile 'em high repmobile era, but they're still great value if you're prepared to shop around. The sharp-looking Grandland is a great example of offering just what families need for just the right amount of money.

Being based on the Peugeot 3008, it’s fine to drive, has an acceptable interior and reasonable space, and the alternatives are pretty much all more expensive on monthly finance. Add to that a large boot and roomy interior, and the Grandland is definitely worth a closer look.

Read our full Vauxhall Grandland review

Pros

  • Good build quality
  • Punchy petrol engines
  • Roomy interior

Cons

  • Lack of badge kudos
  • Not a sporty drive

Stylish estate with cast-iron warranty support

As a relatively cheap and stylish load-lugger, the Kia Proceed Shooting Brake makes a great deal of sense. It’s huge inside, very practical and excels at carrying both people and their luggage, while also moonlighting as a van when needed.

It’s not the most exciting choice to look at or drive, so there are more appealing options including the SEAT Leon and Skoda Octavia estates. However, if you’re after a reliable long-term ownership proposition, it makes a great deal of sense, and neither of those rivals come close in dealer support or reliability.

Read our full Kia Proeed Shooting Brake review

Pros

  • Well-equipped
  • Seven-year warranty
  • Enormous boot

Cons

  • Not exciting to drive
  • Limited engine range

A wide range of options for this family hatchback

Living in the shadow of the Volkswagen Golf and Ford Focus, the Astra has diligently built a reputation for itself as a solid choice for family duties, even if it lacks the badge prestige or driving dynamics as its key rivals.

What the Astra does have in its corner however is value, especially when it comes to leasing. You’ll have the pick of the range for under £200 per month, including hybrids, fully electric examples, and even a sports-adjacent GS model for less than £200. Quality is better than you’d expect for the money and it’s even pleasant to drive too.   

Read our full Vauxhall Astra review

Pros

  • Frugal petrol engine
  • Impressive interior quality
  • Surprisingly fun to drive

Cons

  • PHEV doesn't handle as well as petrol version
  • Rear leg and headroom are tight

Excellent value, tough and long lasting family SUV

It might be about to be replaced, but if you're after a modern and spacious compact SUV, the Dacia Duster should be near the top of your list. Quite frankly, it makes every other car here look expensive, whether you’re looking at the outright purchase price or monthly payments.

You don’t have to sacrifice much for the price, either. The Duster may not get the very latest driver assistance tech, but most models have everything you need like air-conditioning, remote locking and an infotainment touchscreen with Apple CarPlay and Android Auto.

Read our full Dacia Duster review

Pros

  • Amazingly good value
  • Available with 4WD
  • Practical interior

Cons

  • More road noise than rivals
  • It's about to be replaced

Efficient supermini with impressive reliability

The Mazda 2 is available as a petrol powered sumpermini, or self-charging hybrid. It's this latter model that appeals most to us for it's exceptional efficeny. The hybrid battery is sufficient to cover a large portion of urban journeys, it can even stay in EV mode up to motorway speeds. The electric motor can assist the engine when needed, providing usefully nippy acceleration. It’s a doddle to drive, too.

It's a Toyota Yaris in all but badge and leasing one will purely come down to which is cheapest at the time. The interior isn’t up to the same mark but it’s user-friendly, built solidly and comes with plenty of tech. Back seat and boot space aren’t especially generous, but when you're getting 65mpg, do you care?

Read our full Mazda 2 Hybrid review

Pros

  • Hugely economical
  • Loads of driver assistance tech
  • Feels well built

Cons

  • Dated interior
  • Small boot

The best PCP deals for £200 a month

The Renault Clio is back on top of the supermini class, and now more desirable than ever. Now sporting a hybrid system, the Clio E-Tech is more frugal to run, even if the system is a little course. What really stands in the Renault's favour is the value for money it offers, and the high build quality.

The interior is a real high-point. It's plush and comfortable and sports a user-friendly and slick infotainment system. You'll comfortably be able to either lease or fiance one for less than £200 a month. It won't be some boggo version either, I found the range-topping Esprit Alpine for £179 a month PCP.

Amazing value for money, if you don't mind the range

Brimming with style and premium touches, the MX-30 makes for a unique EV. The sole electric Mazda on sale, it's a nice car to drive, and the interior is a lovely place to be, making use of interesting and top-quality materials like cork.

What does let the MX-30 down is its rubbish range and cramped rear seats, which even generous rear-hinged back doors can't make accessible. However, a huge £6,750 deposit contribution does make it one of the most affordable EVs to finance.

Read our full Mazda MX-30 Hybrid review

Pros

  • Outstanding interior quality
  • Exceptional deposit contributions
  • Enjoyable driving experience

Cons

  • Poor EV range
  • Rear seats are cramped

Fun to drive, cheap to finance

Recently updated, the Suzuki Swift is a pleasingly old-school take on a supermini. With a frugal three-cylinder engine and mild-hybrid partnered with a manual gearbox, it's an analogue choice to drive. It's also really nice, with sharp handling and a deft balance.

A bargain-basement interior does remind you of its low price tag, and the boot is smaller than rivals like the Toyota Yaris and Renault Clio. Its safety ratings isn't among the best in its class either.

Read our full Suzuki Swift Hybrid review

Pros

  • Fun to drive
  • Slick manual gearbox
  • Very affordable

Cons

  • Basic interior
  • Small boot for it's class

* These deals are indicative examples of some packages available as of 8 October 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.


Update log

October 8 2024: Updated with a new selection of leasing deals. Replaced entries for the Nissan Qashqai, Volkswagen Golf, Audi A1, Cupra Leon and Toyota Yaris with the MINI Cooper, Renault Captur, Volkswagen ID.3, Vauxhall Astra, and Mazda 2 Hybrid. Added the PCP section and populated it with deals.


Ryan Gilmore is the Car Buying Editor of Parkers. Having previously worked as Deputy Commercial Content Editor for Parkers, he’s a savvy shopper dedicated to helping you when car shopping. In his spare time, he enjoys going to the gym and walking.