The best cars for £400 per month

  • Choose from seven-seat SUVs to sleek sports cars
  • Upmarket models can be surprisingly affordable
  • We've rounded up the best personal lease and PCP deals

Fancy an upmarket and lavishly equipped car? The £400 per month mark lands you right in the stomping ground of high-end manufactures like Mercedes-Benz, Audi, and Land Rover. This sort of budget will stretch to hefty 4x4s, luxury saloons, and sleek sports cars, as well as pretty much any other type of car that takes your fancy.

This article lists the best PCP (Personal Contract Purchase) and leasing deals around, helping you pick the right car for your needs. With a PCP deal, you pay a deposit and a series of monthly payments. You then choose whether you want to buy the car at the end or not.

Leasing (sometimes referred to as PCH or Personal Contract Hire) is essentially the same as renting. You pay an initial payment, then a series of monthly payments. And that's it. You hand the car back.

PCP is the way to go if you want to keep your buying options open, and leasing is usually better if you don't want to buy a car at the end of the agreement.

Best new cars for £400 a month 2020


LEASE: Mercedes-Benz C-Class:

Best new car for £400 a month for: executive saloons

Mercedes C-Class rear

If you're looking for cars in the £400 per month bracket, we bet you're after something premium. Well, here's a sumptously appointed German saloon with just the right amount of cache, all within budget.

While the Mercedes C-Class isn't best in class outright, it is the most relaxing car to drive in the compact executive class of cars thanks to big and comfy seats, soft suspension, and an interior that's ergonomically designed and well-made.

The engine on offer is a 1.5-litre petrol, making 184hp, giving it a 0-62mph time of 7.7 seconds. While SE trim cars like this one come with a 10-inch infotainment screen, driving modes, and park assist.*

Leasing price: from £347 per month

LEASE: Peugeot 3008 hybrid

Best new car for £400 a month for: a hybrid heart

2020 Peugeot 3008 hybrid

Striking isn't it. And don't think those sharp lines prevent the 3008 from being practical. It still has a big boot and wide opening rear doors.

This model is a plug-in hybrid, meaning up to 69 miles of pure electric range if you remember to actually plug it in. This isn't the 300hp four-wheel drive version, but total output is still a healthy 225hp.

It's a sensible option if you don't want a pure petrol car, but can't quite get a fully electric one to fit in with your lifestyle. If you want a cheaper 3008, petrol models can be found for under £300 per monthWhile, if you want a fully electric Peugeot SUV, there's always the smaller e-2008.*

Leasing price: from less than £400 per month

LEASE: DS 3 E-Tense Crossback

Best new car for £400 per month for: small and electric car buyers

2020 DS 3 E-Tense Crossback

Niche-filling doesn't get much better than this. Is it electric? Yes. Is it a small SUV? Yup. Is it premium-ish? Yass.

The DS 3 E-Tense is powered by a 100kW electric motor and a 50kWh battery. This makes 136hp and gives it a respectable 0-62mph time of 9.0-seconds. Its 200-mile range is nothing to write home about, but it's certainly enough for most people's commutes.

The interior is striking and really helps set it apart from other smallish and electric SUVs. You sit on plush-feeling nappa leather seats, and the infotainment works well too.*

Leasing (DS 3 Crossback model range) price: from £280 per month

LEASE: Mercedes-Benz B-Class

Best new car for £400 per month for: posh MPV lovers

Mercedes-Benz B-Class

MPVs may seem like a thing of the past thanks to the rise of the SUV. But the Mercedes B-Class proves there's life in the old dog yet.

It provides a convenient middle ground for those who don't want the imposing looks of an SUV, but do want the height.

The B-Class is based on the same platform as the A-Class, and it features the same tech-heavy and swish interior. In other words, this MPV is nothing like the 15-year old Vauxhall Zafira parked outside of your local kebab shop on a Friday night.*

Leasing price: from £317 per month

*These deals are indicative examples of some packages available as of 15 October 2020 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: Volvo XC60:

Best new car under £400 a month for: a super-sensible mild-hybrid diesel SUV

2020 Volvo XC60

Don't fancy a Land Rover? We can thoroughly recommend a Volvo XC60 instread. The Volvo has an altogether different vibe from a Landie - it's more city-focussed than countryfied.

Broadly, the XC60 is packed with advanced safety kit, while the model on offer here is a mild hybrid diesel, with front-wheel drive. This means it should be capable of just over 45mpg. Well, officially anyway.

Expect to find a 12.3-inch portrait style infotainment screen, adaptive cruise control, and drive modes in this Momentum spec car. Deposit contribution and 0% APR sweetens the deal.**

Volvo XC60 B5 Momentum

  • Monthly cost: £390.12 (37 payments)
  • Deposit: £7,630.45 (after £3,327.75 retailer contribution)
  • Total amount payable: £38,152.25
  • Cash price: £41,480
  • Mileage allowance: 10,000 miles per year
  • APR: 0%

Volvo XC60 PCP deal

PCP: Audi A4 Avant

Best new car under £400 a month for: estate-car sensibleness

2019 Audi A4 Avant

A stylish, well appointed, and practical estate for sub £400 per month? Your eyes aren't deceiving you.

It'll seat four in comfort, while luggage room is a capacious 495 litres - although those rear seats don't fold completely flat.

Compared with other posh estates, it feels most special where you spend the majority of your time - inside.

£4,250 deposit contribution adds to the allure.**

Audi A4 Avant Sport 35 TFSI S Tronic

  • Monthly cost: £389
  • Deposit: £5,931.29 (including £4,250 deposit contribution)
  • Total amount payable by customer to buy car: £39,702.34
  • Cash price: £36,135
  • Mileage allowance: 10,000 miles per year
  • APR: 4.9%

Audi A4 Avant PCP deal

PCP: Land Rover Discovery Sport

Best new car under £400 a month for: seven-seat SUVs

2019 Land Rover Discovery Sport

The Discovery Sport may well be the 'entry' level Land Rover, but that doesn't stop it from being a Land Rover. It's rugged, good looking, and it was even updated in 2019, bringing it bang up to date.

It's a seven-seater too. Those rear seats are a little cramped for adults, but are spacious enough for kids. With those rear seats folded flat, there's a generous 829-litres worth of boot space. Or 981-litres with the second row slid fully forwards.**

Land Rover Discovery Sport D200 SE Auto

  • Monthly cost: £399 (48 payments)
  • Deposit: £7,540 (including £3,500 deposit contribution)
  • Total amount payable by customer to buy car: £48,226
  • Cash price: £44,195
  • Mileage allowance: 10,000 miles per year
  • APR: 3.9%

Land Rover Discovery Sport PCP deal

PCP: Toyota GR Supra

Best new car under £400 a month for: muscle car looks

2019 Toyota GR Supra

If you're looking for a great GT car that's filled with heritage and attitude, look no further.

Toyota set out from the get go to make it an enjoyable yet every day kind of sports car. By and large it has succeeded. And while the Alpine A110 and Porsche 718 Cayman are both brilliant too, there's no denying that the Supra is just that much better to deal with day to day as it's a bit less pointy, making it more comfortable on longer runs.

0% APR is generous for this kind of car. Plus, it's backed by Toyota's five-year warranty. Obviously the deposit is massive, but it's a savvy way to buy an expensive car outright.**

Toyota GR Supra PCP deal

  • Monthly cost: £419 (23 payments)
  • Deposit: £9,192 (including £2,000 deposit contribution)
  • Total amount payable by customer to buy car: £54,340
  • Cash price: £54,340
  • Mileage allowance: 10,000 miles per year
  • APR: 0%

PCP: BMW 2-Series Convertible

Best new car for £400 a month for: wind-in-the-hair thrills

BMW 2 Series Convertible

The 2 Series Convertible is certainly no spring chicken (it's been around since 2015) but there's no denying that a hefty deposit contribution and low APR help keep it hugely appealing.

As does its looks. The 2-Series is a sleek and svelte looking thing, and among the best looking BMWs of the modern era. The front grille is still small...unlike with more modern Beemers like the new 4-Series.

This deal includes the extremely popular M Sport package, which adds 18-inch alloys, a bodykit, and sportier (harder) suspension.**

BMW 218i Convertible M Sport

  • Monthly cost: £400.46 (47 payments)
  • Deposit: £4,000 (including deposit contribution of £1,867.86)
  • Total amount payable by customer to buy car: £34,967.16
  • Cash price: £32,820
  • Mileage allowance: 10,000 miles per year
  • APR: 2.9%

BMW 2-Series Convertible PCP deal

What to read next - car finance

>> Best cars for £90 per month
>> Best cars for £100 per month
>> Best cars for £150 per month
>> Best cars for £200 per month
>> Best cars for £300 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.

** These deals are indicative examples of some packages available as at 15 October 2020, 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.