The 10 cheapest new cars you can buy - reviewed and rated
Think buying a new car is expensive? Think again, because these 10 cars prove you can get something that's interesting, practical and fun at a still affordable price...
Even though prices of new cars seem to only be heading up, it’s still possible to find a bargain with a limited budget. Sure, buying a new car is likely to be among the biggest purchases you make, but with prices starting from just £7705, the cost of a brand-new car might surprise you.
In this list we’ll prove just that, by showing you 10 of the cheapest new cars that you can buy, offering a variety of body styles, including small cars and small SUVs, as well as multiple power options, including mild hybrid and fully electric.
We’ll look into other features that matter to buyers too, ranging from comfort and practicality to reliability, and prove that you needn’t compromise on these things just because you’re looking at entry level cars.
Better still, a lot of the cars we’ve quoted here have tempting discounts available, so we’d suggest checking out our New Car Deals service to see just how much you could save. If any of the cars do take to your liking, you can follow through to the full review to see just what you’ll be getting for your money.
Finally, we’ve even thrown in some of the most commonly asked questions around small car ownership at the end of this page; handy, particularly if you’re buying a new car for the first time.
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Strengths
- Surprisingly spacious for two
- Low purchase and running costs
- Zippy city acceleration
Weaknesses
- Limited range
- 28mph top speed
- Safety concerns
Version Ami Coupe | List price £7,705 | Best Price £7,705
Though technically not a car, but a ‘quadricycle’ (like the Fiat Topolino), the cutesy Citroen Ami is the cheapest way to get on the road with four wheels and an electric motor in the UK right now. If you live in a city, this could be an appealing prospect for you: its 46 miles of range and 28mph top speed will be fine for narrow streets and tight traffic. But it you venture out onto faster, busier roads, you'll be far better served by other cars on this list.
All is not lost, though, because its diminutive size will make finding and securing parking a breeze. And since it’s a quadricycle, you can drive one at just 16 years old in the UK. In most of Europe, it’s even lower.
However, behind the Instagram-friendly looks of the Ami, there’s clear evidence of cost-cutting to get it to such a low price. Most of the fittings are made from hard plastics, for example, and the metal frame and plastic structuring is fairly exposed.
As such, while cheap, the Ami represents a mobility solution for an extremely niche market. For most people, we’d suggest having a glance over at our best small electric cars list instead.
Read our full Citroën Ami review
Strengths
- Amazingly good value
- Lots of space for passengers and luggage
- Comfortable ride
Weaknesses
- Poor safety rating compared with rivals
- There are more entertaining small cars to drive
- Some other small cars are quieter
Version 1.0 TCe Bi-Fuel Essential Euro 6 (s/s) 5dr | List price £14,705 | Best Price £14,705
The first four-star rated car featured on our list is the humble Dacia Sandero. It’s been more than a decade since the first Sandero landed in the UK, and in that time, it has forged a reputation for being well-equipped, easy to maintain and cheap to run.
Just over £14,700 is enough to get you the Essential trim, which has cruise control, front electric windows and air conditioning as standard. Mechanically, this grade comes with a 99bhp 1.0-litre three-cylinder engine that can run on liquefied petroleum gas (LPG). If you live near a petrol pump that stocks this stuff, you’ll be saving a fair bit. Otherwise, regular unleaded will still work.
The one big drawback with the Sandero is its safety rating: Euro NCAP awarded it just two stars, despite it sharing the same underpinnings as the Renault Clio (since Renault owns Dacia). For all its qualities, this could be considered the achilles heel for the Sandero.
Read our full Dacia Sandero review
Strengths
- Cheaper than other electric cars
- Range is enough for commuting
- Respectable performance around
Weaknesses
- Terrible safety rating
- Cramped interior
- Poor to drive
Version 45 26.8kWh Expression Auto 5dr | List price £14,995 | Best Price £12,034
The cheapest electric ‘car’ per se that you can buy right now is the Dacia Spring. And guess what? It’s also an electric car. Oh, how the tables have turned. You’ll get a choice of two power levels - 44bhp or 64bhp - mated to a 26.8kWh (total) battery that delivers up to 140 miles of range.
What’s more, our best price estimate means you can get one for almost £3000 less than the list price. It’s a solid option for those searching for an entry-level car, but do remember, it’s exactly that. So compared to slightly more upmarket small electric cars, like the Citroen e-C3, it’s pretty rudimentary.
The e-C3’s 111bhp e-motor gets it from 0-62mph in 10.4sec (as opposed to 13.7sec), delivers just under 200 miles of range, and has both more space and a far better safety rating. It’s very much a case of getting what you pay for with the Spring.
Read our full Dacia Spring review
Strengths
- Well priced
- Lots of standard kit
- Comfortable ride
Weaknesses
- Range suited to city drivers
- Not particularly fast
- Driving position could be better for taller drivers
Version 37.3kWh Auto 5dr | List price £15,995 | Best Price £13,989
The Leapmotor T03 actually shares some of its DNA with the Citroen e-C3 and the Fiat 500e, since the Chinese brand falls under the Stellantis group. And the sales pitch is clear: offer lots of standard equipment and a decent drive for not much money. It does just that.
You get a sole motor/battery option, which is a front-driven 95bhp e-motor paired-up with a 36kWh battery. Its 0-62mph is rated at 12.7sec, which is faster than the Dacia Spring, but off the pace of most other small electric cars. A 165-mile range isn’t bad either, but only betters the Spring in its category.
The boxy T03’s saving grace is the supple suspension and comfortable ride: it’s not a fast car, but it’ll be an adequate place to sit and ponder on long journeys (and traffic jams alike). It may cost almost £2000 more than the Spring, but it’s arguably worth the excess.
Read our full Leapmotor T03 review
Strengths
- Comfortable ride
- Spacious interior
- Astonishing price
Weaknesses
- Poor safety rating
- Mainly cosmetic changes for the money over a regular Sandero
- Noisy TCe 90 engine
Version 1.0 TCe Essential Euro 6 (s/s) 5dr | List price £16,015 | Best Price £16,015
Think Dacia Sandero, but…more. The Stepway features a more sculpted bonnet, integrated skid plates, the all-important roof rails and sits higher up than the original. All these changes amount to a Sandero that, on face value at least, looks superb.
And since it is effectively the same as the standard Sandero inside, it retains most of the admirable qualities: spacious interior, big boot and a comfortable ride. Plus, the entry-level retains that Bi-Fuel 1.0-litre petrol engine, which means you can switch between LPG and unleaded at will.
Aside from its Spring-shaped sibling, the Stepway is also noticeably cheaper than similarly-themed small, high-riding hatchbacks like the Honda Jazz Crosstar. By over £6000 where that particular example is concerned, no less.
Read our in-depth Dacia Sandero Stepway review
Strengths
- Really tidy handling
- Decent real-world fuel economy
- Great infotainment and well-equipment as standard
Weaknesses
- Engine line-up is among the slowest of any new car
- Quite firm low-speed ride
- A Dacia Sandero is much roomier
Version 1.0 Pure Euro 6 (s/s) 5dr| List price £16,695 | Best Price £15,195
The Picanto was given its big overhaul last year, which, despite the small price increase, completely uprated the small car's interior and exterior. You’ll now find even more standard-fit bits, including an 8.0in touchscreen, rear parking sensors and a rear-view camera.
Although it's pretty underpowered, since its 1.0-litre three-cylinder produces just 62bhp, it's surprisingly fun to drive around the corners. Despite the unconventionally tall but wedge shape, it's super agile. Though if your budget would allow, we’d suggest opting for the 1.2-litre engine - it’s both quicker and more flexible at low revs.
Read our full Kia Picanto review
Strengths
- Comfy and quiet for a small car
- Remarkably roomy in the rear
- Well equipped as standard
Weaknesses
- Disappointing safety rating
- Entry-level engine is a bit lacklustre
- Slow-witted automatic gearbox
Version 1.0 Advance Euro 6 (s/s) 5dr | List price £17,100 | Best Price £15,130
The first car to break past the £17,000 threshold is the little Hyundai i10, which has a wonderful reliability record, practical interior and plenty of space for the sort of car it is. It’s also one of the most comfortable cars in its class.
As a thing to sit in and operate, it’s rather good. But the i10 isn’t all that great actually drive, however. At this price you’d be eyeing up the 1.0-litre petrol, which takes 15.6secs to get to 62mph. And that’s with the manual gearbox; opt for the automatic and it’s even slower. We’d suggest one of the bigger engines if finances allow.
But if you’re really not bothered about straight-line pace, and prefer brisk travel in a car that’s well-built and frugal, the entry-level i10 could be your calling.
Read our full Hyundai i10 review
Strengths
- Cheap to run
- Good level of safety kit
- Warranty of up to 10 years
Weaknesses
- Cramped in the back
- Smaller boot than rivals
- Top-spec trims will be priced close to a Toyota Yaris
Version 1.0 VVT- i Pure Euro 6 (s/s) 5dr | List price £17,145 | Best Price £15,745
Toyota introduced the revamped Aygo X earlier this year, which gained a new grille, thicker arches and strips of black paint. Though as one might mistakenly think, considering the styling, it doesn’t actually get 4WD. Still, it does look good, and with a cheapest possible price of less than £16,000, it’s priced just as handsomely.
But by far the biggest change introduced by Toyota is the new petrol-electric full-hybrid setup, which is shared with the bigger Yaris model. It allows the Aygo X to produce the lowest emissions of any non-plug-in car on sale, and thanks to a total output of 114bhp, cuts a massive 5.7secs off its predecessor’s 0-62mph time (now 9.2secs).
A GR Sport trim level does exist too, which adds a stiffer suspension and slightly sharper steering, but the changes aren’t huge. As such, we’d just stick with the standard car.
Read our full Toyota Aygo X review
MG3
Strengths
- Attractively priced
- Interior looks fairly smart
- Well equipped
Weaknesses
- Disappointing to drive
- Not very practical, even by small car standards
- MG has a poor reliability record
Version 1.5 SE Euro 6 (s/s) 5dr | List price £17,245 | Best Price £14,695
Small cars are slowly being frozen out by manufacturers, because it's hard to sell cheap ones profitably. And that makes MG’s decision to renew the MG3 for a third-generation all the more commendable. And it hasn’t shied away with equipment for even the more modest trim levels either.
You’ll find an entry-level with a 1.5-litre petrol engine for a little over £14,500, which produces 113bhp and allows for a 0-62mph time of 8.0sec flat. Not bad at all. But while it’s good in a straight line, the MG3 is less so elsewhere: the ride is firm, the steering feels a little slow and the engine can get noisy once you’re up to speed.
The MG3 does claw some points back in the cabin, where the fit and finish is tidy. Featuring a 10.25in touchscreen, you’ll even get Android Auto and Apple CarPlay, bluetooth and sat-nav all as standard. Interested?
Read our full MG3 review
Strengths
- Raw, old-school driving experience
- Slow depreciation
- Incredible acceleration in top versions
Weaknesses
- Expensive
- Extremely cramped inside
- You really won't want to hit anything
Version 0.6 160 2dr | List price £17,990 | Best Price £17,990
Yep, a Caterham has managed to sneak onto our list of 10 cheapest new cars you can buy. It’s not going to be a full-bore track monster like the 620, but rather, the standard Seven. It’s equipped with a 620cc three-cylinder petrol engine, which produces just 84bhp.
If that sounds weedy, do consider the Seven weighs just 440kg (in R guise), which means a power-to-weight ratio of a very respectable 191bhp per tonne. That sits in the ballpark of most hot hatches, and since you’re so exposed in the cabin, the experience will feel spritely enough.
Don’t, however, think you’re getting much by way of practicality or comfort: the ethos behind the Seven stretches back several decades now. That means it’s cramped and fairly uncomfortable. You’ll get seats, a steering wheel, some dials and pedals, and… that’s about it. At least it’s cheap.
Read our full Caterham Seven review
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FAQs
Generally speaking, buying your new car outright with cash is still the cheapest way to buy a new car overall. However, since most of us don't have the budget to buy a new car this way, the vast majority rely on PCP finance deals, which allow you to finance a small portion of car's overall value in the form of a set monthly fee.
PCP finance deals are popular in the UK because they get you into a new car without needing to spend a lot of money – because you're only covering the loss in value your car will suffer while it's with you. You also get the option to own the car outright by paying the final 'balloon' payment at the end of your contract. Look for o% APR deals for rock-bottom monthly repayments.
Leasing is another popular form of car financing, but differs from a PCP deal in that you don't get the option to own your car at the end of the contract – you simply hand it back and, most likely, take out a new contract.
Value means lots of things to lots of people, but in the context of the cheapest new cars, we're taking it to mean the car which offers the most for the least – and that's the Dacia Sandero.
The Sandero is already one of the UK's cheapest new cars, but offers the best value because of how much space it gives you for your money. There's more interior space than in most small car rivals, for example, plus all of its engines offer decent fuel economy – and some can even run on ultra-cheap LPG fuel as well as petrol.
While the Renault Clio is a better all-rounder, and most rivals offer more safety kit, the Sandero is our top choice for value.
The cheapest new car you can buy in the UK is the Citroën Ami. It's significantly cheaper than the Dacia Spring and Leapmotor T03 for outright cost, technically because it's a quadricycle rather than a full-size car. This means it's compromised in areas such as performance and range, with its limited top speed of 28mph and official range of 46 miles. The Spring and T03 are far more capable if you're looking for a cheap electric car.
New car prices in the UK vary wildly depending on what sort of car you're thinking of buying, how you're buying it and how you want to use it, and while some cars are very expensive, others are increasingly available with big discounts.
For example, with manufacturers being encouraged to sell more electric cars because of the ZEV Mandate, discounts on such cars are on the rise. Indeed, What Car? research has found that electric car discounts were up 201.4% at the start of 2024. That’s significantly higher than the average discount across all fuels (+36.2%) and petrol cars (+9.8%).
