Best cars for less than £200 per month

Fancy a new small car, family hatchback or even an SUV? All can be yours for £200 per month or less if you buy on a PCP finance deal – here are our top 10 picks.....

These days, the vast majority of new cars are bought through PCP finance deals, and it's easy to see why.

PCP car compilation image

For less than £200 a month, you can have some of the best cars on sale today, whether you're looking for a small hatchback, a family car or even an SUV.

Here, we count down the top 10 deals from our Target Price research, which reveals the most you should pay for a new car. Each deal is based on 15% of the value of the car, combined with the manufacturer's finance discount allowance. And all are for three years, with a 30,000-mileage limit.

Editor's note: Images are purely illustrative and do not necessarily reflect mentioned specifications

10: Suzuki Ignis 1.2 Dualjet SHVS SZ5

Suzuki Ignis 1.2 Dualjet SHVS SZ5

Target Price cost per month: £200

Target Price: £13,651

The deal: Three years' PCP finance at 6.9% APR

Don't be fooled by its small size, because the Ignis is one deceptively spacious SUV.

10: Suzuki Ignis 1.2 Dualjet SHVS SZ5 - interior

Suzuki Ignis 1.2 Dualjet SHVS SZ5 - interior

It's also fun to drive and ruthlessly efficient; in fact, this mild-hybrid version is the most fuel-efficient car to ever go through our True MPG tests.

SZ5 models come with climate and cruise controls, LED headlights and automatic emergency braking.

9: Skoda Fabia 1.0 TSI 95 SE

Skoda Fabia 1.0 TSI 95 SE

Target Price cost per month: £193

Target Price: £13,185

The deal: Three years' PCP finance with 4.9% APR and £1750 finance deposit allowance

The Skoda Fabia is a former What Car? Car of the Year and still one of the best small cars you can buy.

9: Skoda Fabia 1.0 TSI 95 SE - interior

Skoda Fabia 1.0 TSI 95 SE - interior

It's a practical, quiet and composed choice, build quality is top notch and even in our favourite spec it's still relatively cheap.

8: Volkswagen Up 1.0 Move Up 5dr

Volkswagen Up 1.0 Move Up 5dr

Target Price cost per month: £155

Target Price: £11,081

The deal: Three years' PCP finance with 0% APR

8: Volkswagen Up 1.0 Move Up 5dr - interior

Volkswagen Up 1.0 Move Up 5dr - interior

The Up is Volkswagen's smallest and cheapest model, but it still has all the strengths of the brand's bigger models; it's a refined cruiser that strikes an excellent balance between comfort and driving fun, plus its interior is classy.

Move Up trim gets you air conditioning, electric front windows and split-folding rear seats.

7: Hyundai i10 1.2 Premium SE 5dr

Hyundai i10 1.2 Premium SE 5dr

Target Price cost per month: £181

Target Price: £12,372

The deal: Three years' PCP finance with 4.9% APR and £500 finance deposit allowance

Although its title as our City Car of the Year was taken by the Kia Picanto at our 2018 awards, the i10 remains one of the best cars of this type.

7: Hyundai i10 1.2 Premium SE 5dr - interior

Hyundai i10 1.2 Premium SE 5dr - interior

It's reasonably spacious, has a sophisticated touchscreen infotainment system and comes with a peppy 1.2-litre petrol engine. This version is in our recommended Premium SE specification, too.

6: Ford Fiesta 1.0 Ecoboost Zetec 5dr

Ford Fiesta 1.0 Ecoboost Zetec 5dr

Target Price cost per month: £186

Target Price: £15,566

The deal: Three years' PCP finance with 0% APR

The Fiesta is consistently the best-selling new car in the UK, and it's easy to see why.

6: Ford Fiesta 1.0 Ecoboost Zetec 5dr - interior

Ford Fiesta 1.0 Ecoboost Zetec 5dr - interior

The vast range ensures there's a version to suit everyone and, despite not being especially practical, its great driving style and generous safety kit ensure the Fiesta is one the best small cars around.

5: Suzuki Vitara 1.0 Boosterjet SZ4

Suzuki Vitara 1.0 Boosterjet SZ4

Target Price cost per month: £179

Target Price: £17,004

The deal: Three years' PCP finance with 0% APR

5: Suzuki Vitara 1.0 Boosterjet SZ4

Suzuki Vitara 1.0 Boosterjet SZ4

The Vitara can represent real value for money, thanks to its high levels of equipment and spacious interior. It's also reasonably spacious inside and has a range of capable engines, of which this peppy 1.0-litre petrol is our favourite.

4: Kia Picanto 1.25 3 5dr

Kia Picanto 1.25 3 5dr

Target Price cost per month: £161

Target Price: £11,503

The deal: Three years' PCP finance with 5.9% APR and £1000 finance deposit allowance

The previous Picanto was an also-ran in the city car class, but this latest model is a clear winner – in fact, it's been named our City Car of the Year for the past two years running.

4: Kia Picanto 1.25 3 5dr - interior

Kia Picanto 1.25 3 5dr - interior

It's spacious by class standards, offers tidy handling and is backed up by Kia's market-leading seven-year warranty.

This 3-spec model comes with lots of kit, too, including climate and cruise controls, a rear-view camera and a 7.0in infotainment touchscreen.

3: Skoda Octavia 1.0 TSI S

Skoda Octavia 1.0 TSI S

Target Price cost per month: £183

Target Price: £14,328

The deal: Three years' PCP finance with 5.9% APR and £2500 finance deposit allowance

The Octavia may look a little bland next to rival family hatchbacks, but it's a class leader in most other respects.

3: Skoda Octavia 1.0 TSI S - interior

Skoda Octavia 1.0 TSI S - interior

It's spacious, good to drive and comes with a generous array of standard equipment. It's so good, in fact, that we named it our Family Car of the Year at the 2019 What Car? Car of the Year Awards.

2: Seat Arona 1.0 TSI SE

Seat Arona 1.0 TSI SE

Target Price cost per month: £191

Target Price: £14,993

The deal: Three years' PCP finance with 6.9% APR and £1500 finance deposit allowance

The Arona is the smallest SUV Seat makes, but the good news is that it's every bit as good as its bigger brother, the Ateca.

2: Seat Arona 1.0 TSI SE - interior

Seat Arona 1.0 TSI SE - interior

It's great to drive, while also being roomy inside and affordable to own. This 1.0-litre petrol engine is our pick of the range, and even entry-level SE models come with cruise control, air conditioning and automatic headlights.

1: Volkswagen Polo 1.0 TSI 95 SE

Volkswagen Polo 1.0 TSI 95 SE

Target Price cost per month: £191

Target Price: £14,930

The deal: Three years' PCP finance with 6.9% APR and £1500 finance deposit allowance

1: Volkswagen Polo 1.0 TSI 95 SE - interior

Volkswagen Polo 1.0 TSI 95 SE - interior

The Polo is the best small car you can buy right now, offering a superb interior that's surprisingly spacious, a peppy range of engines and impressive refinement.

What Car? deal: Save £1292 on a 1.0 TSI 95 Beats – Target Price £16,213