Band B

You may believe only superminis qualify for Band B tax – but think again. Producing cars which emit 120g/km of CO2 or under is crucial for all major firms, considering the annual bill is only £35.

Still, it’s a surprise to see Ford’s Focus 1.6 TDCi (119g/km), Peugeot’s 308 1.6 HDi (120g/km) and the Renault Mégane 1.5 dCi (117g/km) qualifying, as you’d imagine they would be more costly to tax. They all provide good family transport, but the Ford would be our pick, due to its comfort and driver appeal.

Need more room? The Focus 1.6 TDCi Estate is also £35 a year. At 1,500 litres-plus, its boot space is only 200 litres smaller than the Mondeo’s. Yet the larger car will cost a lot more – the 1.8 TDCi emits 142g/km of CO2 and means paying a further £85 in road tax. Of course, city cars and superminis do dominate here, and there’s plenty of choice. The French have the biggest presence: Citroen’s C1, C2 and C3 all sit in Band B with figures of 109, 113 and 115g/km, while all Peugeot 107 models (109g/km) and diesel versions of the 207 (120g/km), along with the Renault Clio and Modus (both 120g/km), are also available.

However, for something a little different, the retro Fiat 500 is great, and lets you be environmentally friendly and stylish at the same time. The peppy 1.2-litre petrol and 1.3 Multijet diesel emit 119g/km and 111g/km respectively. You needn’t forfeit driving enjoyment in this tax group, either – as illustrated by the MINI Cooper D.

This has to be one of the most desirable cars in Band B, and both the hatch (104g/km) and Clubman (109g/km) qualify. The standard model came second in our Economy Special road test in Issue 984, returning an amazing 60mpg.

All MINIs have BMW’s Efficient Dynamics technology and the benefits are remarkable. The best feature is the stop-start function, which cuts the engine in traffic. Of course, the Cooper D isn’t as quick as the Cooper S, but it still retains the faster car’s good looks and involving handling. The key difference is that opting for the diesel MINI saves £95 a year over the 149g/km Cooper S.

If running costs are your prime consideration, try a hybrid. Models such as the Toyota Prius (104g/km) and Honda Civic IMA (109g/km) qualify for a special alternative fuel rate, and both are £15 to tax. But not all hybrids are this cheap – the Lexus RX400h gets a similar discount, yet costs £195 a year!