If you’ve got £300 per month to spend on a new car, there are all manner of different vehicles you could choose from. A wide variety of hatchbacks, hybrids, SUVs and even all-electric cars can be found within your budget and lots of them have performed very well in our tests. To give you a solid starting point, we’ve picked the best new cars for under £300 a month in the list below.
At present, the majority of the car finance deals with the lowest monthly prices are on a Personal Contract Hire (PCH) basis. This is an agreement where you will lease the car for a limited period of time, but will not have the option to own the car at the end of your contract.
If you would like the option of owning the car, we’ve also included some Personal Contract Purchase (PCP) deals. These tend to work out more expensive in terms of monthly payments but do allow you to build up equity in the car and have the option to own it at the end of the deal.
Where possible, we’ve stuck to 48-month contracts with a deposit based on nine months’ worth of payments. This spreads the deposit over four years rather than two or three, while giving longer to save up a downpayment for whatever car comes next.
These prices are representative of the kind of deals available on the UK market at the time of publication. For lease deal, we’ve linked to our leasing partner site leasing.com, which pulls together leasing offers from a range of top providers, so that you can check on exactly what’s available for that car on the market right now. We’ve sourced the PCP deals directly from the manufacturers, but similar offers from third-party providers are also available.
Best new cars for under £300 per month
Citroen C5 Aircross – £277 per month
Model: C5 Aircross 1.2 PureTech Shine
Deposit: £2,488
Term: 48 months
Type: Personal Contract Hire
Engine: 1.2-litre 3cyl petrol
Seats: 5
Economy: 46.7 mpg
Boot space: 580 litres
Here is yet another car that shows what a good place Citroen is in currently. With the SUV’s focus on comfort rather than sportiness and an intriguing design that stands out amidst more generic-looking rivals, it offers something truly unique in the segment.
It’s also well equipped, and you can expand the boot to an impressive 720 litres by sliding the rear bench forward. We’ve picked Shine trim, and in this model, that is paired with an eight-speed automatic gearbox.
View the latest Citroen C5 Aircross deals at Leasing.com…
Ford Puma – £266 per month
Model: Puma 1.0 EcoBoost mHEV Titanium
Deposit: £2,392
Term: 48 months
Type: Personal Contract Hire
Engine: 1.0-litre 3cyl petrol
Seats: 5
Economy: 52.3 mpg
Boot space: 456 litres
We rate Ford’s smallest SUV very highly. It provides best-in-class handling, and the 1.0-litre mild-hybrid EcoBoost engine is punchier than you might expect. The Puma is practical, too, with a roomy interior that belies its modest footprint, and a 456-litre boot.
The best feature of all can be found underneath the boot floor: the vast ‘Megabox’ compartment, which includes a drain plug, so it can be hosed out if, for example, it’s been used to carry muddy walking boots. Our deal is for a Puma Titanium, which offers a more comfortable drive than the sportier ST Line.
View the latest Ford Puma deals at Leasing.com…
Hyundai Tucson – £256 per month
Model: Tucson 1.6 TGDi 48V MHEV SE Connect 2WD
Deposit: £2,402
Term: 48 months
Type: Personal Contract Hire
Engine: 1.6-litre 4cyl petrol
Seats: 5
Economy: 42.2 mpg
Boot space: 620 litres
The Tucson has won the Mid-Size SUV category of our New Car Awards twice in a row, and that’s thanks in large part to how spacious it is inside. You get loads of head and legroom, plus a huge 620-litre boot. It also looks fantastic, in a way that would have been hard to imagine for a Hyundai only a few years ago.
And although the Korean company has been pushing upmarket, the Tucson still represents great value. Here, £276 a month secures you a Tucson SE Connect with a 1.6-litre mild-hybrid petrol engine hooked up to a smooth-shifting dual-clutch automatic gearbox.
View the latest Hyundai Tucson deals at Leasing.com…
Kia Sportage – £275 per month
Model: Sportage 1.6T GDi ISG 2
Deposit: £2,475
Term: 48 months
Type: Personal Contract Hire
Engine: 1.6-litre 4cyl petrol
Seats: 5
Economy: 42.2 mpg
Boot space: 592 litres
This deal for the Sportage works out a bit more costly than the one for the related Hyundai Tucson. But the Kia is a little newer, which means it has a better cabin design and superior tech, with a slick touchscreen infotainment system and digital instruments placed side by side to give the impression of one large, wraparound display.
Material quality is excellent, and even in this base trim grade, the standard spec is good. Finally, it’s a handsome model, although we reckon the Tucson might just look a little better.
View the latest Kia Sportage deals at Leasing.com…
Mazda CX-30 – £299 per month
Model: CX-30 2.0 e-Skyactiv G MHEV SE-L Lux
Deposit: £1,794
Term: 48 months
Type: Personal Contract Hire
Engine: 2.0-litre 4cyl petrol
Seats: 5
Economy: 50.4 mpg
Boot space: 430 litres
Mazda does things a little differently, so amidst the small, turbocharged three and four-cylinder engines, a 2.0-litre naturally aspirated unit powers this CX-30. It’s hooked up to a fantastic manual gearbox and a great chassis, but this SUV is about more than fun.
It’s also very well built and stylish, although space in the rear of the car is a little tight. For this money, you’ll also only be looking at the lower-spec SE-L Lux trim.
View the latest Mazda CX-30 deals at Leasing.com…
MG4 – £299 per month
Model: MG4 125kW SE EV 51kWh
Deposit: £2,687
Term: 48 months
Type: Personal Contract Hire
Engine: 51kWh battery, 1x e-motor
Seats: 5
Range: 220 miles
Boot space: 365 litres
Compared with other EVs that have the same kind of range, the MG4 stands out for being astonishingly good value, and that’s the case whether you’re paying up front in full or monthly.
This deal is for the smaller-battery model, but that still gives an official range of up to 220 miles. Perhaps the most incredible thing about the 4 is that it comes with 150kW rapid-charging capability, so you don’t need to wait long when the battery needs topping up. It’s even quite fun to drive, and while it has a few weak spots, they’re forgivable.
View the latest MG4 deals at Leasing.com…
Skoda Octavia – £260 per month
Model: Octavia 1.0 TSI SE Technology
Deposit: £2,344
Term: 48 months
Type: Personal Contract Hire
Engine: 1.0-litre 3cyl petrol
Seats: 5
Economy: 54.7mpg
Boot space: 600 litres
The Octavia’s reign as the most practical player in the C-segment has continued. The boot has grown by 10 litres for this current version, so there’s now a massive 600 litres, 220 more than in the Octavia’s platform-mate, the Golf. The Skoda also shows up the Volkswagen by feeling noticeably plusher inside.
It’s not the bargain it once was, though, as shown by a £260 monthly payment securing only the smallest engine with the second-from-bottom trim level. It’ll still be excellent in that form, though.
View the latest Skoda Octavia deals at Leasing.com…
PCP deals
Renault Arkana – £260 per month
Model: Arkana Evolution E-Tech Full Hybrid 145
Deposit: £4,218
Term: 24 months
Type: Personal Contract Purchase
Engine: 1.6-litre 4cyl hybrid
Seats: 5
Economy: 57.6mpg
Boot space: 480 litres
The Renault Arkana is ideal for those seeking the higher driving position of an SUV combined with the sleeker roofline of a coupe. There’s a big bonus with this deal, too, as Renault is offering the Arkana on a PCP deal with 0% interest – at the time of publication.
The Arkana on offer here is the full-hybrid ‘E-Tech’ model, which can return up to 57.6mpg. This means you should be able to save even more when it comes to running costs.
View the latest Renault finance deals…
Volkswagen Golf – £294 per month
Model: Golf Life 1.0 TSI 110PS 6-speed Manual
Deposit: £5,153
Term: 48 months
Type: Personal Contract Purchase
Engine: 1.0-litre 3cyl petrol
Seats: 5
Economy: 52.3mpg
Boot space: 381 litres
The Volkswagen Golf is one of the UK’s best-selling cars and it’s pretty easy to see why. It’s practical, easy to live with and there’s a version for just about everyone, including an estate and the hardcore ‘R’ hot hatch.
The Golf on offer here is in the base ‘Life’ spec, and while this may not offer the thrills of a GTI, it has the basics covered and should prove to be a dependable car for most everyday tasks. The standard kit list includes rain sensing wipers, adaptive cruise control and 16-inch alloy wheels.
View the latest Volkswagen finance deals…