The Best Cars For Under £200 Per Month

Just because you’re shopping on £200 per month budget doesn’t mean you have to pick something dull. In fact, with countless MX-5s available at this price point, there’s plenty of opportunity to get behind the wheel of something quite exciting.

We’re big fans of this generation of MX-5, too. It’s got all of the hallmark qualities that people love about this two-seater – fine handling, great reliability and compact size – but it feels modern enough to be driven every day. The folding fabric roof is also a breeze to operate and because of its simplicity, it’s far less likely to go wrong than a hard-top version. Just bear in mind that you’ll have to keep on top of repairs and maintenance to keep this sporty number at its best.

Compact crossovers are immensely popular at the moment and one of the best about – the Seat Arona – is easily available for our £200 budget. Why is it so good? Well, Seat has been able to pinch all of the best bits of the Volkswagen T-Cross but implement a range of its tell-tale styling cues which make the Arona just a little more exciting than its German cousin.

It’s efficient, practical and surprisingly spacious inside, too, while the build quality is excellent throughout. The Arona’s range of peppy engines make it good to drive, too, but also result in lower insurance premiums and far easier-to-digest fuel bills. You’re able to get the Arona in a range of funky colours, too.

It feels like everyone knows the Volkswagen Passat. It’s something of a ‘multi-tool’ car, applicable to all types of uses and handy for all types of drivers. Available both as a standard saloon or a spacious estate – both of which fall under our £200 monthly budget – the Passat is superb at travelling long distances in loads of comfort. Though petrol engines are available on the Passat, it’s the diesels which feel like the best fit for this Volkswagen as they’re quiet and refined when moving at speed.

Inside, you’ve got trademark Volkswagen build quality and though lower-spec versions might feel a bit dull, everything is brilliantly put together and ideal for family driving.

The Aygo epitomises the city car. It’s compact but cleverly packaged while its small engine delivers nippy performance which makes it ideal for darting in and out of traffic. We also like the Aygo’s steering, which makes it a doddle to drive around town or for navigating a tricky car park.

Naturally, the Aygo is a big hit with first-time drivers, so you’ll want to check around it for scuffs and scrapes – along with kerbed alloy wheels – but find a clean one and you’ll have yourself a car that won’t cost much to run each month while regular repairs shouldn’t be too expensive either. Thanks to its low insurance group the Aygo will be one of the cheapest cars on this list to get cover for, too.

The Mini Hatch represents a very stylish way of getting about for under £200 per month. The Hatch is quite classic in its design and its popularity means that there are loads of options in the used market. At the Mini’s heart lies its style; echoing design points from the classic original, the Mini still looks fresh today. Inside, you’ll find an interior that feels sturdily built and great to look at, with all of the major buttons and switches having a high-quality feel to them.

The Mini Hatch is also superb to drive, regardless of which version you opt for. Nicely weighted steering combines with a stuck-on feeling through the bends to make a car which feels excellent from behind the wheel. It all helps to add a little sparkle to any type of drive.

The Outlander was the car that kicked off the hybrid SUV revolution and these days it still represents a fine choice for drivers after a spacious model that won’t cost too much to run. While the interior of the Outlander isn’t the most exciting, it’s all very hard-wearing and feels as though it has been designed specifically for busy families.

For plug-in hybrid versions you’ll need to think about where you’ll charge – Outlanders are only at their most efficient when topped up routinely – but there are ‘regular’ versions out there should you not fancy the electrified route. Either which way, you’re still getting a very spacious SUV with plenty of in-car equipment.

The BMW 1 Series is a car which combines a sporty design with a practical hatchback layout and plenty of interior tech to create something which is great to use day-to-day but still feels special enough to raise a smile. It’s available with a great range of engines, from punchy petrols to efficient diesels, with the latter being a great option for drivers doing longer journeys.

Just bear in mind that some BMW 1 Series cars are driven hard due to their sporty nature, so make sure that any model that you’re looking at has been cared for. Because of its more powerful engines, the 1 Series will be more costly to insure than others here – so bear that in mind when putting your budget together.

If you’re looking for an all-rounder, then the Qashqai should be firmly in your sights. It’s a car that can slot into all types of roles as from a comfortable commuter to a solid people-mover the Qashqai shines. You’ll find some good materials inside, too, though a few plastics feel a bit harsh to the touch.

It’s good to drive, too, behaving like a far smaller car than it actually is. A number of decent engine options are there to choose from as well, alongside manual and automatic gearboxes. However, it’s the Qashqai’s all-round usefulness which really helps it out as with its large boot and comfortable interior, it’s a model which is up to any challenge.

The C3 Aircross has the kind of quirky approach that you’d expect from a Citroen. Earlier models famously came equipped chunky black wheel arches and while they may look a little odd, they’re all about practicality – these areas of plastic help to protect the Aircross from trolley and door dings.

Inside, there’s a light and airy cabin to explore with a decent number of cubbies and storage areas that can help to keep things as clutter-free as possible. The driving experience you get from the C3 Aircross is definitely more comfort-focused, too, as with Citroen’s typically softly-sprung approach to suspension, it’s a car which does well to shake off the worst of the lumps and bumps in the road.

We’re finishing with something a little more flamboyant for that £200 monthly budget. The Abarth 595 is a car with bags of character. From start-up, the 595’s vocal exhaust note makes its presence known while on the move, it burbles and crackles along to ensure that nobody misses it.

As it’s based on the standard Fiat 500 the Abarth 595 is still very easy to live with and it’s a breeze to park and position, too. Firmer suspension means that it’s not as comfortable on a daily basis as the Fiat, but with its turbocharged 1.4-litre engine it’s a decent amount quicker, too. You can also get the Abarth 595 in a cool convertible version if you’re after that wind-in-your-hair sensation.