PCP finance: best new cars for less than £400 per month

11 March 2019 by Christofer Lloyd

Choose from huge estates to SUVs and sports cars
Upmarket models can be surprisingly affordable
Look for large deposit contributions discounts

Fancy an upmarket, well-kitted-out car but don’t have the £40,000 cash needed to put one on the drive? Fear not, PCP finance deals mean that you can drive one of these desirable machines for less than £400 per month (with a deposit of £6,000 or less).

We’ve grouped together the most appealing cars on offer, including everything from rapid turbocharged sports cars, to hefty seven-seat 4x4s with powerful diesel engines and large luxurious cars.

Best new cars for under £400 a month 2019

Cupra Ateca - £386 per month
Jaguar XF Sportbrake - £399 per month
Volvo V90 Cross Country - £359 per month
Skoda Kodiaq - £396 per month
BMW M140i - £319 per month
Audi A5 Coupe - £340 per month
Mercedes-Benz E-Class - £400 per month
Volkswagen Passat Estate - £330 per month
Kia Stinger - £392 per month

If you’re still getting to grips with car finance, check out our video guides explaining what PCP finance is, how PCH leasing works, and whether Hire Purchase is for you. You can also visit our car finance calculator to see how much you can afford to borrow, or if you're looking to lease you can check out the Parkers leasing search tool.

In the meantime, take a look at the best finance deals – whatever your budget – below:

Cupra Ateca - £386/month

Best new car under £400 a month for: all-weather speed

Like the idea of a comfortable high-riding SUV but don't want to compromise on power? With 300hp and all-wheel drive grip, the Cupra Ateca offers sports car speed in an SUV shell.

Thanks to a £1,750 deposit contribution discount, this Ateca is available for just £386 per month on a four-year contract with a £6,000 deposit and 10,000-mile-per-year allowance.*

Cupra Ateca 2.0 TSI 300hp DSG [Comfort and Sound]

Monthly cost: £386 (48 payments)
Deposit: £6,000 (plus £1,750 manufacturer deposit contribution)
Total amount payable by customer if returning car: £24,506
Total amount payable by customer to buy car: £40,603
Cash price: £37,830
Mileage allowance: 10,000 miles per year
APR: 4.9%

Jaguar XF Sportbrake - £399/month

Best new car under £400 a month for: value

An upmarket cabin, powerful 300hp turbocharged petrol engine, all-wheel drive and plenty of standard kit make this the best value car available for less than £400 per month.

Despite a hefty £47,415 list price, you could get this XF for just £399 per month on a four-year, 10,000-mile-per-year contract with a £6,000 deposit.*

What makes this XF such good value is interest-free credit, a substantial £4,300 deposit contribution discount and strong residual values.

Jaguar XF Sportbrake 2.0t 300hp AWD R-Sport

Monthly cost: £399 (48 payments)
Deposit: £6,000 (plus £4,300 manufacturer deposit contribution)
Total amount payable by customer if returning car: £25,152
Total amount payable by customer to buy car: £43,115
Cash price: £47,415
Mileage allowance: 10,000 miles per year
APR: 0%

Volvo V90 Cross Country - £359/month

Best new car under £400 a month for: comfort

A supremely comfy interior, plenty of space and added off-road credentials make this V90 fantastic value at £359 per month (four-year contract, 10,000-mile-per-year allowance).*

Making the Cross Country even better value is a relatively low £3,976 deposit (put down £6,000 and monthly payments will fall), partly thanks to enormous £9,089 Volvo finance discounts.

Volvo V90 T5 AWD Cross Country

Monthly cost: £359 (48 payments)
Deposit: £3,976 (plus £4,500 manufacturer deposit contribution)
Total amount payable by customer if returning car: £21,208
Total amount payable by customer to buy car: £40,928
Cash price: £41,297 (after £4,589 discount)
Mileage allowance: 10,000 miles per year
APR: 3.9%

Skoda Kodiaq - £396/month

Best new car under £400 a month for: practicality

With seven seats, a punchy diesel engine, four-wheel drive and a super-slick automatic gearbox, this Kodiaq could be the ultimate family car. Especially in top-spec Edition trim.

It's great value, too, at £396 per month on a four-year contract with a £6,000 deposit and 10,000-mile-per-year allowance. Not much for such a large, practical, well kitted out car.*

Skoda Kodiaq 2.0 TDI 190 4x4 DSG Edition (7 seats)

Monthly cost: £396 (47 payments)
Deposit: £6,000 (plus £2,000 manufacturer deposit contribution)
Total amount payable by customer if returning car: £24,620
Total amount payable by customer to buy car: £40,126
Cash price: £37,305
Mileage allowance: 10,000 miles per year
APR: 5.5%

BMW M140i - £319/month

Best new car under £400 a month for: mighty performance

With its potent turbocharged 3.0-litre six-cylinder petrol engine and power channelled to the rear tyres, the M140i is more of a sports car than a shopping car.

Thanks to an enormous £7,174 deposit contribution discount, it's also incredible value at just £319 per month on a four-year contract (£6,000 deposit, 10,000-miles-per-year allowance).*

Better still, BMW has discounted the car further so you can now get a high-specification Shadow Edition version for the price of the standard car.

BMW M140i Shadow Edition 5dr

Monthly cost: £319 (47 payments)
Deposit: £6,000 (plus £7,174 manufacturer deposit contribution)
Total amount payable by customer if returning car: £21,004
Total amount payable by customer to buy car: £34,270
Cash price: £37,785
Mileage allowance: 10,000 miles per year
APR: 4.9%

Want to find out more about car finance? Take a look at the links below:

Audi A5 Coupe - £340/month

Best new car under £400 a month for: high quality cabin

Striking looks, an upmarket cabin and a reasonably potent petrol engine make this A5 Coupe an appealing car for £400 per month. More than this, you get plenty of change, too.

Monthly payments come in at £340 with a £6,000 deposit (on a four-year contract with a 10,000-mile-per-year allowance), cut down to size by a £5,000 deposit contribution discount.*

Audi A5 Coupe 40 TFSI 190 S Line S tronic

Monthly cost: £340 (47 payments)
Deposit: £6,000 (plus £5,000 manufacturer deposit contribution)
Total amount payable by customer if returning car: £21,975
Total amount payable by customer to buy car: £36,823
Cash price: £37,825
Mileage allowance: 10,000 miles per year
APR: 4.9%

Mercedes-Benz E-Class - £400/month

Best new car under £400 a month for: refinement

This isn't the most extravagant Mercedes, but even in 2.0-litre diesel form this E-Class is supremely comfortable, refined and completely at home cruising along the motorway.

Even with a £5,504 discount, though, the £40,560 cash price translates into £400 per month on a four-year contract with a £6,030 deposit and 10,000-mile-per-year allowance.*

Mercedes-Benz E 220 d AMG Line

Monthly cost: £400 (48 payments)
Deposit: £6,030 (plus £5,504 manufacturer deposit contribution)
Total amount payable by customer if returning car: £25,234
Total amount payable by customer to buy car: £39,969
Cash price: £40,560
Mileage allowance: 10,000 miles per year
APR: 5.7%

Volkswagen Passat Estate - £330/month

Best new car under £400 a month for: all-round ability

A giant boot, luxurious cabin, punchy but economical diesel engine and plenty of standard kit make this Passat Estate a great all-rounder for well under £400 per month.

Monthly payments come in at just £330 on a four-year contract with a £6,000 deposit and 10,000-mile-per-year allowance.*

Volkswagen Passat Estate 2.0 TDI 190 GT DSG

Monthly cost: £330 (47 payments)
Deposit: £6,000 (plus £3,500 manufacturer deposit contribution)
Total amount payable by customer if returning car: £21,526
Total amount payable by customer to buy car: £32,565
Cash price: £33,980
Mileage allowance: 10,000 miles per year
APR: 3.0%

Kia Stinger – £392/month

Best new car under £400 a month for: style

With bold styling, a powerful turbocharged petrol engine and plenty of standard kit on its side, this Stinger is enjoyable to drive and should be equally enjoyable to live with.

The finance isn't the best value, but a low cash price plus a £2,440 discount shrink monthly payments to just £392 on a three-year contract (10,000-mile-per-year limit, £6,000 deposit).*

Kia Stinger 2.0 T-GDI 244hp GT-Line

Monthly cost: £392 (36 payments)
Deposit: £6,000 (no manufacturer deposit contribution)
Total amount payable by customer if returning car: £20,112
Total amount payable by customer to buy car: £33,311
Cash price: £29,995 (after £2,440 discount)
Mileage allowance: 10,000 miles per year
APR: 5.9%

Still baffled by car finance? The articles below may help:

*Deals are correct at time of publication. Everyone’s financial circumstances are different and credit is not always available – Parkers cannot recommend a deal for you specifically. These deals are indicative examples of some packages available this week. Bauer Consumer Media Limited is an appointed representative of ZenAuto Limited for the broking of regulated hire agreements. ZenAuto Limited is authorised and regulated by the Financial Conduct Authority. ZenAuto Limited's registered office is Number One, Great Exhibition Way, Kirkstall Forge, Leeds LS5 3BF. ZenAuto Limited's company registration number is 10967345. ZenAuto is the trading name of ZenAuto Limited. Terms, conditions and exclusions apply.