There’s no getting away from the fact that owning and running a car can be expensive but there’s no reason why road tax should be holding you down. In the UK, all cars must be taxed and is enforced by the DVLA. The amount a car pays for road tax can be determined by the amount of CO2 emissions it releases and the age of the vehicle. Low-emission vehicles such as hybrid or electric cars are usually £0 road tax cars or low tax cars. However, if eco-friendly cars aren’t your thing, there are plenty of used cars with no road to pay. Let’s take a look!
What is road tax?
Vehicle Exercise Duty (VED) is more commonly known as road tax or car tax. Any car which is driven or kept on a public UK road needs to be taxed. Even if a car has £0 road tax, the vehicle will need to be taxed with the DVLA. The rate of tax the vehicle needs to pay can be determined mainly by its CO2 emissions. A higher polluting vehicle will usually have a higher road tax to pay. You will need to pay road tax each and every year and you can choose to pay for it annually or monthly, however, there is a 5% surcharge for paying monthly. Find out more about UK road tax and how it works.
Best cars with cheap road tax:
- Skoda Fabia.
- BMW 2 Series.
- Nissan Qashqai.
- Ford Fiesta.
- Audi A3.
- Hyundai i10.
- Mercedes GLA.
- Jaguar XE.
- Renault Clio.
- Kia Rio.
1. Skoda Fabia.
The Skoda Fabia is also one of our best cars for new drivers thanks to its low road tax and low running costs. If you choose a used Skoda Fabia on finance (2014 – 2017 Monte Carlo version), you can tax it for as little as £20 a year! Not only that but it’s also great value for money and very versatile. It’s a nippy little car which will easily get you from A to B in both style and comfort. Whilst it’s not the most exciting car to look at, it’s easy to drive and won’t leave you out of pocket.
2. BMW 2 Series.
One of the best cars with low road tax and a premium badge is the BMW 2 series. Find a used BMW 220d Coupe M Sport to get low £20 road tax and reap the benefits of this affordable model! The BMW 2 series is a fun-to-drive sports car with low emissions. The 220d Coupe M Sport version is an especially powerful diesel car which can suit a whole range of drivers.
3. Nissan Qashqai.
Choosing a car with low road tax doesn’t have to mean a small, compact car. The Nissan Qashqai is a family SUV which is hugely popular amongst UK drivers. A used Nissan Qashqai registered before 2017 will come with a low road tax of £20 a year and could be bought for under £10k! The Nissan Qashqai is one of those no-nonsense vehicles, it’s easy to drive, cheap to run and has enough space for the whole family. Did you know the Nissan Qashqai was one of the most popular cars to buy on finance this year?
4. Ford Fiesta.
The Ford Fiesta is one we’re sick and tired of hearing about, but only because it’s so versatile! We’ve featured it many times on our blog, from the best-selling cars of the year to the most fuel-efficient cars, the Fiesta has it all! Not only that but it’s also one of our favourite cars with no road tax to pay! That’s right, a Ford Fiesta registered before 2017 can come with £0 road tax. Discover our amazing Ford Fiesta finance deals today.
5. Audi A3.
Another one of the best cars with low road tax is the Audi A3. Just like the BMW 2 series, it’s an upmarket car that won’t break the bank when it comes to VED. Not only does a used Audi A3 look great but choosing a 1.6 TDI (110bhp) SE 5d S Tronic 2015/2016 means you pay £0 tax too! The Audi A3 is great value for money, stylish and sophisticated. We think you’ll love the spacious and comfortable interior with plenty of technology packed inside.
6. Hyundai i10.
One of our favourite low tax cars is the Hyundai i10. It’s cheap to run and tax, and is also one of the cheapest cars to insure! The Hyundai i10 comes with £20 a year road tax when you choose its previous model (up to 2020) and there’s plenty of efficient petrol options on offer. It’s a small city car which performs well at higher speeds and even excels on the motorway too.
7. Mercedes GLA.
It can be hard to find a premium SUV with low road tax but not impossible! Say hello to the Mercedes GLA which can cost as little as £20-£30 a year to tax. Choosing a used Mercedes on finance, between 2014 and 2017 with a diesel engine, can get you low tax and affordable monthly payments. The Mercedes GLA is an attractive SUV which brings style and sophistication no matter which model you choose. Older Mercedes GLA cars come with plenty of modern technology for the time and enough space for the full family.
8. Jaguar XE.
The Jaguar XE comes with plenty of choice when it comes to getting a car with cheap road tax. There are few trims that qualify for £20 a year VED but you’ll have to pick the 182PS 2.0-litre diesel engine to get this deal. You’ll also be pleased to know a used Jaguar XE is also pretty affordable too! It was never the most popular model by Jaguar so there should be some great value-for-money cars on the used car scene.
9. Renault Clio.
Buying a used Renault Clio between 2012 and 2019 means you pay £0 road tax! When shopping around, look for the 1.5-litre dCi diesel versions to get a car with no road tax to pay. The Renault Clio is a brilliant all-rounder and can be really versatile. It’s big enough for your growing family but compact enough to still be nippy on the roads. It’s also one of our best cars you can finance for under £250 a month.
10. Kia Rio.
The Kia Rio 1.4 CRDi comes with an affordable £20 a year road tax! We love the Kia Rio because it’s an affordable car with plenty to offer. The Kia Rio is hard to ignore when it comes to low running costs and a low price tag. Older versions of the Rio won’t be covered by its 7-year warranty anymore but they can still come with Kia’s reputation for reliability. The Kia Rio is a great choice for a city car with low running costs.
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