Although usually it’s much pricier to buy a new car rather than a used car, searching at the cheaper end of the market reveals there are still some good deals out there. And that applies whether you’re using a car finance lender to make monthly payments with a PCP or lease, or forgoing finance deals and buying outright.
At the cheapest end of the spectrum car buyers can say goodbye to brands such as Ford, Volkswagen and Audi, but there are still some great new cars on offer, in a range of body styles. City cars and small hatchbacks can be had for bargain-basement prices, some with useful features such as air conditioning and parking sensors. What’s more, because the cars on this list tend to be small, they are also generally quite light, which means good mpg (or efficiency in the case of the battery electric options), and low road tax (or Vehicle Excise Duty to give it its proper name). Throw in the fact that all will come with a warranty, and you have the potential for tiny running costs.
With that said, here are the 10 cheapest new cars on sale in the UK (prices based on RRP and correct at time of publication. However, brands do update new car deals on a regular basis, and so these are subject to change).
The 10 Cheapest New Cars in the UK
- Citroen Ami (from £7,695)
- Dacia Sandero (from £14,200)
- Dacia Spring (from £14,995)
- Dacia Sandero Stepway (from £15,700)
- Kia Picanto (from £15,845)
- Leapmotor T03 (from £15,995)
- Hyundai i10 (from £16,380)
- MG 3 (from £16,495)
- Toyota Aygo X (from £16,515)
- Fiat 500 (from £16,800)
1. Citroen Ami (from £7,695)
Fancy a lightweight two-seater with electric performance, for just eight grand? Well, you can have just that. OK, OK, so the Ami isn’t exactly the sort of two-seater you probably had in mind. Instead, it’s a tiny electric car (technically classed as a quadricycle) designed specifically for gadding about town. And that really is all it’s useful for, given that its top speed is limited to just 28mph, and it has a range of just 46 miles on a good day. But as a cheap car for second car use, it could be handy for commutes, school runs, or trips to the supermarket. Just be aware that while the Ami is zero emissions, it also offers close to zero comfort, with no air-conditioning, a bumpy ride and the kind of glacial acceleration that could well irritate fellow motorists.
Citroen Ami Review
2. Dacia Sandero (from £14,200)
With strong competition from MG and Citroen, the Sandero's position on this list has moved up and down in recent months (we update it as often as we can to reflect regular price changes). And while it’s perhaps no longer as headline-grabbingly affordable as it once was, it is, once again, the most affordable 'proper' car on this list. It’s also the cheapest car of this size – just – and, crucially, it doesn’t feel quite as bargain-basement as it actually is thanks to a well put-together interior and some upmarket design cues. Beneath the skin sit proven Renault mechanicals, and it’s decent to drive, too, with slick handling and a reasonably comfortable ride that makes it perfectly tolerable not only on short A-to-B urban runs, but also longer motorway journeys. And if you’re willing to pay a bit more, you can upgrade to the Sandero Stepway, which gains a taller ride height and chunky SUV-esque looks, and is arguably even better value for money (scroll down this list for more details).
Dacia Sandero Review
3. Dacia Spring (from £14,995)
OK, so the all-new Dacia Spring isn't the cheapest electric vehicle on this list, but you can argue that it is the cheapest electric car on this list, by virtue of the fact that the Citroen Ami is technically classed as a quadricycle. That gives the Spring certain advantages over the Ami, too. It has to abide by all the same safety regulations as all other cars, while the Ami doesn't, and it has five doors and four seats (the Ami has two and two, respectively) and a proper 308-litre boot (the Ami doesn't have one to speak of). The dinky Spring looks the part, too, with its miniature SUV styling. OK, so we won't pretend there aren't compromises. The cheapest version of the Spring has just 45 metric horsepower, and as such, takes 19.1 seconds to get from 0-62mph. Still, at least it can (the Ami can only reach 28mph), and it'll do 78mph when maxed out. It only has a small 26.8kWh battery, but its light weight of 951kg (unheard of for an electric car) means it is capable of a decent range.
4. Dacia Sandero Stepway (from £15,700)
The Dacia Sandero Stepway is a jacked-up version of the Sandero supermini that features in higher up on this list. It’s still not a proper SUV like Dacia’s Duster, but with its chunky body cladding and moderately elevated ride height the idea is that it takes on some of that aesthetic, and in fairness it does a pretty good job in that regard. Like the regular Sandero, it also boasts a modern interior and decent driving characteristics. If you're in the market for a small crossover with a very competitive list price, the Sandero Stepway is far from a bad option.
Dacia Sandero Stepway Review
5. Kia Picanto (from £15,845)
The Kia Picanto used to sit a lot further towards the top of this list, but a recent facelift has brought modest price hikes that have seen the car shuffle down the order a bit. Having said that, the facelift means the Picanto is now better - and better looking - than ever, and the fact that it's still cheap enough for inclusion on this list is good news. Even in its most basic of trim levels, the Picanto is a great little car to drive, with perky handling and a reasonably comfortable ride. Then there’s the space – like its close relation, the Hyundai i10, the Picanto is a roomy little car, with space for four adults and a usefully sized boot. It boasts excellent fuel economy and a very low insurance group, too, and while the entry-level version isn’t very well equipped, you do get most of the essential stuff, plus a robustly built and smartly styled interior. Oh, and the Picanto comes with a whopping seven-year warranty. Think of it this way, then: you’re paying £2,263 for each year of warranty, and you get a free brand-new car thrown in. What a deal!
Kia Picanto Review
6. Leapmotor T03 (from £15,995)
As the UK's second-cheapest electric car, the Chinese-built Leapmotor T03 city car offers impressive value for money. With a 37.3kWh battery delivering a claimed 165-mile range, it outperforms its main rival, the cheaper Dacia Spring. The single electric motor produces 95bhp, enabling a 0-62mph time of 12.7 seconds. Despite its compact dimensions (3,620mm length), it's a four-seater with some surprisingly premium features including a 10.1-inch touchscreen, semi-panoramic roof, and advanced safety features like adaptive cruise control. Charging capabilities include 48kW DC fast charging (30-80% in 36 minutes) and 6.6kW AC charging. The T03 comes in a single trim level is being sold through Leapmotor International, a joint venture between Leapmotor and Stellantis.
7. Hyundai i10 (from £16,380)
Like most of the other cars here, the Hyundai i10 is designed for use in the city, but inside it majors on practicality and interior space, which means you can fit four adults – and a decent amount of luggage – in with relative ease. What’s more, the i10 can boast one of the smartest interiors of any car in this list, with high-quality materials that belie its price. And while it isn’t quite as sharp to drive as some of its rivals, it’s perfectly pleasant, not to mention surprisingly comfortable for such a small car, and competent on the motorway, too. But the real cherry on the cake is the five-year, unlimited-mileage warranty.
Hyundai i10 Review
8. MG 3 (from £16,495)
When this second-generation version of the MG 3 supermini was first released in mid-2024, it was offered exclusively with a self-charging-hybrid powertrain. And while it was impressively affordable for a hybrid, the sophistication of the running gear on board prevented it from being property cheap. MG has sorted that now, though, and the Hybrid+ version has been joined in the MG 3 range by a new petrol-only version. This version is even cheaper as a result, to the tune of around two grand, and that wedges the car firmly within our list of the cheapest cars on sale. We haven’t driven this derivative yet, but the numbers sound fairly promising. It has a 1.5-litre engine with 113bhp, making it capable of 0-62mph in 10.8 seconds, and official WLTP figures say it’ll return an average of 46.3mpg. We also expect the same mix of smart styling, impressive quality, decent practicality and generous equipment that we observed with the Hybrid+ version.
MG 3 Review
9. Toyota Aygo X (from £16,515)
It's much harder to make a good profit on a small car than it is on a big SUV, which is one of the reasons manufacturers have moved away from models like the Aygo: city cars from the likes of Peugeot, Nissan, Vauxhall and Skoda have all gone the way of the Dodo in recent years. Toyota isn't quite ready to abandon this segment yet, however, and has cleverly designed its latest Aygo with a bit of SUV attitude to help it attract buyers who like the chunky off-road styling but want it in a more affordable and smaller package. Rivals might be better to drive, but the Aygo X still has lots to recommend about it, not least the potential for a 10-year Toyota warranty.
Toyota AYGO X Review
10. Fiat 500 (from £16,800)
Hands up who knew that one of the most fashionable small cars on sale is now one of the cheapest? Yes, the Fiat 500 used to be quite an expensive city car, but these days prices have fallen relative to other new cars on the market, and as a result, the 500 is now surprisingly affordable. But despite its age, the 500 is no less desirable than it once was, with adorable retro looks and a sweetly styled interior. These days, the 500 comes with a mild hybrid petrol engine, too, which helps it sip fuel.
Fiat 500 Review
(All prices correct at time of publication but are subject to change and should be independently verified by checking the relevant manufacturer websites.)