Best new cars for £250 a month or less

Looking for an affordable new car on finance? Here are five great options

It’s quite well known that the prices for the majority of things are going up – from your food shop right the way through to electric bills and house prices. 

These price rises are unsurprisingly not escaping the car market either, with both new and used vehicle prices on the up. However, thanks to the rise of low-rate finance offers, it means you can get behind the wheel of a new vehicle at a lower monthly cost than you might expect. 

Here we’ve set a £250 monthly budget, with a range of superminis, city cars, hatchbacks and even family SUVs available for within this amount. Here are the five of the best new cars you can get for £250 a month and less. 

MG HS

MG prides itself on its excellent value for money, and arguably the best-value model in its range is the HS. It’s a practical family SUV that offers a smart design, plenty of interior space and a generous amount of equipment, and all at a price that undercuts pretty much all its rivals. 

It’s also very affordable to finance, with MG currently offering the HS for just £219 a month over a four-year contract, while even the £3,976.89 deposit isn’t too extortionate. This buys the HS with a punchy 160bhp 1.5-litre turbocharged petrol engine, while even this entry-level Excite version comes with loads of equipment, such as 17-inch alloy wheels, a 10.1-inch touchscreen with satellite navigation and a reversing camera. 

Model: MG HS Excite 1.5 T-GDI 6-speed Manual

Monthly payments: 48 x £219

Customer deposit: £3,976.89

Deposit contribution: N/A

Total at end of contract: £14,269.89

Optional final payment: £8,639.10

Total paid to own the car: £22,908.99

Cash price: £22,095

APR: 1.9 per cent

Annual mileage allowance: 8,000

Enquire on a new MG HS

Mini Hatch

The Mini Hatch is one of the more premium superminis on the market, but thanks to its impressive resale values, it’s not as expensive to finance as you might expect. Offering an upmarket interior, loads of style and a fun driving experience, it’s one of the best small cars on the market. 

Plenty of versions are available for under £250 a month, but here we’ve picked the Cooper Classic, which uses a punchy 134bhp 1.5-litre petrol engine that gives the Mini plenty of poke, while standard equipment includes features like LED headlights, an 8.8-inch touchscreen and cruise control. With a £2,300 deposit, you can get the Mini for £243 a month over four years. 

Model: Mini 3-Door Hatch Cooper Classic

Monthly payments: 47 x £242.81

Customer deposit: £2,300

Deposit contribution: N/A

Total at end of contract: £13,712.07

Optional final payment: £7,933.26

Total paid to own the car: £21,645.33

Cash price: £18,805

APR: 5.9 per cent

Annual mileage allowance: 8,000

Enquire on a new Mini Hatch

Citroen C4

Citroen’s range of cars are ideal if you want something a bit different to look at, while also comfortable. It’s something Citroen’s new C4 hatchback is very good at, and though this funky SUV-like hatchback is available as an EV, for £250 a month you’ll have to stick with the petrol, though the turbocharged 1.2-litre petrol engine is smooth and will be cheap to run.

Here we’ve picked the entry-level Sense trim, which still comes with loads of equipment, such as a 10-inch touchscreen, digital instrument cluster and large 18-inch alloy wheels. Though Citroen’s current 5.9 per cent APR rate is quite steep, with a £3,287.22 deposit you can get behind the wheel of a new C4 for £239 per month over a four-year contract. 

Model: Citroen C4 Sense PureTech 100

Monthly payments: 47 x £239

Customer deposit: £3,287.22

Deposit contribution: N/A

Total at end of contract: £14,520.22

Optional final payment: £9,792

Total paid to own the car: £24,312.22

Cash price: £20,990

APR: 5.9 per cent

Annual mileage allowance: 6,000

Enquire on a new Citroen C4

Hyundai Bayon

The Bayon is one of the most recent additions to Hyundai’s range, with the firm’s new baby crossover impressing with its smart design, standard equipment and roomy interior. It’s also kitted out with efficient mild-hybrid petrol engines, capable of returning more than 50mpg. 

It’s also terrific value for money, with the Bayon available for less than £210 per month over a four-year agreement, and with a relatively small £3,000 deposit contribution. This is helped by a relatively low 3.9 per cent APR rate, along with a £1,000 deposit contribution. It also comes with plenty of standard kit, such as a 10.25-inch digital instrument cluster, eight-inch touchscreen, reversing camera and 16-inch alloy wheels. 

Model: Hyundai Bayon SE Connect 1.0 100PS Petrol Manual

Monthly payments: 48 x £208.68

Customer deposit: £3,000

Deposit contribution: £1,000

Total at end of contract: £13,016.94

Optional final payment: £8,472.10

Total paid to own the car: £21,489.04

Cash price: £20,520

APR: 3.9 per cent

Annual mileage allowance: 8,000

Enquire on a new Hyundai Bayon

Jeep Renegade

The Jeep Renegade isn’t the most obvious crossover on the market, but if you want something a bit different to most and that stands out from the crowd, it’s certainly worth a look. It’s also got a roomy interior, while standard equipment includes an 8.4-inch touchscreen with smartphone mirroring and 17-inch alloy wheels. 

As the Renegade is a bit more expensive to buy than others on this list, the £4,500 deposit is a bit steeper, though it brings the Renegade in to within £250 a month over a four-month contract. Jeep is also currently offering a generous £2,250 deposit contribution, which despite a 4.7 per cent APR rate, makes it no more expensive to finance than it does to buy. 

Model: Jeep Renegade Longtitude 1.0 GSE T3 120hp

Monthly payments: 47 x £242.94

Customer deposit: £4,500

Deposit contribution: £2,250

Total at end of contract: £15,918.18

Optional final payment: £8,323

Total paid to own the car: £24,241.18

Cash price: £24,100

APR: 4.7 per cent

Annual mileage allowance: 10,000

Enquire on a new Jeep Renegade

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