Best new car deals 2020 - PCP, cash, and leasing

  • The best cars for your budget
  • The biggest car discounts
  • The full low down on lease deals, 0% APR finance, and cash savings

Understandably, car buying isn't top priority for many at the moment. But if you are thinking about your next motor, there's good news, because car dealers are now back open for business.

>> Don't fancy visiting a dealership? Here's how to buy online

Car manufacturers and websites are reporting on increases in traffic following on from the COVID-19 pandemic. And there are plenty of new offers out there. So let Parkers guide you through where to find the best new car deals.

We’ve walked the hard metaphorical miles and fished-out the best-value car deals available right now for the general car buyer. Leasing, PCP, and cash deals are all covered here.

>> Your Coronavirus (COVID-19) related questions answered

With car finance splitting the cost of a new car into affordable chunks, the best new car deals mean that you can get a more upmarket or higher-spec car than you might expect, all without breaking the bank. Below we’ve rounded up the best value offers – whatever your budget:

Check out some of our favourite new car offers below and work out how much you can afford to borrow with our finance tool. Plus you can always visit our cars for sale section for used car deals. And when you come to sell your current vehicle, make sure you get a car valuation from us to ensure you get a good price.

The best new car deals: PCH personal leasing

PCH personal leasing is the simplest way of getting behind the wheel of a brand new car. Put down your initial payment, lay out those monthly payments, then that's it. You hand the car back at the end of the contract.

If you like keeping your cars for a long time, PCP and HP deals are usually better value. But if you do like changing your car every two to three years, then leasing is a wise choice.

>> How does leasing work?

PCH personal leasing - Renault Zoe GT Line: stylish electric supermini for £209/month

2020 Renault Zoe

Even just two years ago, electric cars were unfeasibly expensive for most people. But now, times have changed and prices are coming down to on par with regular petrol-powered cars.

The Renault Zoe is a prime candidate for your first electric car. It looks almost exactly like a conventional supermini, has an automatic-style gearbox, plus no nasty emissions coming out of tailpipes.

With more than 250 miles available on a full charge, most people would only need to plug in once every couple of weeks.*

Renault Zoe GT Line 100kw

  • Monthly cost: £209 (23 payments, incl. VAT)
  • Initial payment: £1,750 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £6,656
  • Mileage allowance: 8,000 miles per year

PCH personal leasing - Skoda Kodiaq: seven-seat SUV for £269/month

2020 Skoda Kodiaq

The Skoda Kodiaq is a full-size seven-seat off-roader without the full-size price tag. How much practicality per £ are you getting? Well, it's the largest car Skoda makes, and even the rear two seats will fit a pair of adults. The boot - at 835 litres, is a good size, and even with those rear two seats erect, it's more than respectable.

On offer here is the most-basic 1.5-litre petrol. It's not the fastest, but the official MPG is up to 47.9. SE L is one spec above the bottom - but you'll still get 19-inch alloy wheels and a 9.2-inch infotainment system.*

Skoda Kodiaq 1.5 TSI SE L

  • Monthly cost: £269 (35 payments, incl. VAT)
  • Initial payment: £2,000 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £11,514
  • Mileage allowance: 8,000 miles per year

PCH personal leasing – Audi A3: Impress the neighbours for £195/month

2020 Audi A3 front

You know the deal by now. The Audi A3 is a posh Volkswagen Golf. Except, with this latest generation, new for this year, it's a bit different. There's a bigger gap in quality now between the Golf and A3 - meaning A3s are a bit of an underground bargain. 

Best of all the A3 feels like a bigger and more expensive Audi inside. The interior is posh and plush, and it's the ideal size for city commuting - while offering a big enough boot (380 litres) and enough rear-leg room for the school run too.

There's almost an overwhelming amount of choice for buyers in terms of trims and engines. This offer is for a 1.0-litre petrol engine with a manual gearbox - capable of 52mpg.*

Audi A3 30 TFSI Technik

  • Monthly cost: £195 (35 payments, incl. VAT)
  • Initial payment: £1,500 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £8,424
  • Mileage allowance: 8,000 miles per year

PCH personal leasing – Mercedes-Benz C-Class: family-friendly saloon for £385/month

Mercedes C-Class rear

Saloon cars are still the go-to for people who want ultimate relaxation. And the Mercedes C-Class, while not best in category outright, is the most relaxing car to drive in the compact executive class of cars. Put this down to big comfy seats, soft suspension, and an interior that looks and feels extremely well-made.

The C200 on offer here is a 1.5-litre petrol. This might not sound like a lot, but it's a turbocharged engine which means 184hp, and a 0-62mph time of 7.7 seconds.

SE trim levels are bottom rung of the ladder. However, these cars still come with plenty of kit, like park assist, driving modes, and a 10.25-inch infotainment screen.*

Mercedes-Benz C-Class C200 SE

  • Monthly cost: £385 (35 payments, incl. VAT)
  • Initial payment: £2,500 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £16,074
  • Mileage allowance: 8,000 miles per year

PCH personal leasing – Volkswagen T-Cross: chunky Polo for £181/month

Volkswagen T-Cross

Like the idea of a Volkswagen Polo, but just wish it was a bit chunkier? VW has your back. The T-Cross shares underpinnings with the Polo, but it's been ruggedised for that SUV vibe.

The benefit of this is that you get a jacked up car, without the jacked up running costs. For instance, the 1.0-litre engine on offer here can crack above 45mpg.*

Volkswagen T-Cross 1.0 TSI S

  • Monthly cost: £181 (35 payments, incl. VAT)
  • Initial payment: £1,250 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £7,684
  • Mileage allowance: 8,000 miles per year

PCH personal leasing – Alfa Romeo Stelvio: Italian gusto for £427/month

Alfa Romeo Stelvio

In case you weren't aware, the Stelvio is named after one of Italy's highest and most challenging alpine passes. It's famed for its tight hairpins - meaning this Alfa has a lot to live up to. Luckily, it's worthy of the name.

For an SUV, the Stelvio is remarkably good fun to drive. It barely rolls in the corners, making the Stelvio feel like a much smaller and agile car. Don't confuse this with a Nissan Qashqai rival - its biggest competition is the Porsche Macan.

And at this price, it's hard to recommend a Porsche. Your £444 per month bags you a Stelvio with a 200hp 2.0-litre petrol engine, 19-inch alloys, drive modes, and a reversing camera.*

Alfa Romeo Stelvio 2.0 200 Sprint

  • Monthly cost: £427 (47 payments, incl. VAT)
  • Initial payment: £4,000 (Plus £99 processing fee)
  • Total amount payable by customer to lease car and return (excluding excess mileage charges and any end of contract charges): £24,168
  • Mileage allowance: 8,000 miles per year

*These deals are indicative examples of some packages available as of 19 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.

The best new car deals: Personal Contract Purchase (PCP)

Like the idea of running a brand new car for an affordable monthly payment – with the option to hand the car back at the end of the contract or buy it outright? You need PCP finance.

Beware: the difference between the best and worst PCP deals is enormous. Do your homework, though, and you can bag a great car for far less per month than you might expect.

PCP finance –  Ford Focus: £275/month, £4,968 deposit, 0% APR

2018 Ford Focus driving

How good is the Focus? Well it took the crown for the Parkers Small Family Car of the Year. We love its spacious interior, and the way it drives.

It's also packaged in a way that's extremely easy to use and understand. Good kit levels too - especially for the ST-Line that's up for grabs here.**

Ford Focus ST-Line 1.0 EcoBoost MHEV 125

  • Monthly cost: £275 (36 payments)
  • Deposit: £4,968 (including £500 deposit allowance)
  • Total amount payable: £24,960
  • Cash price: £24,960
  • Mileage allowance: 9,000 miles per year
  • APR: 0%

PCP finance – Volkswagen Tiguan: £255/month, £9,380 deposit, 0% APR

Volkswagen Tiguan PCP deal

Sensible sells. And not much is as sensible as a Volkswagen SUV. The high-quality, practical interior is lovely to sit in, and there's no denying that the VW moniker has plenty of badge appeal.

The model on offer here is called Match. It's a nameplate dragged out by VW when a car is getting on a bit - and it provides great value for money. It's loaded with kit like keyless entry and sat-nav.

As a jack-of-all-trades it's very difficult to match - and the 1.5-litre petrol is smooth and quiet and great if you don't cover a lot of miles.**

Volkswagen Tiguan Match 1.5 TSI

  • Monthly cost: £229 (47 payments)
  • Deposit: £7,965.60
  • Total amount payable: £28,220
  • Cash price: £28,220
  • Mileage allowance: 10,000 miles per year
  • APR: 0%

PCP finance – Audi A8: £739/month, £10,848.29 deposit, 3.9% APR

2020 Audi A8 rear

The A8 is Audi's flagship - a car designed to show off the company's technical innovations, and act as a showcase for what other Audis will look and feel like in the future. This might sound like a big ask, but the A8 delivers.

It's a brilliant car for passengers, and is used by many chauffeurs. But if you want to drive one, you'll be treated to a smooth ride thanks to clever air suspension, while Audi's amazing digital dashboard will wow most people.

The offer here is for the sensible 3.0-litre diesel engine, which should crack nearly 50mpg. The deal includes £16,000 off thanks to a deposit contribution.**

Audi A8 50 TDI

  • Monthly cost: £739 (47 payments)
  • Deposit: £10,848.29 (after £16,000 manufacturer deposit contribution)
  • Total amount payable: £78,671.34
  • Cash price: £73,765
  • Mileage allowance: 10,000 miles per year
  • APR: 3.9%

PCP finance – Volvo XC60: £390/month, £7,630 deposit, 0% APR

2020 Volvo XC60

The XC60 is a stylish luxury SUV, packed with advanced safety kit and tech. It's also a left-field alternative to the likes of the BMW X3, Audi Q5, and Mercedes-Benz GLC. But thanks to keen finance deals, the XC60 is a good chunk cheaper.

This model on offer is a sensible mild hybrid diesel, in front-wheel drive configuration. Not putting drive to the rear wheels ensures a 45.6mpg rating - but don't think it's slow. There's 245hp on tap from the 2.0-litre diesel engine.

Momentum spec cars get a 12.3-inch portrait-style infotainment system, Pilot Assist adaptive cruise control, and adjustable drive modes. Deposit contribution and 0% APR makes this a bargain.**

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%

PCP finance – Toyota Yaris GR: £299/month, £6,378 deposit, 0% APR

2020 Toyota Yaris GR

260hp. Four-wheel drive. 0-62mph in 5.5 seconds. And all for less than £300 per month. 

Power being sent to all four-wheels and a very short wheelbase makes the GR Yaris super darty and responsive, two traits associated with the creme de la creme of hot-hatchbacks.

0% APR sweetens the deal.**

Toyota Yaris GR

  • Monthly cost: £299 (24 payments)
  • Deposit: £6,378
  • Total amount payable: £29,995
  • Cash price: £29,995
  • Mileage allowance: 8,000 miles per year
  • APR: 0%

The best new car deals: Cash

The phrase 'cash is king' is often repeated at business conferences up and down the A1. And sometimes it's even true. If you want to own and keep your car for a while, cash deals are refreshingly simple. Car manufacturers rarely do cash deals on new cars anymore - but there are plenty of brokers offering huge cash discounts on new cars.

Cash discount – Kia Sportage: save £4,049

Kia Sportage rear

A seven-year warranty, reliable engines, a spacious interior, and loads of equipment. These are the reasons people flock to the Kia Sportage like a seagull to a box of chips on Brighton beach.

It's big and boxy, but feels a lot smaller when you're behind the wheels thanks to light controls. While the 1.6-litre diesel is capable of up to 49.6mpg. Even during our testing, the mild hybrid averaged close to 45mpg.**

Kia Sportage 1.6 CRDi

  • List price: £25,042
  • Discounted price: £20,993
  • Saving: £4,049

Cash discount –  Fiat Tipo: £4,872 saving

2020 Fiat Tipo

The Fiat Tipo lacks much in the way of Italian brio. It's a relatively safe design that doesn’t make much attempt to stand out from the crowd, and despite a smattering of interesting detailing – the headlights, grille and bodyside creasing, for instance – it nevertheless blends in with the plethora of generic small hatchbacks on sale.

Huge cash discounts are a hallmark of the best new car deals - and more than £5,000 off makes this Tipo a bargain. There’s plenty of space once aboard the Tipo, including a welcome 440-litre boot, which makes it one of the roomiest in the class. Discounts available in a number of different places too.**

Fiat Tipo Street 1.4 95hp

  • List price: £16,870
  • Discounted price: £11,998
  • Saving: £4,872

Cash discount – SEAT Arona: £2,998 saving

2018 SEAT Arona

The Arona is aimed at people who have outgrown the SEAT Ibiza. Whether that's physically, with the addition of kids, or, mentally, as people's tastes migrate from superminis to mini SUVs.

It shares oily bits with the Volkswagen T-Roc, but is considerably cheaper. Inside, it is plain, but well thought out and roomy, with a 400-litre boot.

The 1.0 TSI on offer here is the one to go for if you don't regularly travel up and down motorways.**

SEAT Arona 1.0 TSI FR

  • List price: £22,009
  • Discounted price: £19,011
  • Saving: £2,998

Cash discount – SsangYong Tivoli XLV: £1,500 saving

Ssangyong Tivoli rear

>> The cheapest new SUVs for sale in the UK

An updated SsangYong Tivoli has just been released, meaning the previous-generation models are on sale. You'll still get a new car, but you'll need to pick from current stock.

The Tivoli XLV is a bit like a Tivoli estate. It's 245mm longer than the regular Tivoli, meaning boot space jumps from 423 litres to 720 litres. 

Your £16,395 buys you leather seats, keyless entry, sat-nav, and a rear parking camera.**

SsangYong Tivoli XLV EX

  • List price: £20,145
  • Discounted price: £18,645
  • Saving: £1,500

Cash discount – Ford Mondeo: £3,300 saving

Ford Mondeo moving

The Ford Mondeo's popularity was once the stuff of legend. Today, it's not even a top 10 bestseller.

However, the Mondeo remains a big saloon that's comfortable chewing up mega mileages in refinement. Plus, this model is a hybrid. Not many cars out there are this big, comfortable and economical for £22,979 cash.**

Ford Mondeo 2.0 Zetec Hybrid

  • List price: £26,279
  • Discounted price: £22,979
  • Saving: £3,300

What to read next - learn more about car finance

>> Best new cars for £90 per month
>> Best new cars for £100 per month
>> Best new cars for £150 per month
>> Best new cars for £200 per month
>> Best new cars for £300 per month
>> Best new cars for £400 per month
>> Best new cars for £500 per month

Further reading

>> 0% APR finance: how it works and the latest deals
>> No deposit deals
>> 0% APR with no deposit deals
>> How to lease a car with bad credit
>> Lease or buy?
>> Best electric cars to lease
>> Scrappage schemes: why they can save you thousands

** These deals are indicative examples of some packages available as of 19 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.