Cheapest company cars 2022
Choose the right car and you could significantly reduce the amount you pay per month. These are the 10 cheapest company cars of all...
That's because electric cars cost next to nothing in tax, being rated at just 2% of your car's taxable value (the P11D price) for the coming tax year. Choose a petrol or diesel with emissions of 100g/km instead and you’ll be taxed on 25% of the P11D price. With that in mind, it's no wonder so many business drivers are switching to electric power.
And while an electric car won't suit everyone, the list of reasons to avoid them is becoming increasingly short, especially if you can charge it at home or work.
Rated by monthly tax bill, these are the very cheapest company cars in 2022. Our calculations are based on a 40% tax payer; if you're a 20% tax payer, just halve our figures.
10. MG 5
Cheapest model Excite | What Car? rating 3/5 | CO2 emissions 0g/km | P11D price £29,390 | Monthly BIK tax rate 2022/23 @40% From £19.58
The MG 5 rebuffs the idea that only expensive electric cars have a decent range. According to the official figures, it's capable of 250 miles between charges, so could give you days of driving before needing to recharge.
A 40% taxpayer can enjoy this roomy family estate car for less than £20 per month. It rides comfortably, plus it has plenty of standard kit and lively performance.
9. Mazda MX-30
Cheapest model SE-L Lux | What Car? rating 3/5 | CO2 emissions 0g/km | P11D price £29,095 | Monthly BIK tax rate 2022/23 @40% From £19.40
The MX-30 is a quirky choice, with its rear-hinged back doors, coupé-like styling and short, 124-mile range. What’s more, it’s not the most practical EV, with a small boot and tight rear seat space.
If you can live with these quirks and compromises, though, the MX-30's style, well-judged ride and handling and generous equipment might just win you over. A sub-£20 monthly tax bill is certainly very appealing.
8. Renault Zoe
Cheapest model R110 Iconic | What Car? rating 4/5 | CO2 emissions 0g/km | P11D price £29,040 | Monthly BIK tax rate 2022/23 @40% From £19.36
The Zoe has come in for some stick after a disastrous zero-star rating from Euro NCAP’s safety experts. And while there’s no hiding from the Zoe’s lack of an eCall safety system or a post-collision braking system to reduce the severity of secondary impacts, it fights back with a healthy range (reckon on 200 miles or so) and sensible pricing.
Combine that modest price with no exhaust emissions and the Renault earns a place in our round-up of the cheapest company cars. A smart interior and a respectable turn of speed add to the Zoe’s appeal, all for £19.36 per month for a 40% tax payer.
7. MG ZS EV
Cheapest model SE | What Car? rating 4/5 | CO2 emissions 0g/km | P11D price £28,940 | Monthly BIK tax rate 2022/23 @40% From £19.29
The MG ZS is the second electric model from MG to feature here, but it's arguably even more practical for your family than the MG 5 estate we saw earlier. Indeed, it's roomy and has a decent range – but a smoother ride and less road noise would make a good car even better.
As a family SUV with a lower P11D price than most electric small cars, the ZS EV is fine value for money. A 40% tax payer will find their pay packet less than £20 per month lighter if they run the entry-level model as a company car.
6. Mini Electric
Cheapest model Level 1 | What Car? rating 3/5 | CO2 emissions 0g/km | P11D price £28,445 | Monthly BIK tax rate 2022/23 @40% From £18.96
You normally associate Mini with a price premium over rivals with less appealing badges. However, the Mini Electric is surprisingly affordable, thanks in part to a relatively small battery. The downside is a modest range of up to 145 miles, but combining a low price with zero emissions makes the Mini Electric one of the cheapest company cars of 2022.
To drive, the Mini is nippy and fun. It steps away from the mark with real urgency, and the extra weight of the batteries hasn’t spoiled the way it drives. On the other hand, there’s not a lot of space in the back and the boot is small. But for less than £19 per month in tax, we’d be happy to travel light.
5. Nissan Leaf
Cheapest model 40kWh Acenta | What Car? rating 3/5 | CO2 emissions og/km | P11D price £27,440 | Monthly BIK tax rate 2022/23 @40% From £18.29
The original Nissan Leaf was one of the first cars to push electrification towards the mainstream. Today’s second-generation model has many more rivals to contend with, but it’s still a solid choice – especially if you're offered one as a company car.
Although it’s not the sharpest EV to drive, the 40kWh Leaf rides comfortably, especially on A-roads and motorways. You also get lots of standard kit and a big boot.
The best bit? You’ll enjoy a roomier and more practical car than Peugeot e-208 and Renault Zoe drivers, yet with a lower tax bill.
4. Vauxhall Corsa-e
Cheapest model SE Premium | What Car? rating 4/5 | CO2 emissions 0g/km | P11D price £27,250 | Monthly BIK tax rate 2022/23 @40% From £18.17
There isn’t one aspect of the Vauxhall Corsa-e that makes it stand out from its rivals, but it’s there or thereabouts in every way that matters.
It’s a pleasant car to drive, with the instant low-speed punch a good EV is renowned for. The Corsa-e is a little sharper to drive than the Peugeot e-208, which is closely related under the skin. The flipside is that it’s not as comfortable as the e-208, or as striking to look at.
The Vauxhall scores over the Peugeot in having a lower price, which in turn means lower tax bills. For 2022/23, you'll pay just over £18 per month to run the Corsa-e as a company car.
3. Fiat 500
Cheapest model 24kWh Action | What Car? rating 4/5 | CO2 emissions 0g/km | P11D price £23,780 | Monthly BIK tax rate 2022/23 @40% From £15.85
Electric cars may be worthy, but some lack character. That’s not something that can be said of the Fiat 500; it’s brimming with retro charm.
Models with the larger 42kWh battery have a longer range, but the 24kWh cars will still do 115 miles between charges, according to official figures – or 90-100 miles in real-world driving.
If you can live with that range and limited space for people and luggage, the 500 is great fun to drive. Best of all, your monthly tax bill will be no higher than the price of a takeaway pizza.
2. Smart EQ Forfour
Cheapest model Premium | What Car? rating 1/5 | CO2 emission 0g/km | P11D price £22,305 | Monthly BIK tax rate 2022/23 @40% From £14.87
The Smart EQ Forfour is a long way from being our favourite small electric car. It’s impractical and has a short range, plus an unsettled ride. On the other hand, the tiny size and tight turning circle make the Forfour easy to park, and it’s well equipped.
If your bosses are happy for you to run a Forfour as a company car, the most compelling reason to choose one is its cheap price, especially if you stick with the entry-level Premium model. This attracts a tiny monthly tax bill of less than £15.
1. Smart EQ Fortwo
Cheapest model Premium | What Car? rating 2/5 | CO2 emissions 0g/km | P11D price £22,235 | Monthly BIK tax rate 2022/23 @40% £14.82
There can’t be many cars as well suited to city driving as the Smart EQ Fortwo. Short enough to park nose-to-kerb, the electric Smart also does its bit to improve local air quality.
Perhaps it’s not the most obvious company car, but if your work and personal journeys are usually within city limits, it can make sense. Just go in with your eyes open and understand that a short-range two-seater is never going to be the most practical car or one that’s well suited to long journeys.
Go for the entry-level model (confusingly badged ‘Premium’) and you’ll pay less than £15 in tax each month for the cheapest company car around.
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