You’re not the only person looking at cars in the best cars for £200 per month range – this article is among the most popular in our suite of new car deal pages. Despite rising prices and increasing interest rates, there are still lots of great cars available for around £200 per month.
That’s good news because £200 is roughly 10% of the average salary in the UK, and that’s what many finance experts consider a sensible amount to spend on a car. You don’t want to stretch your spending too thinly. The other good news is that there are some really great cars available for £200 and we’ve found the ones we think represent the best value.
This list just highlights personal contract hire (PCH) – or lease – deals, as this is a very competitive price point, with lots of special offers available. So do keep checking in for the latest prices.
Best new cars for £200 a month 2023
The Parkers Car of The Year – the EV for everyone
But there’s more to it than just the low price, the MG 4 is a genuinely good car. It has a spacious interior, comes well equipped, it’s comfortable and great to drive. Every model has a usefully long WLTP range of well over 200 miles and you get the reassurance of a seven-year warranty.
Read our full MG4 EV review
- Long range
- Good to drive
- Undercuts all rivals on price
- Touchscreen is fiddly
- Some cheap-feeling interior materials
An excellent all-rounder available with some tempting deals
At this price point, you're looking at a 1.0- or 1.5-litre version, and of the two, it;s the latter that is our pick of the petrols, and is more than up to the task of hauling a family and their luggage.*
Read our full Skoda Octavia review
- Hugely practical
- Lots of engine and trim options
- Cheap to run
- Lack of badge kudos
- Motorway refinement isn't the best
A full-on hot hatch for peanuts?
It's a kissing cousin to the excellent Volkswagen Golf (and Skoda Octavia, above) and as such it shares many of those cars' qualities, such as excellent practicality and low running costs. Cheap on the monthlies, maybe, but far from bargain basement in terms of feel.
Read our full Cupra Leon review
- Sharp handling
- Well appointed interior
- Great value for money
- Some interior quality issues
- Glitchy infotainment
Stylish estate with cast-iron warranty support
It’s not the most exciting choice to look at or drive, so there are more appealing options including the SEAT Leon and Skoda Octavia Estates. However, if you’re after a reliable long-term ownership proposition, it makes a great deal of sense, and neither of those come close in dealer support or reliability.
Read our full Kia Ceed Sportswagon review
- Seven-year warranty
- Enormous boot
- Not exciting to drive
- Limited engine range
Yes, a family-sized EV really is this affordable
It's not blessed with the longest range in its class, but combine the-C4 with a homecharger and some effective route planning and you'll have a very satisfying EV experience.
Read our full Citroen e-C4 review
- Eye-catching design
- Extremely comfortable
- Excellent value for money
- Range could be better
- Lacklustre performance
Competent SUV that's great for families
Being based on the Peugeot 3008, it’s fine to drive, has an acceptable interior and reasonable space, and the alternatives are pretty much all more expensive on monthly finance. Add to this, a large boot and roomy interior and the Grandland is definitely worth a closer look.
Read our full Vauxhall Grandland review
- Good build quality
- Punchy petrol engines
- Roomy interior
- Lack of badge kudos
- Not a sporty drive
A little bit of premium for a modest monthly payment
It’s not that much of a compromise next to an A3 or A4. The Audi A1 Sportback has a mature feel and some highly impressive tech. In many ways it's an appealing small car that's a bit of a guilty secret.
Read our full Audi A1 review
- Nicely equipped cabin
- Good fuel economy
- Lots of personalisation
- Lots of kit on options list
- Firm ride on larger wheels
Excellent value, tough and long lasting family SUV
You don’t have to sacrifice much, either. The Duster may not get the very latest driver assistance tech, but most models have everything you need like air-conditioning, remote locking and an infotainment touchscreen with Apple CarPlay and Android Auto.
Read our full Dacia Duster review
- Amazingly good value
- Available with 4WD
- Practical interior
- More road noise than rivals
- Ride could be more settled
Reliable supermini with impressive reliability
The Yaris still has stand-out looks, despite its growing familiarity. The interior isn’t up to the same mark but it’s user-friendly, built solidly and comes with plenty of tech. Back seat and boot space aren’t especially generous, but when you're getting 65mpg, do you care?
Read our full Toyota Yaris review
- Hugely economical
- Loads of driver assistance tech
- Cheap finance
- Small boot
- Less than up-to-date interior
A huge seller and for good reason
It’s practical, with some very clever interior touches, as you’d expect for a product that’s now entered its third generation. While the quality and interior are also up there with the very best-in-class.
Read our full Nissan Qashqai review
- Striking styling, quality interior
- Lots of tech that works well
- Seriously refined
- Weak 1.3-litre mild-hybrid
- No high-performance version
* These deals are indicative examples of some packages available as of 28 November 2023, but are subject to change without prior notice. Everyone’s financial circumstances are different and the availability of credit is subject to status. Terms, conditions and exclusions apply. Parkers cannot recommend a deal for you specifically.