The 10 cheapest cars to buy on a PCP finance deal

Buying a new car doesn't have to break the bank, and we've found great deals on new cars starting from just £92 per month.....

One of the most popular ways of buying a new car in the UK is through a Personal Contract Purchase (PCP) deal; indeed, more than 80% of us buy a car in this way.

Four car compilation image

This type of finance allows you to buy a new car for around the same price as a three-year-old one, because you're usually only financing around half the value of the car. The other half of the car's price is called the Guaranteed Future Value (GFV).

At the end of your PCP, you can either pay the GFV in full and own the car outright, walk away from the deal entirely or give the car back and put any extra worth of the car – called ‘equity’ – above its pre-agreed GFV towards a new replacement.

PCP deals are so popular because they allow you to buy a car that might otherwise have been out of your budget. It can be hard work to find the best such deals, but What Car?'s team of mystery shoppers have done the hard work for you.

Here, they've collected the cheapest new car PCP deals from as little as £92 per month. All of the deals are based on What Car?'s Target Price and are over four years, with a 15% deposit and a mileage limit of 8000 miles per year unless otherwise stated.

Editor's note: Images are purely illustrative and may not reflect mentioned trim levels

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10: Volkswagen Up 1.0 Move Up 3dr [Start Stop]

Volkswagen Up GTI

Target Price cost per month: £126

Target Price (on the road): £10,757

The deal: 4 years PCP finance with 0% APR

If you're looking for something small and nimble to primarily use on city streets but don't want to compromise on quality, the Up should be on your shortlist.

10: Volkswagen Up - interior

Volkswagen Up GTI - interior

Not only is it fun to drive and economical, but it also has a relatively upmarket interior that, even on Move Up models, comes with air conditioning, front electric windows and split-folding rear seats.

9: Suzuki Swift 1.2 Dualjet SZ3

Suzuki Swift Sport

Target Price cost per month: £125

Target Price (on the road): £10,117

The deal: 4 years PCP finance with 6.9% APR and a finance contribution of £750

Value for money is at the heart of the Swift, and it's certainly cheap to both buy and run.

9: Suzuki Swift - interior

Suzuki Swift Sport - interior

There are other plus points, too, including its perky petrol engine and accurate steering, which makes manoeuvring around city streets a doddle.

8: MG ZS 1.5 VTi-Tech Explore

MG ZS driving

Target Price cost per month: £122

Target Price (on the road): £12,194

The deal: 4 years PCP finance with 0% APR

Yes, you really can drive an SUV for less than £125 per month.

8: MG ZS - interior

MG ZS interior

Don't think that the ZS is cheap and un-cheerful, though, because it offers a relatively classy interior, decent handling and roomy rear seats. You also get the reassurance of a seven-year warranty should anything go wrong.

7: Nissan Micra 1.0 IG-T 100 Acenta Limited Edition

Nissan Micra front three quarters

Target Price cost per month: £121

Target Price (on the road): £11,735

The deal: 4 years PCP finance with 4.9% APR and £1500 finance deposit allowance

There's plenty to like about Nissan's smallest model, including its smart interior and the fact that most versions come well equipped.

7: Nissan Micra - interior

Nissan Micra - interior

The 99bhp 1.0-litre petrol engine you get here zips the Micra along quite happily, whether you're in town or on faster roads.

6: Dacia Logan MCV 1.0 SCe Access

Dacia Logan MCV Estate 2019 tracking shot

Target Price cost per month: £114

Target Price (on the road): £8187

he deal: 4 years PCP finance with 6.9% APR and £250 finance deposit allowance

Romanian brand Dacia is synonymous with building cars that don't cost a lot to buy, and sure enough, two of them appear on this list. The first is the Logan MCV, an estate with a huge boot and low running costs.

6: Dacia Logan MCV - interior

Dacia Logan MCV Estate 2019 RHD dashboard

Just be warned that this being the Access version, there isn't a lot in the way of equipment – not even a radio. That said, if you want a no-frills estate, it's a bargain in every sense.

5: Fiat Panda 1.2 Pop

Fiat Panda

Target Price cost per month: £114

Target Price (on the road): £7905

The deal: 3 years PCP finance with 7.9% APR

The Panda may be getting a bit long in the tooth, but it's still an appealing city car.

5: Fiat Panda - interior

Fiat Panda - interior

With its its cheap running costs, funky looks and the availability of four-wheel drive should you need it, this plucky Italian is the ideal small car.

4: MG 3 1.5 VTi-Tech Explore

MG 3

Target Price cost per month: £113

Target Price (on the road): £9269

The deal: 4 years PCP finance with 0% APR

The MG 3 is already very cheap to buy, and young drivers will appreciate its low insurance rating.

4: MG 3 - interior

MG 3 - interior

There are downfalls, though, because its petrol engine returns poor fuel economy and it will lose its value faster than many key rivals.

3: Fiat 500 1.2 Pop 3dr

Fiat 500 1.2 Pop Dualogic 3dr

Target Price cost per month: £105

Target Price (on the road): £9399

The deal: 4 years PCP finance with 3.5% APR and £2200 finance deposit allowance

Funky looks are a big part of the 500's appeal, but there's more to this city car than just style.

3: Fiat 500 - interior

Fiat 500 1.2 Pop Dualogic 3dr - interior

It's easy to drive around town, thanks not least to a relatively peppy petrol engine, while strong resale values mean you should get a decent chunk of your money back when it comes to selling.

2: Hyundai i10 1.0 S 5dr

Hyundai i10 1.2 SE auto

Target Price cost per month: £100

Target Price (on the road): £8141

The deal: 4 years PCP finance with 4.9% APR and £1000 finance deposit allowance

Until the arrival of the latest Kia Picanto, the Hyundai i10 was a class leader in the city car segment.

2: Hyundai i10 - interior

Hyundai i10 1.2 SE auto - interior

And it remains an excellent option, with a reasonable amount of space inside and a nicely settled ride around town. The entry-level S model comes with electric front windows, central locking, a CD player and a USB port.

1: Dacia Sandero 1.0 SCe Access

Dacia Sandero 1.0 SCe Access

Target Price cost per month: £92

Target Price (on the road): £6714

The deal: 4 years PCP finance with 6.9% APR and £250 finance deposit allowance

It shouldn't come as any surprise to find that the UK's cheapest new car is also the cheapest car on this list. Okay, at this price you can only get the cheapest Access trim, which doesn't even come with air conditioning or a stereo, but if you're looking for ultra-cheap transport with no frills, it's an appealing choice.

1: Dacia Sandero - interior

Dacia Sandero 1.0 SCe Access - interior

Thankfully, stepping up to our recommended Ambiance trim won't cost you much more, either.

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