The 10 cheapest new cars you can buy - reviewed and rated

Version 1.0 1 [4 seats] | List price £13,705 | Target Price £13,387

The cheapest new car you can buy in the UK is the Kia Picanto, and it's a fine car for the money. 

It's good to drive, with tidy handling and a comfortable driving position, while the interior is smart to look at. As you might expect, the equipment list is fairly sparse (the entry-level trim doesn't even come with air conditioning). You do, however, get automatic lights, remote central locking and electric front windows as standard.

Despite being quite underpowered, the entry-level 66bhp 1.0-litre engine is compelling thanks to its economical nature. But if your budget can stretch to it, we'd recommend going for the turbocharged 99bhp unit; it's noticeably quicker and much more flexible at low revs.

Read our in-depth Kia Picanto review

Version 1.0 TCe Bi-Fuel Essential | List price £13,795 | Target Price £13,569

The position of Britain's cheapest new car is constantly changing, and the Dacia Sandero is a car that's often found in the top spot. However, in this instance, the Kia Picanto has just topped it.

But what's the Sandero like? Well, it's actually a better car than the Picanto. It's more practical and more comfortable, while the entry-level trim is better equipped; Essential trim comes with cruise control, front electric windows and air conditioning.

This Bi-Fuel version can run also on cheaper liquefied petroleum gas (LPG) as well as regular unleaded, which means it should also be very cheap to run if you live near a petrol station that stocks it. It's worth noting that Euro NCAP gave the Sandero just two stars for safety.

Read our in-depth Dacia Sandero review

Version 1.2 PureTech You | List price £14,150 | Target Price £14,150

Citroën recently added the entry-level You trim to the C3 range, and for the money, you get a stylish car inside and out.

However, because it's a stripped out version of the regular C3, the You version comes with very little equipment as standard. The only 'luxuries' you get are cruise control, manual air-conditioning and heated side mirrors. The Dacia Sandero is far better value.

In other areas, the C3 is poor to drive, the entry-level engine is underpowered, and it's not very practical. You also have to pay extra for some important safety kit, including automatic emergency braking (AEB).

Read our in-depth Citroën C3 review

Version 1.5 VTi-Tech Excite | List price £13,820 | Target Price £13,326

The MG3 is very keenly priced – so much so that it's the cheapest car on this list with our Target Price discount factored in. Despite that, it's very well equipped for the money; Excite trim includes an 8.0in touchscreen, Apple CarPlay and rear parking sensors as standard.

Mind you, the MG3 is heavily compromised in many other areas. For instance, the ride is bumpy and uncomfortable, while this entry-level engine is wheezy and not very economical. It also has a poor safety rating, having scored just three stars all the way back in 2014 when Euro NCAP safety tests where less stringent than today. It's worth noting that it's soon to be replaced by an all-new MG3 Hybrid.

Read our in-depth MG3 review

Version 1.0 Mild Hybrid Panda [Touchscreen] | List price £14,775 | Target Price £14,123

The Panda has charming looks and a low price, but it's very disappointing to drive. The mild hybrid engine is slow and unrefined, plus the bouncy and fidgety suspension means it's quite wearing to drive on longer journeys.

Despite it's boxy shape, it's also not very practical. Okay, there's a good amount of head room for front and rear passengers, but leg room and boot space is pretty poor. The Hyundai i10 is more practical.

The worst thing about the Panda, though, is its abysmal safety rating; it was given zero stars out of five by Euro NCAP in 2018. So, overall we'd recommend you stay well clear of it.

Read our in-depth Fiat Panda review

Version 1.0 TCe Essential | List price £15,295 | Target Price £15,007

The Sandero Stepway is essentially a Dacia Sandero but with some extra ruggedness, including a more heavily sculpted bonnet, roof rails, chunky plastic wheel arch extensions and an increased ride height.

Like the Sandero, it's a brilliant small car with a spacious interior for its size, a big boot and a comfortable ride. It also comes with a similar line-up or engines and trim levels. The version quoted here features an 89bhp 1.0-litre petrol engine, which offers acceptable performance for the class with a decent amount of low-end punch.

Essential trim offers the same amount of kit as the regular Sandero, which means you get cruise control, front electric windows and air conditioning as standard.

Read our in-depth Dacia Sandero Stepway review

Version 1.0 Advance | List price £15,530 | Target Price £14,767

The Hyundai i10 is one of the best small cars you can buy on a budget. No matter which version you go for, you get a relatively spacious and smart-looking interior and a comfortable ride.

It's also very practical for its size, with a good amount of leg room for rear passengers. The boot is a good size, too, although the Kia Picanto's is ever so slightly bigger. 

The entry-level 1.0-litre three-cylinder petrol engine is strong enough in town and is efficient. Advance trim comes with automatic lights, air conditioning, electric door-mirror adjustment and a leather-wrapped steering wheel and gearlever as standard.

Read our in-depth Hyundai i10 review

Version 1.0 VVT-i Pure | List price £16,140 | Target Price £15,003

From the pictures, it can be easy to mistake the Toyota Aygo X for a small SUV. However, in reality it's actually a small car in terms of its size.

Having been launched in 2022, the Aygo X is one of the newest small cars. As such, it comes with loads of safety kit as standard, including automatic emergency braking (AEB), lane-keep assist and six airbags. The entry-level Pure trim is also well equipped, and comes with automatic headlights, air conditioning and 7.0in touchscreen infotainment.

On the whole, the Aygo X is good to drive, with a tight turning circle and tidy handling. However, the 71bhp 1.0-litre engine is slow and unrefined. 

Read our in-depth Toyota Aygo X review

Version 1.0 Mild Hybrid 500 | List price £16,800 | Target Price £15,932

The petrol-powered Fiat 500 has been around for some time now, and it continues to be a stylish and economical small car.

However, it is starting to feel its age. On faster roads, for instance, the 500 feels very much out of its depth with its roly-poly handling and an unsettled ride. The 1.0-litre mild hybrid engine also needs working hard to keep up with faster traffic.

In town, it's a different story. The 500 is very easy to drive, with the light steering and small dimensions making it nice and easy to manoeuvre. No matter the environment, though, the 500 is uncomfortable (thanks to its awkward driving position) and not very practical.

Read our in-depth Fiat 500 Hybrid review

Version 1.2 Dualjet 12V Hybrid SZ-T | List price £17,949 | Target Price £17,518

If you're looking for a cheap small SUV, then the Suzuki Ignis is a great option. It's pretty tiny, but that doesn't mean it's cramped inside or poorly built. Indeed, the Ignis is surprisingly spacious for its size, plus it feels solidly built – even if the interior materials are hard and scratchy.

The version quoted here is the entry-level car, which means it has an 82bhp 1.2-litre petrol engine. Despite its modest power, it doesn't feel as slow as you might think thanks to the mild hybrid system, which uses a small electric motor to help boost the engine at low revs.

SZ-T is our recommended trim, which includes a 7.0in touchscreen infotainment system, 16in alloy wheels, sliding rear seats and air-con. It's not that well equipped, but it does make the most of the Ignis's keen pricing.

Read our in-depth Suzuki Ignis review

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