The best cars for £200 per month

  • Deals on everything from SUVs to hatchbacks
  • Great value personal lease deals and PCP finance options
  • Deposits from less than £2,000

You're not the only person looking at cars in the £200 per month range. This article is among the most read in our suite of pound per month features.

New cars under £200 per month are easily found, which is great news, because £200 per month is roughly 10% of the average wage, a sensible figure for most people to be spending on a car.

Superminis, hatchbacks, estates, and even SUVs can be found for this magical amount.

Below you'll find leasing and PCP agreements.

Leasing (sometimes called PCH or Personal Contract Hire) is essentially a form of long-term rental. You start with an initial payment, then follow it up with a series of monthly payments. And that's it. Once the contract is over you hand the car back.

PCP (Personal Contract Purchase) deals involve a deposit and a series of monthly payments. Then you can choose if you want to buy at the end, with what is often called a balloon payment.

Best new cars for £200 a month 2021


LEASE: Citroen C4

2021 Citroen C4

The C4 is an unorthodox kind of car because it's hard to classify. It's hatchback sized but SUV in shape. If you have a taste for the unconventional, this Citroen is appealing.

If you value comfort, there's even more good news for you. The C4 is one of the floatiest cars around for this price. Its supple suspension and soft seats combine to make a car really suited to the UK's knackered roads.

Sense Plus models with the frugal 1.2-litre petrol engine are the cheapest to lease at the moment. They come with cruise control, keyless entry, and sat-nav.*

Leasing price: from £215 per month

LEASE: Renault Zoe

Renault Zoe £200 per month

Not many electric cars fall into the sub £200 per month bracket. Let alone an electric car with an official range of 245 miles.

Look beyond the impressive price and range and you'll find a charming supermini with zero tailpipe emissions. The electric power means it's near-silent around town, and there's enough spark to keep up with mopeds at the traffic lights.

Your £200 per month will afford you a GT Line model.*

Leasing price: from £213 per month

LEASE: SEAT Leon

SEAT Leon £200 per month

The SEAT Leon pitches itself as a cheaper version of the Volkswagen Golf, with a bit of added elegancia. It works too - the Leon is SEAT's most successful model in the UK. 

You've probably seen a few dotted around the place - but in case you haven't, we can confirm that the Leon is sleek in the metal. Plus, it's borrowed a busload of tech from the Volkswagen Golf too, such as a digital cockpit system and wireless Apple CarPlay and Android Auto are standard on all models.

This price affords you an SE model, with a 1.0-litre petrol engine and a manual gearbox. It might not sound like a lot, but it has 110hp, so it never feels too leisurely, especially if you rarely travel at motorway speeds fully loaded with people.*

Leasing price: from £209 per month

LEASE: Nissan Juke

Nissan Juke £200 per month

The Nissan Juke is a small SUV that trades on its looks. The sharp cutting lines, raised height, and two-tone paint schemes help it attract plenty of fans in the UK. 

Quite a few trim levels to choose from, but there's only one engine choice. It's a 1.0-litre turbocharged petrol, available with a manual or automatic gearbox. It's great around town because you don't need to rev it that hard. This means you don't need to be constantly changing gears.

The 422-litre boot is a bit above average, and six-foot adults can fit easily in the rear seats.*

Leasing price: from £214 per month

LEASE: Skoda Kamiq

Skoda Kamiq £200 per month

In the market for a small SUV? Well, you're certainly well catered for. What sets the Kamiq apart? Skoda has managed to make an alternative that’s stylish, sophisticated, well-equipped and solid to drive. It might look high up in pictures, but it's not really. It's just a bit higher than a regular hatchback, making it much less blobby than some other SUVs.

There's a good variety of specs for the £200 range. Your money can even afford you an SE L model with a virtual cockpit system, which replaces traditional dials behind the steering wheel with a posh-looking screen.*

> The Kamiq placed second in our small SUV group test. Click here to find out what car won.

Leasing price: from £228 per month

*These deals are indicative examples of some packages available as of 1 October 2021 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. 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.


PCP: Ford Fiesta

Ford Fiesta Trend £200 per month

The Fiesta was the bestselling car in the UK in 2020. It's well thought out, there are loads of spec and engine options, and dare we say it, it's more fun to drive than it has any need to be. Good looking and dependable too.

You'll be looking at Trend spec cars. They may be entry level, but they still come with Apple CarPlay/Android Auto, quickclear heated windscreen, and 16-inch alloys.*

Ford Fiesta 1.0 EcoBoost Trend

  • Monthly cost: £180 (36 payments)
  • Deposit: £4,330 (including £250 deposit contribution)
  • Total amount payable by customer to buy car: £18,020
  • Cash price: £18,020
  • Mileage allowance: 9,000 miles per year
  • APR: 0%

Ford Fiesta PCP deal

PCP: MG ZS

MG ZS £200 per month

The MG ZS is the smallest SUV in the Chinese-owned brand's model range. Designed to offer value for money, it undercuts the cash price of almost all of its rivals by a sizable margin.

While it doesn't have the badge appeal of anything German, or the interior niceties, the ZS is available on a four-year 0% APR deal across the range. 

We recommend the Exclusive model as it comes with blind spot monitoring, a 360 degree camera, and heated seats.**

MG ZS Exclusive 1.0

  • Monthly cost: £199 (48 payments)
  • Deposit: £2,845
  • Total amount payable by customer to buy car: £19,795
  • Cash price: £19,795
  • Mileage allowance: 8,000 miles per year
  • APR: 0% 

MG ZS PCP deal

PCP: Toyota Yaris

Toyota Yaris £200 per month

If you want a new Yaris you'll have to have one with a 1.5-litre hybrid engine and an automatic gearbox. No non-hybrids or manuals for the UK.

This is good news though. Even in real-world testing we struggled to make it do less than 65mpg. If you don't do a lot of motorway driving, we reckon you can squeeze more than 70mpg out of it. Why? Toyota's research shows that it can be driven around 80% of stop-start urban journeys in full-on EV (Electric Vehicle) mode. Although, you'll have to be feather-like with your right foot.

For sub £200 you won't be getting a top spec car. But... whisper it... you don't want one. Design models come with smaller wheels (16-inch) and softer suspension, making them more comfortable than the bigger wheeled (17-inch) top-of-the-line cars.**

Toyota Yaris Design

  • Monthly cost: £189 (41 payments)
  • Deposit: £4,996
  • Total amount payable by customer to buy car: £22,150
  • Cash price: £22,150
  • Mileage allowance: 8,000 miles per year
  • APR: 0% 

Toyota Yaris PCP deal

PCP: Nissan Micra

Nissan Micra £200 per month

The Nissan Micra doesn't really break any new ground. Instead, it concentrates on being a reliable and well-mannered all-rounder.

Well specced too. The model on offer here is an Acenta, complete with Apple CarPlay/Android Auto, air con, and traffic sign recognition.

Deposit contribution AND 0% APR here, which is rare for a finance deal.**

Nissan Micra Acenta manual

  • Monthly cost: £199 (36 payments)
  • Deposit: £1,911.91 (including £750 deposit contribution)
  • Total amount payable by customer to buy car: £16,310
  • Cash price: £16,310
  • Mileage allowance: 8,000 miles per year
  • APR: 0%

Nissan Micra PCP deal

PCP: MINI Hatch

Mini Hatchback £200 per month

Every other car on this list is just a bit...serious. A bit 'mortgage, two kids, and a dog' lifestyle. If you're more bottomless brunch than changing nappies and Monster Munch, this is probably the most desirable car in this price range. That's because this modern-era MINI manages to retain the original's cheeky character without becoming an imitation of its former self.

Luckily it retains another positive attribute from the original - its perky handling. It's great fun to punt down a sprightly B-road. For this price, you're looking at the least powerful 1.5-litre petrol engine, but it still manages to be punchy enough.

Various different trim levels available at this price range, but you'll need to put down a heftier deposit for better equipped cars.**

MINI Hatch One Classic 3-Door

  • Monthly cost: £210 (47 payments)
  • Deposit: £2,000
  • Total amount payable by customer to buy car: £19,646.94
  • Cash price: £16,605
  • Mileage allowance: 8,000 miles per year
  • APR: 4.9% 

MINI Hatch PCP deal

What to read next - car finance

And you can check out the best deals for all budgets below:

>> Best cars for £90 per month
>> Best cars for £100 per month
>> Best cars for £300 per month
>> Best cars for £400 per month
>> Best cars for £500 per month
>> Top cash, finance and leasing offers: Deal Watch

Looking to learn more about car finance? Watch our video guides to PCP financePCH leasing and Hire Purchase, or visit our car finance calculator to find out how much you can afford to borrow.

>> What is PCP?
>> What happens at the end of a PCP deal?
>> How does car leasing work?
>> Lease or buy: rent or keep?
>> How to find cheap car finance

** These deals are indicative examples of some packages available as of 1 October 2021, 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.

Bauer Consumer Media Limited is an appointed representative of ZenAuto Limited for the broking of regulated consumer 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.