The 10 cheapest cars to run

Robert Powell
by Lovemoney Staff Robert Powell on 14 June 2011  |  Comments 24 comments

Motoring has never been so expensive; here's how to save a few pounds when behind the wheel...

The 10 cheapest cars to run

Driving has become an increasingly pricey habit of late. With rising fuel costs and insurance rates soaring, buying a car is now just the crest of an extremely expensive wave. And if new research is to be believed, it’s a wave that’s getting larger by the day.

Figures from Sainsbury’s Finance show that the estimated annual cost of running a car has shot up by 21.1% since April last year. The stats show a £537 increase from an annual cost of £2,551.63 back in 2010 to £3,089.51 in April of this year.

Unsurprisingly a significant part of this whopping motoring bill is down to the rising cost of fuel...

10 thriftiest motors

According to Sainsbury’s stats, the average motorist now spends almost 23% more on fuel than they did in April last year. This is hardly surprising when you look at current petrol prices, presently sat at 136p for unleaded and 140p for diesel.

Rachel Robson takes a look at which car brands come out best in terms of value for money.

And these prices have continued to rise despite the Chancellor George Osborne cutting 1p per litre off fuel duty in the last Budget. But as I found out when I took to the streets last month to get the views of the London public on fuel prices, most people are very sceptical as to whether this tax cut has actually materialised at the pump.

What’s worse is that aside from ditching the car and hopping on your bike, taking public transport or just walking, there are very few ways to significantly cut down how much you spend on fuel. Indeed, if you live out of the city and away from public transport links, rising fuels costs are unavoidable. So if you consistently rely on using your car to get from A to B, running costs are something you should be very concerned about when shopping around for a new motor.

With that in mind, take a look at this table detailing the cheapest new cars to run.

All of the facts and figures were taken from recent research conducted by motoring magazine Auto Express and used-car experts CAP. The cars were selected using pence per mile fuel economy running costs, servicing bills and new car depreciation over three years and 30,000 miles of ownership.

Rank

Car

Running costs (pence per mile)

Positive features

Negative features

1

Renault Twingo 1.2 16v Bizu

22.9p

Cheapest to run, very low price tag

Low rent interior, weak engine

2

Renault Clio 1.2 Expression A/C 5 door

24.5p

Best all round car, modern/spacious cabin, composed handling

Higher price tag than the Twingo

3

Kia Picanto 1.0

25.6p

Solid build, stability control/brake assist safety

Basic, no-frills interior, fairly slow paced

4

Nissan Pixo 1.0 Visia

26.1p

Solid engine, low price tag

Boxy features, cheap interior

5

Hyundai i10 1.2 Classic 5 door

27.4p

Best city car, strong engine, side airbags

Not the best level of fuel economy

6

Suzuki Alto 1.0 SZ2

27.7p

Small city car, competitive price tag

Poor quality interior, vague steering

7

Ford KA 1.2 Studio

27.8p

Well built, easy to drive

Entry-level models are sparsely equipped

8

Smart ForTwo CDI Pulse

27.9p

Clean, efficient diesel engine

Slow auto gearbox, small/uncomfortable cabin

9

Chevrolet Spark 1.0i

28.1p

Cheap to run

One to avoid; poor cabin, unremarkable driving, ugly, lack of features

10

Toyota Aygo 1.0 VVT-I

28.2p

Robust build, entertaining to drive, lightweight, clean

Basic equipment

Source: Auto Express and CAP

As you can see, Renault cars take both the first and second spots when it comes to fuel economy with 28.2 and 28.1 pence per mile figures respectively. However Auto Express and CAP actually picked out the second place Clio as the best all round car due to its modern, comfortable nature and solid handling.

Auto Express also highlighted the Hyundai i10 as the best city car due to its affordable price tag, compact nature, side airbags, CD player and strong engine. And despite making it into the top 10 for fuel economy, the magazine couldn’t find many other positive things to say about the Chevrolet Spark 1.0i, picking it out as one to avoid on account of its poor build and driving experience.

Robert Powell hits the streets to find out what you know about car insurance

If you are planning to buy a new car soon, make sure you also read The UK’s most reliable cars before you part with any cash.

Car insurance

It should come as no surprise to regular lovemoney.com readers that while fuel costs have ballooned recently, it is in fact car insurance that has pushed up the overall price of motoring the most since April 2010. We’ve been reporting on these record breaking rises in car insurance for a while now. And what’s more, when the ECJ ruling banning cheap insurance for women comes into force next year, premiums across the board are sure to rise again.

The Sainsbury’s figures show that car insurance has increased by 30.7% from an average annual cost of £623.56 in April 2010 to £814.80 in April 2011. The providers put these increases down to rises in insurance fraud and injury claims, as well as the high number of accidents caused by recent severe weather conditions.

So if your insurance is up for renewal soon, make sure you read these 10 tips to beat rising costs before you settle on any policy.

Servicing, MOT and tax

The Sainsbury’s research also highlights the rising costs of car servicing, MOT and taxes as further factors pushing up the motorists' monthly spend. Although, taking at look at the figures below, the increases are obviously nowhere near the 22% and 30% jumps that have occurred in fuel and insurance prices...

Item

Estimated average annual cost per motorist April 2010

Estimated average annual cost per motorist April 2011

Percentage increase

Servicing

£301

£317.25

5.4%

MOT

£54

£54.85

1.6%

Tax

£173.07

£181.92

5.1%

Source: Sainsbury’s Finance

Short of chaining yourself to Westminster Palace or writing to your local MP, there’s not a lot you can do combat rising motor taxes! But there are a few ways to slash the cost of your MOT and general mechanical costs; read Drivers: Cut the cost of your MOT and Don’t overpay for breakdown cover! for some money-saving motoring tips. 

Do you agree?

Do you agree that Renaults are the cheapest cars to run? Which cars do you think make the thriftiest motors?

Let us know in the comment box below.

More: Compare car insurance policies at lovemoney.com | The ten most vandalised cars | 10 mistakes to avoid when buying a car

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Comments (24)

  • babyhk
    Love rating 7
    babyhk said

    what about safety, as a lot of these cars appeal to young drivers , mainly for insurance affordability, but some of those featured are like tins of beans on wheels. Renualts cheap to run .. well depends which one as my 2 litre diesel Renualt Koleos is'nt

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  • qwertyu
    Love rating 9
    qwertyu said

    For a site with thrifty readers we need a list that is based on buying a used car and running for a few more years. Everyone with half an ounce of sense knows buying used is way way way cheaper. In that scenario the high depreciation can become a positive instead of a negative and the list may change a bit. The prices per mile certainly would go down.

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  • qwertyu
    Love rating 9
    qwertyu said

    Based on that I'm thinking the old Ford Ka would be a good bet. Seems to be overall the cheapest to buy on autotrader.

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  • Marcia9
    Love rating 5
    Marcia9 said

    Yes, operating costs are up but initial outlay for cars are far in excess of what I deem is needed for a (necessary) mode of travel.

    Shouldn't be advertising this as it might get popular but I have bought nothing but Saab's over the past 20 years. Classics are now too expensive as the good ones are scarce but our recent 900 had 90k on the clock and I paid, after some judicious bargaining, £620 at a local very small backstreet dealer. No, nothing at all wrong and superb bodywork.

    We haven't paid over £900 for a car in 20 years and generally they last 5-6 years and then I get £75 for disposal of it. They always look good and our trusted mechanic gets MOT and all servicing in at less than £300 per annum. Except for the occasional set of tires and exhaust which may need some work I would say do very well. Always starts, even in the coldest spells where it may have been sitting for days.

    However, a full tank of petrol now is a jaw dropping £80 or so with an average of 26mpg. Not good, but with less than 7k mileage per annum you won't see me buying from the forecourt, ever.

    Report on 15 June 2011  |  Love thisLove  0 loves
  • electricblue
    Love rating 643
    electricblue said

    There is no way on earth that older Renaults are the cheapest models to own. When you look to older vehicles (who in their right mind buys a new car anyway?) Japanese vehicles are by far the cheapest vehicles to run due to their inherent reliability and honourable manufacturers who are concerned at longer term ownership experience. Older Citroens and Renaults can be bought with loose change, but the risks of having a bad vehicle with inherent design flaws make the comfort and aesthetics potentially costly.

    The biggest bargains for reliability at the slight cost of higher road tax are late model Chrysler Neons. I bought a 43K mile example for £1000 a couple of years ago and aside from oil changes and brake pads, maintainance costs have been minimal. 12000 miles later I'm convinced of my sound investment.

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  • nic.barfield@w3z.co.uk
    Love rating 0
    nic.barfield@w3z.co.uk said

    I'm with Marcia on this. Used cars are way cheaper to run provided you pick carefully - depreciation from new is a huge part of the running costs on even the frugal mile-stretching mini models covered in your Top Ten.

    We run a Hyundai Getz bought at five years old for £2300. Tolerably modern design, ok to drive, fairly safe, very reliable, does over 45mpg month in month out, cheap to tax and insure. Our biggest cost is petrol - £200 or so per month for the 1500 miles of mainly rural commuting that we do.

    The car was bought with 50,000 miles on the clock; it should be good for 120,000 or so before something major needs fixing. At which point we'll write it off and our 70,000 miles of ownership will have incurred a depreciation cost of just over 3p a mile. Can't argue with that!

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  • Lincoln73
    Love rating 1
    Lincoln73 said

    I've had 3 2nd hand Clio's (1.4 16v) and apart from the last one they have been brilliant and very cheap to run. But last time i needed to change my car i decided it was time to try something new....i attempted to do the research as my commute is 72 miles return 95% on Motorway. Therefore this article is useless to me as a 1.2 engine can't cope with motorway driving. I bought a Mitsubishi Colt (1.5) and although it's reliable...it's costing me as much extra in petrol a month as my old unreliable clio was costing in repairs. The stats for fuel consumption aren’t realistic. So my search for a cost effective car is on going.

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  • Mike10613
    Love rating 599
    Mike10613 said

    I have a 2 litre Ecotech engine and I was on a dual carriageway yesterday with the engine ticking over at 1,000 RPM in 5th gear doing 40MPH through a speed camera. Smaller more economical cars were passing me. They were using more fuel and the wear on the car would be more and the speeding ticket would be expensive. I was mainly concerned about the points on my licence; that road used to be 60 MPH - but they cut the limit to make a few quid out of the cameras. I calculated that my car cost about 10p a mile on a run and as much as 20p a mile if I have to accelerate fast. Depreciation is around is about £250 a year so far, but I do expect it to last a few more years.

    My blog today touches on the nature of money and economics - but it is funny! http://wp.me/p194MF-ef

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  • Iamcoldsteve
    Love rating 308
    Iamcoldsteve said

    This is something that I have actually worked out for my own car.

    I bought a one year old MY2004 Vauxhall Vectra 1.8 petrol with 13,000 miles on the clock for £8000 (list price was over 15K).

    Since then I have run a spreadsheet on all the costs associated with owning and running it. The spreadsheet includes everything from car insurance, tax, MOT, maintenance, repair when thing go wrong, to the more mundane things like petrol... I do my own servicing and repairs - so that will save some money too.

    As it now has 172,000 miles on the clock and has returned an everage of 40mpg (I check at every fill doing a manual calculation of miles covered divided by fuel added).

    I can honestly say that my car has cost me less than the cheapest car quoted above in terms of cost per mile. Even if I run the calculation at todays fuel prices (134ppl at my local Asda) it still comes in cheaper than the Twingo figures quoted above, at 21.5 p/mile. If I take the average fuel price over the 6 years of ownership to be 100ppl - then my 'all in cost' is about 17.6 p/mile.

    I have assumed a residual value of the car of £750.

    Basically, if you buy a new car, then the depreciation will be huge. As I offset most of that at my point of purchase I have cut down the cost per mile considerably. As lot of people have said, who buys new and also who pays list price?

    To answer the question which car would I prefer to be in, a Twingo, Clio or Vectra - there is no question at all. The Vectra wins hands down in every category - space, comfort, ride, handling, safety etc etc. One thing that most people forget is driver fatigue. I 'suffer' extremely low driver fatigue during my 140 mile daily round trip commute from home to work.

    I also did a analysis of the difference between my actual costs and the expected costs if I had purchased a diesel car at the same time. As the nearest diesel car was £3000 more expensive - and they cost more to service, then the difference even over such a large mileage accrual (nearly 160,000 miles) would have been minimal. So all in all it wouldn't have been worth it financially.

    Depreciation cost is 4.5p/mile

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  • grelly
    Love rating 27
    grelly said

    This is all very well, but there isn't a single car on the list I would actually want to own. They just aren't big enough for the occasional trip to the dump, for example. Also, call me unreasonable, but I prefer cars that have enough headroom that I don't have to sit with my neck bent at 45 degrees.

    What about an equivalent list for other categories such as "family car"?

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  • fatpiggy
    Love rating 9
    fatpiggy said

    I recently part-exed my much loved Toyota Yaris. It was a 2001 plate, had 166K miles on the clock and had cost me 1 nearside shock absorber, a backbox (the week before I sold him!) and a throttle cable. It still had the original battery, clutch and the rest of the exhaust apart from all the other parts! It started every day with no problem, even when it was minus 16 and had been sitting on the drive all night. I was doing 60 odd miles per day every day and the little 1 litre engine was easily doing 50 to the gallon on the motorway - a full tank would last me 6 days. Now I've got a 1.1 Mitsubishi Colt which if I drive it just as I did the Yaris, sticking to under 65 on the motorway, I reckon it is doing about the same. I'm due to re-tax it next month - £95. A friend does all mechanical work for me at bargain prices and I trust him with my life so I know everything has been done properly. Previously I had Renault and Peugeot cars and wouldn't again. If nothing else, they use rubbish wheel bearings! Both the Yaris and the Colt are amazingly roomy, tons of headheight for even 6 footers and the Colt swallows my cello without having to put the rear seat down.

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  • fatpiggy
    Love rating 9
    fatpiggy said

    Lincoln73 - who says a 1.2 engine can't cope with motorways??? The Yaris used to cart me 350 miles from Manchester to South Cornwall on just over half a tank of petrol, revvs were about 3000 in 5th and with an hours rest, I could do the journey in 6.5 hours on a Sunday. Considering I have a really bad back, I could just get out of it and walk away at the end, no problem. In comparison with taking the train (2 changes is the fastest) it was more than an hour quicker to drive, and better than half the cost plus I could sing as loud as I liked :)

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  • gk141054
    Love rating 18
    gk141054 said

    @ Mike10613

    40 mph in 5th at 1,000 rpm.... let me know when you're selling the car and i'll be sure to steer well clear. You must be labouring the backside off it doing that....

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  • martinthorpcross
    Love rating 5
    martinthorpcross said

    A lot of common sense comments so far, and I have to agree that whilst these cars may be cheap to run they are not cheap to buy new. They will be bargains in 6 or 7 years time perhaps, but only for single folks who don't need to move a family and their effects around the country or who are midgets under 6 foot. Nor do these small cars come out well in a smash. The Ford Ka in particualr is a death trap.

    Normal people with a family and legs need a decent size car, and the best buys now are large, high mileage modern diesel saloons. My 100,000 mile Vectra was ex Vauxhall Fleet at 3 year old and cost less than any of the top ten cars listed, and with 120,000 miles on the clock a year later still runs like a swiss watch and has no faults at all. What's more driven with a feather light foot and with some small modifications I am seeing 55 mpg in town use and up to 70 mpg on longer runs. It will run 6th gear at 40 mph on tickover, seats five adults with room for their luggage and will pull the family caravan for holidays.

    Small cars suck, and until manufacturers make them truly economical then they have no attraction. Car makers need to get their act together and show some progress through technology - boasting 45-50 mpg for a modern city car is all very well until you remember that a 1950's Morris Minor acheive exactly that with an asthmatic 1000 cc push rod engine.

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  • nickpike
    Love rating 270
    nickpike said

    Here we go again. We had all this in the 60's and 70'. While the yanks were swanning around in large, glorious comfortable barges, we hurtled around in tiny, uncomfortable A40's and Minis.

    Why are the British always destined to have to put up with small. Small cars, small houses, small pay packets.

    We need to cut tax. Petrols only 40p a litre without tax.

    Time to take to the streets.

    I've driven some of those cars in the table. Rattle boxes and god help you in an accident, hardly any protection.

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  • Bluecake
    Love rating 5
    Bluecake said

    Funnily enough I am currently saving up for a new (secondhand) car that is a fair price but not tinny. My faithful peugeot 205 1.8 TD has been fantastic even though the tax was £215 for the year; however it is economical, reliable and cheap to insure. It also has enough poke to get me about in my rural, hilly home.

    As I undertstand it I'm going to be stuck between a rock and a hard place to get an alternative with like for like qualities. Any ideas? Want to pay £3000 tops.

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  • oldcarguy
    Love rating 0
    oldcarguy said

    I dont see the point in paying out for a new or even newish car, I've always driven what others perceive as "old bangers" and the secret is buy one in good order to start with, look after it, drive it considerately (by that I mean dont thrash or abuse it), and get things fixed as soon as you know something needs doing rather than ignoring it (problems dont go away, they get more expensive). My current car is costing me around 200 - 300 a year in repairs and parts and thats all, no finance, no big insurance bills, nothing. But some people will say "well I'm not driving an old crate", so if you want to be a poser (and actually no-one is impressed these days by a flash motor, it just irks them), you will have to pay for the "privilege".

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  • nic.barfield@w3z.co.uk
    Love rating 0
    nic.barfield@w3z.co.uk said

    @Bluecake: Have you considered a Polo 1.9D? Almost indestructible. The long-running 64 bhp 1.9 litre non-blown diesel sounds like a tractor (but then so does the average 205 diesel) but can give 55mpg everyday if you treat it right. Good mechanical reliability and pretty good bodywork, too. A friend had the estate version and regularly got 60mpg laden on long runs. Another friend runs a late 90s car (T-reg I think) with rocketship mileage - 160,000 plus - on the original engine, gearbox and clutch. There are still a few about without mega-mileage and three grand should find you a decent 02/52 or 03/53 model with basic spec. Only downside is high road tax, but all old diesels share that problem.

    Report on 16 June 2011  |  Love thisLove  0 loves
  • JHub
    Love rating 0
    JHub said

    @ BlueCake

    I changed my ‘54 Reg 320TD to a Chevrolet Lacetti Estate, '57 Reg, under 50K miles on it. They are really cheap to buy and I even got a 5er back from my GBP 3,000.

    Check out Autotrader.

    As a non Estate they are not the prettiest, but it was good enough for Top Gear to use for a ‘reasonable priced car’ for their runs around the track.

    They are basically a Vauxhall engine and parts wise. Parts are cheaper than parts for my Beamer. I’m sure that I’m not paying over GBP 85,- for a replacement tyre as I had to for my BMW….

    You always have to consider for what you are using your car.

    For me, driving 15 miles a day, a TD is not necessary. Although a TD would maybe be more economical, but for the low mileage I’m doing, it does not make a huge difference. My Tax went up a bit, but my insurance went down.

    I was looking into getting a smaller car, a C2, Fiesta, Polo and so on, but not even that they would have been much older and much more mileage on the clock than my Chevi has now, I would have ended up with a small car! No space, no storage and not very comfortable for a 5’11 woman!

    And hardly anything on the market for the 3,000 Pounds budget!

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  • wally144
    Love rating 26
    wally144 said

    I bought a Merc E class diesel in 2002 from Germany - it is RHD and UK spec. It has been maintained per the recommended schedules, has 145k miles on the clock, and runs as well today as it did when new. At 71mph on the motorway, it is managing 52mpg, with an overall combined 45mpg. It is comfortable, safe, easy to drive, and economical. The dealer tells me that the engine(2184cc) should run over 500k miles with no problems. All my servicing is discounted - parts 25%, labour 40%, and my annual MOT is free! I don't find the dealer servicing is expensive compared to other cars, and service intervals range from 14k to 19k miles (the car tells you when it needs a service.) Fully comp insurance costs me under £300/year.

    I wouldn't swap this car for any of the ones in the table, and I will be driving this car for at least the next 10 years. It doesn't owe me anything!

    Report on 17 June 2011  |  Love thisLove  1 love
  • Rufus Long
    Love rating 0
    Rufus Long said

    Never ever buy a new car as the "cheap" option if anything goes wrong the dealers will rip you off warrenty or not.

    How are you doing this, are you taking the car back to the main dealer for spare/repairs, worst ever way of getting your car fixed, go to local mechanic (if any good, obviously) it will be cheaper, or do it yourself in which case older cars are easier to fix.

    Petrol is important, but insurance costs are the highest it's ever been and in the 11 years i've been driving it has NEVER gone down! Take off NCB and low and behold it goes up by about £100 every year.

    I would get and old merc or bmw, people ask what car you've got, never how old is it.

    Report on 01 July 2011  |  Love thisLove  0 loves
  • sludgeguts
    Love rating 54
    sludgeguts said

    Fiat doblo 1.9jtd 105bhp. I'm getting 45 mpg around town. The fiat diesel is a reliable lump that is also used by other marques. Insurance sets me back about £250 fully comp (robbing barstewards never bring it down despite never making a claim) and £150-odd tax.

    As for buying French - why? The French hate us. French cars are reknowned for electrics problems and the latest problem with passengers being able to operate the brakes !!!

    Buy French in France for the French market & you will get a decent car.

    Similar story with the VWs as well. Common problem with the Polo is the ignition switch. cheap to replace (it's a cheapo part which is why they go in the first place) but a bugger to get at & when it goes you think the starter has had it.

    Another common fault is the track rod ends never last (but fortunately the Seat ones fit and are more reliable (and pricier). Again, a cheapo part.

    A pity really as many of the VW engines are solid, reliable lumps.

    For a long time now I have said we need to see a truly 'euro' car, a car built from the best bits of other cars and manufacturers are, fortunately, just coming round to this way of thinking. Why spend millions on R&D for a good engine when XXX makes the best 1.2 petrol engine or XXX makes the best 2.0litre diesel?

    It's almost a hark back to my early days of driving when Fords had interchangeable engines (wife owned a sierra badged, on the books and insured as 1.6 but was, in fact 2.0litre and that was mid 80s, in the 70s I owned a ford pop with a 3litre granada powertrain - the Essex V6 engine).

    It would be great to be able to walk into a spares shop and simply say "can I have an exhaust system please" without having to go through the car's number plate, vin, paint colour etc. Without having them say "well, we have two listed, which one is it?

    Report on 19 July 2011  |  Love thisLove  0 loves
  • starseed
    Love rating 4
    starseed said

    Well I built a fuel cell for mi car, yep runs on water ? not quite , the cell produces Hydrogen gas upon which the engine runs,

    Apart from the build cost of the cell fuel costs are zero !!!

    a joke ?? nope

    next project is to build a Magnet driven motor which will charge batteries via a generator.

    another joke, well there is a patent on the technology

    Report on 17 January 2012  |  Love thisLove  0 loves
  • starseed
    Love rating 4
    starseed said

    you lot missed these gem/s !!!! refuel cell / magnet, jeez ya deserve high costs .

    ah pearls before the swine eh

    111

    Report on 17 January 2012  |  Love thisLove  0 loves

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