This deal, from Lease Car UK, is perfect for high-mileage drivers because it offers a whopping 12,000-miles-a-year allowance for just £433.71 a month. It's a four-year deal that requires £5,552.52 as an initial payment – that's not bad for an agreement like this with such a high mileage limit.
If you’re a fan of no-nonsense capability, the Volkswagen Passat is a great all-rounder with a touch of class as well as loads of space inside. This leasing deal means this upmarket estate car is yours for £237.73 per month with an initial payment of £3,202.78.
The Polestar 2 offers excellent build quality, impressive technology and some punchy performance stats to boot. This deal is very good value for money – £320.72 a month after an initial payment of £4,143.64, plus it’s for the Long Range model which brings more than 350 miles on a single charge.
Leasing a car works just like Business Contract Hire (BCH), but with VAT included. You pay an upfront rental, choose your mileage and contract length, then make fixed monthly payments. At the end, simply hand the car back.
It’s easier than PCP...and usually cheaper too. That’s why more drivers are switching to lease deals and upgrading to a new car as soon as their contract ends. With growing demand, providers are offering even better deals, giving you more choice than ever.
Leasing often includes extras like road tax, breakdown cover, maintenance, and tyre replacement...all rolled into one simple payment.
Car lease prices in the UK vary depending on the model, contract length, mileage, and initial payment but deals can start from under £200 a month.
Here’s what affects the cost:
Initial payment – usually 3 to 9 months’ worth of rentals upfront
Contract length – typically 24 to 48 months; longer terms often mean lower monthly payments
Car type – premium models cost more, but deals are available on everything from city cars to EVs
The big benefit? You get a brand-new car with low monthly payments, often cheaper than PCP or HP.
And with tax, breakdown cover, and even maintenance often included, leasing can offer great value with fewer surprises.
It depends on how you want to drive. Leasing and buying both have their perks...here’s a quick breakdown:
Leasing is better if you want:
Lower monthly payments
A brand-new car every few years
No hassle of selling or trade-ins
Road tax, breakdown cover, and maintenance rolled in
Buying is better if you want:
Long-term ownership
No mileage limits
To keep the car after payments end
Leasing is often cheaper upfront and gives you more flexibility. Buying suits those who plan to keep their car for the long haul.
In short: Lease if you want low-cost driving and no strings attached. Buy if you want full ownership and long-term value.
Yes, but it can be trickier.
Most leasing companies run a credit check, and having bad credit might limit your options or mean higher upfront payments.
Here’s what to know:
Bad credit doesn’t mean a definite “no”, but it can affect approval
You may need to pay a larger initial deposit or accept a higher monthly rate
Some providers specialise in bad credit leasing, often with used or lower-value cars
Improving your credit score before applying can boost your chances
Top tip: Check your credit report first and shop around for deals that accept a wider range of credit histories.
Yes, you can, but it’s less common than leasing new cars.
Here’s how it works:
Used car leasing is usually available on nearly new or ex-demo vehicles
It can offer lower monthly payments than leasing brand-new models
Contracts work the same way: fixed term, set mileage, and hand the car back at the end
Deals are more limited, and not all providers offer used leasing
Used car leasing can be a smart option if you're after lower costs and shorter contracts, just be sure to check the vehicle’s condition and warranty cover.
Usually not. Most standard car lease deals in the UK do not include insurance—you’ll need to arrange that separately.
What you should know:
You must take out a fully comprehensive insurance policy
The policy must be in your name, even if someone else is driving
Failing to insure your lease car can breach the contract
Some providers offer insurance-inclusive packages, but these are less common and usually cost more.
Tip: Always check what’s included in your deal—and budget for insurance on top of your monthly lease payments.
Yes, for many drivers, leasing can be a smart move.
Why it could be right for you:
Lower monthly payments than most finance or loan options
Drive a brand-new car every few years
No hassle selling or trading in
Option to include tax, breakdown cover, and maintenance in one payment
But it’s not for everyone:
You don’t own the car
Mileage limits apply and exceeding them can cost extra
A good credit score is usually needed
In short: Leasing is ideal if you want flexibility, low costs, and no long-term commitment. Buying might suit you better if you want to own your car outright.
Yes, insurance for a leased car is generally more expensive than for a car you own or finance. This is due to stricter coverage requirements set by the leasing company, including higher liability limits and often gap insurance.
Leasing companies want to protect their investment. They typically require:
Comprehensive and collision coverage
Higher liability limits than state minimums
Gap insurance to cover the difference between the car’s value and what you owe if the car is totaled
At the end of a car lease, you typically have three main options:
Return the car to the dealership
Buy the car (also known as a lease buyout)
Lease a new vehicle
Your leasing company will contact you near the end of your lease to review your options.
Yes, returning the car is a common choice. As long as the vehicle:
Meets the mileage limits
Shows only normal wear and tear
Passes the end-of-lease inspection
You can hand it back and walk away, although you may owe disposition fees or charges for excess wear or mileage.
You may be charged for:
Excess mileage, usually charged per mile over your limit
Excess wear and tear, such as dents, scratches, or tire damage
It’s a good idea to schedule a pre-return inspection to understand any potential charges before returning the car.
Yes, here’s a simple checklist:
Clean the car inside and out
Remove personal items
Ensure all original equipment is present (e.g., keys, floor mats, manuals)
Get the car inspected, if required
Returning a clean, well-maintained car can reduce or eliminate extra charges.
In most cases, the leasing company is responsible for paying the road tax (Vehicle Excise Duty) on a leased car, and the cost is included in your monthly lease payments.
