The premium attached to brand new cars means that most drivers assume it’s cheaper to buy second-hand, but they could well be wrong.
Figures from Moneysupermarket.com show cars straight off the factory are up to 73% cheaper to run, which comfortably outweighs the extra cost of a new vehicle in the long-run.
It compared the cost of the five most popular new cars in the UK against a five-year-old version of the same model, factoring road tax, petrol and MOT into the equation, the Nissan Qashqai, Peugeot 208, BMW 3 Series, Ford Fiesta and Vauxhall Astra were all found to cost less when new.
The largest saving came from a new Peugeot 208, which was £748 a year cheaper than its five-year-old equivalent.
In all cases the cost of insuring the newer car was lower than the older version.
As the ‘63’ plate car registrations are released next week, motorists are being urged to look at the overall cost of running the vehicle, as well the upfront purchasing costs, before parting with cash.
“For some people the thought of buying a brand new car might seem like a ‘push the boat out’ option but we know that in some cases the offers available from dealers for new vehicles are very competitive,” said Peter Harrison, car insurance expert at Moneysupermarket.com.
“If you take all the costs of running a car into account before taking the plunge you should know exactly what you’re in for and this can help you choose a car you can afford to buy and keep on the road.”
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How the costs break down