Best new car deals 2022

Thinking of buying a new model? Check out our list of the best new car deals right now

The golden rule when buying a new car is to do your research. This is a big purchase and there could be a brilliant new car deal out there on the very model you’ve been considering, or even a low cost finance package that means you can afford a car you thought was out of your price range. 

Trawling through endless lists of new car finance deals can be a bit of a slog, of course, and that’s why we’ve compiled this list of the best deals currently on the market. We’ve looked at finance packages from all of the major car manufacturers to find the best new car deals for 2022. We’re focusing on Personal Contract Purchase (PCP) plans, since most people use this type of finance to buy new cars but we also have a page of leasing deals for those who prefer that car finance method.

There are three main things you need to keep an eye out for when new car bargain hunting. The deposit, monthly repayments, and optional final payment are all key to getting a great deal, and if you’re not sure about what those are, read our handy PCP finance guide

It’s also important to know the APR interest rate, the length of the agreement, the mileage limit and the size of any deposit contributions the manufacturer will make. Most of our deals assume you’ll be putting down a deposit of around 10 to 15 per cent, and will be covering around 8,000 miles a year but the flexibility of PCP car finance means you’ll be able to adjust the deals to your own requirements. 

Best new car deals 2022

Below you’ll find the best new car finance deals we can find on new cars that our reviewers rate. We hope there’s a bargain here for you…

Top 10 best new car deals 

  1. Toyota Yaris - £194 per month
  2. Renault Captur - £219 per month
  3. Ford Fiesta - £260 per month
  4. Fiat 500 - £279 per month
  5. Dacia Sandero - £178 per month
  6. Vauxhall Corsa-e - £269 per month
  7. Ford Puma - £275 per month
  8. Hyundai Tucson - £298 per month
  9. Skoda Karoq - £272 per month
  10. Mazda MX-5 - £289 per month

Best city car deals

Fiat 500 - £279 per month

  • Model: Fiat 500 Icon
  • Per month: £279
  • List price: £27,335 (includes PiCG)
  • Deposit: £4,995
  • APR: 4.9%
  • Deposit contribution: £700
  • Number of payments: 36
  • Final payment: £13,224 

Our reigning city car champ is one of the country’s most cost-effective small runarounds. With its all-electric drivetrain, it costs peanuts to run, while Fiat currently has some tempting finance offers. 

With a £700 deposit contribution and the Government’s £1,500 grant for plug-in cars, the 42kWh 500 Icon costs £279 a month. That’s just £30 more than the 24kWh model, which will only go half as far on a charge (115 miles compared with 199 miles). Factor in its cheeky looks, zippy performance and an upmarket interior that’s packed with kit, and the Fiat appeals to the head and the heart.

Hyundai i10 - £193 per month

  • Model: Hyundai i10 1.0 MPi SE Connect
  • Per month: £193
  • List price: £14,420
  • Deposit: £1,500
  • APR: 5.5%
  • Deposit contribution: £500
  • Number of payments: 48
  • Final payment: £5,105 

The Hyundai i10 is one of the most spacious cars in its class, with five doors, a reasonable amount of rear legroom and a sizeable 252-litre boot. Not only is it bigger inside than you might expect, but it’s loaded with useful tech and cost effective to run. The i10 also comes with Hyundai’s five-year/100,000-mile warranty, which is more generous than Ford or Volkswagen offer. 

Look beyond the sensible stuff, though, and you’ll find it’s smartly styled and boasts an interior that has more than a hint of premium appeal, plus great connectivity. As you’d expect, the i10 is a doddle to drive, with light steering, assured handling and decent refinement, meaning this city slicker is just as at home on the open road. 

Renault ZOE - £254 per month

  • Model: Renault ZOE S Edition R135 EV50 Rapid Charge
  • Per month: £254
  • List price: £29,095 (includes PiCG)
  • Deposit: £5,369
  • APR: 0%
  • Deposit contribution: nil
  • Number of payments: 36
  • Final payment: £14,582

When it comes to affordable EVs, there’s little to touch the Zoe. A refresh last year added a larger 52kWh battery that upped the range to a claimed 245 miles, while the option of 50kW rapid charging takes the stress out of longer journeys.

Its interior is surprisingly roomy and full of tech, including excellent connectivity, and features eco-friendly recycled materials. The Zoe is also easy to drive, with light controls, good performance and excellent visibility. If you’re still nervous about taking the plunge with an EV, tempting zero-per-cent finance deals should help make your mind up.

Best supermini deals

Dacia Sandero - £178 per month

  • Model: Dacia Sandero TCe Comfort
  • Per month: £178
  • List price: £12,345
  • Deposit: £178
  • APR: 5.9%
  • Deposit contribution: nil
  • Number of payments: 48
  • Final payment: £5,774

Dacia’s supermini has always had a bargain-basement price, but this third-generation model adds real substance. For a start, it uses essentially the same platform as the latest Renault Clio, which means composed handling and a comfortable ride. 

The interior is roomier than before, plus all versions get air-con and Bluetooth. Prices start from £10,145, but we’d go for Comfort trim, which adds touchscreen infotainment and is offered with the punchy turbocharged 89bhp three-cylinder petrol. Better still, you can have one for just £178 a month after putting down the same amount as a deposit.

Ford Fiesta - £260 per month

  • Model: Ford Fiesta 1.0 EcoBoost 100ST-Line Edition
  • Per month: £260
  • List price: £22,530
  • Deposit: £4,415
  • APR: 2.9%
  • Deposit contribution: £1,000
  • Number of payments: 36
  • Final payment: £9,296

For decades the Fiesta has been at the top of the sales charts – and it’s not hard to see why. Mixing sparkling driving dynamics with decent practicality and great value for money, it’s one of the best superminis in the business. 

A recent facelift has delivered fresher looks and updated tech, yet Ford is already offering zero per cent finance and healthy deposit contributions. There’s a Fiesta for every taste and budget, but we reckon the best place for your cash is the sporty ST-Line, which gives you the flagship ST hot hatch’s look and tech for less money. 

Hyundai i20 N - £325 per month

  • Model: Hyundai i20 N
  • Per month: £325
  • List price: £25,220
  • Deposit: £3,500
  • APR: 5.5%
  • Deposit contribution: nil
  • Number of payments: 48
  • Final payment: £9,568

There’s nothing wrong with the i20 – it’s a distinctive, spacious and sensibly priced supermini. But it’s the flagship i20 N hot hatchback that steals the headlines. Hyundai’s N cars have helped inject the range with some sparkle, and the hot i20 – aimed squarely at the Ford Fiesta ST – packs a 201bhp turbocharged 1.6-litre engine and an uprated chassis that mixes agility with control. 

Few small cars are as fun as the feisty i20 N yet, a firm ride aside, it’s just as user-friendly as the standard car. When it comes to delivering more smiles per mile for your cash, not much comes close.

Renault Clio - £199 per month

  • Model: Renault Clio TCe 90 Iconic
  • Per month: £199
  • List price: £18,290
  • Deposit: £3,884
  • APR: 0%
  • Deposit contribution: £250
  • Number of payments: 24
  • Final payment: £9,380

Our current supermini champ proves that downsizing doesn’t mean you have to compromise on quality, tech or driver appeal. Full of French design flair and featuring a surprisingly roomy interior, the Clio is a small car that thinks big. 

The grown-up feel continues with nimble handling, a cushioned ride and strong refinement. Then there’s the peppy 89bhp 1.0-litre triple that sips fuel, while Iconic trim has all the kit you’ll need: a slick seven-inch touchscreen with good connectivity, parking sensors and air-con. Attractive zero-per-cent finance is the cherry on top of this tasty cake.

Toyota Yaris - £194 per month

  • Model: Toyota Yaris 1.5 Hybrid Design
  • Per month: £194
  • List price: £21,270
  • Deposit: £3,500
  • APR: 0%
  • Deposit contribution: nil
  • Number of payments: 42
  • Final payment: £9,788

With its funky exterior design and functional but fun interior, the latest Yaris has really turned on the style. Under the skin is a self-charging 1.5-litre petrol-electric hybrid set-up that delivers some impressive efficiency, yet can also supply a decent turn of speed when wanted. 

The Toyota also has the sort of advanced driver aids you’d expect on a much larger car, but while it is a doddle to drive, it isn’t as much fun as a Fiesta. However, if you do want to get your heart racing in a Yaris, then there’s always the rally-inspired, bombastically brilliant, 257bhp four-wheel-drive GR flagship. Either way, some attractive zero-per-cent finance deals should help lure you into your nearest Toyota dealer.

Vauxhall Corsa-e - £269 per month

  • Model: Vauxhall Corsa-e SRi Premium
  • Per month: £269
  • List price: £27,055
  • Deposit: £4,398
  • APR: 5.9%
  • Deposit contribution: £1,750
  • Number of payments: 48
  • Final payment: £12,089

The Vauxhall Corsa was unbeatable in 2021, ending the year as Britain’s best-selling car by a healthy margin – and it’s not hard to see why. This sixth-generation model, based on the same platform as the Peugeot 208, features smart looks, a comfortable interior and grown-up driving dynamics. Plus it’s packed with the sort of tech you’d expect on more expensive cars, yet it costs peanuts to run. 

More importantly, there’s also an affordable all-electric Corsa-e, which packs a 134bhp motor and a claimed 209 miles of range. Factor in its strong acceleration, strong refinement and ease of use, plus generous finance deposit contributions, and we have no doubt that it’s the pick of the range. 

Best hatchback deals

Ford Focus - £310 per month

  • Model: Ford Focus 1.0 EcoBoost 125 ST-Line
  • Per month: £310
  • List price: £25,045
  • Deposit: £4,766
  • APR: 0%
  • Deposit contribution: nil
  • Number of payments: 24
  • Final payment: £13,564

If you value driver fun above all else, then the Focus is the family car for you. Yet there’s more to the Ford than back-road balletics, because it’s also comfortable, reasonably roomy and brimming with kit, including the excellent SYNC 3 infotainment.

There’s also a facelifted version just around the corner, so there’s never been a better time to bag a bargain on the current car. Not only are there discounts to be haggled, the brand is also offering zero per cent APR finance. Some rivals deliver more advanced electrification, more premium appeal and greater style, but few can match the Ford’s dynamic excellence and value.

Tesla Model 3 -  £462 per month

  • Model: Model 3 RWD
  • Per month: £462
  • List price: £44,490
  • Deposit: £8,000
  • APR: 4.9%
  • Deposit contribution: nil
  • Number of payments: 48
  • Final payment: £19,860

Tesla’s Model 3 was Britain’s best-selling EV in 2021, and its appeal is as strong as ever. Its blend of long range and access to the brand’s Supercharger network have made it a sales sensation, even if some rivals shade it for engagement, comfort and refinement. 

Elsewhere, its minimalist interior is spacious, while the touchscreen is dripping with features. In a Performance version, 0-60mph takes a supercar-slaying 3.1 seconds, but the standard model is no slouch and claims 340 miles of range on a charge. Bargains are few and far between, but you should save a packet on running costs.

Toyota Corolla -  £257 per month

  • Model: Toyota Corolla 2.0 Hybrid Design
  • Per month: £257
  • List price: £29,090
  • Deposit: £5,000
  • APR: 0%
  • Deposit contribution: £1,000
  • Number of payments: 42
  • Final payment: £12,555

Until recently, Toyota had struggled to make an impact in the compact hatch class. Yet that all changed when the Corolla arrived in 2019. The British-built machine handles sweetly and rides smoothly, while its hybrid engines offer refinement and up to 60mpg. 

There’s a choice of hatch, saloon and estate bodystyles, and they all deliver an upmarket interior and the latest tech. Plus Toyota is currently offering zero per cent finance and a deposit contribution of up to £1,000. While the 2.0-litre will only cost a few pounds extra over the 1.8-litre, just bear in mind you do lose a little boot space.

Volkswagen Golf -  £257 per month

  • Model: Volkswagen Golf 1.5 TSI Life
  • Per month: £257
  • List price: £25,050
  • Deposit: £3,500
  • APR: 5.2%
  • Deposit contribution: £800
  • Number of payments: 48
  • Final payment: £10,163

For nearly half a century the Golf has been right at the forefront of the family hatchback class, and the evergreen German machine shows no signs of taking its foot off the gas just yet. This latest model is the eighth generation of the car, and it’s as classy, composed and capable as ever. What’s more, it adds the latest safety and on-board tech into the mix, as well as offering buyers a range of mild-hybrid and plug-in hybrid models. 

As ever, there’s a Golf for every taste and budget, including go-faster GTI and R versions, practical estates and a rugged Alltrack. Yet for most buyers simple is best; the entry-level Golf Life comes stacked with kit, while the 1.5-litre TSI is as eager and efficient as you’d want.

How does PCP finance work?

More than 90 per cent of the new cars sold in the UK are purchased using some kind of finance, so while list prices are often referred to, monthly figures and deposits are arguably more relevant. Most car makers have their own version of a Personal Contract Purchase (PCP) and they all work in the same way.

PCPs are best thought of in three parts: the deposit, the monthly repayments, and the optional final payment. The deposit is the cash you’ll put down up front. This can either be a straightforward lump sum, the value of your part-exchange, a deposit contribution from the manufacturer, or a combination of all three.

The size of the deposit will affect the size of your monthly repayments. These are typically made over a 24, 36 or 48-month period, but can be scaled up or down to suit your circumstances. The final part is the optional final payment, which is sometimes referred to as the ‘balloon payment’. Your deposit and monthly payments only go part of the way to paying off the car; in fact, they’re actually paying off its depreciation over the time you’ll have it. To own the car you’ll need to pay the full amount off, but not every buyer does.

Many drivers use the car’s ‘equity’ as the deposit on their next one. This ‘equity’ is made up of overpayments you may have made, since makers often overestimate how much a new car will depreciate to play it safe. This quirk of PCPs means you might not necessarily have to find a big deposit each time you take out a new deal.

If you don’t want to own the car outright or roll any ‘equity’ into a new deal, your third option is to hand the car back with no additional payments, and walk away.

Other ways to finance

Few buyers have the means or motivation to spend tens of thousands of pounds in one go. So while PCP deals are the most popular finance option, retailers also have an alternative, called Personal Contract Hire (PCH).

PCH

Also known as personal leasing, PCH deals require less capital up front. After an ‘initial rental’ or up-front payment, you make a series of regular payments until the agreement ends, after which you hand back the car and walk away.

While there’s no large deposit, unlike a PCP, which offers a reasonable degree of flexibility, a PCH will tie you in for the duration, with no option of handing the car back early without a financial penalty.

Hire purchase

Not many people choose hire purchase now, but it’s still possible to take out an old-fashioned HP agreement on a new car.

Put down a deposit then make monthly repayments that, unlike with a PCH or PCP deal, pay off the value of the car. At the end of the term you own the car outright.

HP agreements are secured against the vehicle, so tend to offer more attractive interest rates than those offered with unsecured bank loans, for example.

Cash, cards & loans

The days of cash being king are long gone in the new-car market and you may find the deals offered via this purchase method are less attractive than those available were you to take out a PCH or PCP deal.

Credit cards offer a level of consumer protection but have heavy interest rates. A bank loan with an attractive interest rate is another route. You’ll pay cash for the car, so dealer discounts are harder to come by.

Choosing the right car for you

The cars listed above are our considered recommendations, but they won’t suit everyone. You should spend time ensuring that the model you choose has the space, style, economy, and performance you need.

Once you’ve drawn up your shortlist, call round dealers to book test drives, and put the car to good use. Make sure you, and anyone else who will be driving it, is satisfied and can find a suitable driving position behind the wheel.

Take the kids along to ensure they can get comfortable, too, and that it’s easy to get child seats in and out. And if you have hobbies with specific requirements, make sure the car is up to the job.

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