Car leasing for £400-£600 per month
Models available in this budget
Premium hatchbacks like the BMW Series 1 and Alpha Romeo Tonale
Market leading executive saloons such as the BMW 3 Series, BMW 5 Series and Audi A5
Premium EV’s like the Tesla Model Y
Premium cars depreciate most steeply in absolute terms: leasing removes that risk entirely
Why leasing makes most sense at the premium end
A mid-size executive saloon can lose 45 to 55% of its value in three years: in absolute terms a £55,000 car may shed over £25,000
When you lease, that depreciation is built into the fixed monthly payment: you return the car and none of the resale risk is yours
Premium cars carry higher servicing and tyre costs: a maintained lease makes those costs entirely predictable
For company car drivers, the 4% BiK rate on fully electric vehicles in 2026/27 versus around 30% for a petrol executive car is a very significant saving — verify current rates at gov.uk and consult an accountant,
Premium hatchbacks: high quality across the board
Sharper driving dynamics and higher-quality interiors than the mainstream, at accessible lease payments.
BMW 1 Series: the accessible premium hatchback
Starting at around £400 a month: the entry point to BMW's premium hatchback range
Rear-wheel drive: rare in this class and noticeably more engaging than front-wheel-drive rivals
High-quality interior with iDrive infotainment well ahead of most equivalents at this price
Alpha Romea Tonale: elegant and refined
Starting at around £470 a month: the Alfa is renowned as a car to be driven
Sporty, but roomy enough to function as a stylish family vehicle
Executive saloons and coupes: executive flair and premium luxury
The heartland of the premium lease market. The German executive class is where leasing's depreciation argument is most financially significant.
BMW 3 Series: the benchmark executive saloon
Starting from around £450 a month: rear-wheel drive, class-leading driving engagement, 97% adult occupant protection in Euro NCAP testing
Driving Assistant Professional; also available as an estate: BMW 3 Series Estate for drivers who need additional boot space
View BMW 3 Series Saloon lease deals
Audi A5: refined, precise, sharper looking
Starting from around £430 a month: a range of premium specifications and beautiful styling
Five-star Euro NCAP; Audi's precise interior quality; 7-speed S Tronic automatic
BMW 5 Series: the standout
Starting from around £580 a month for the plug-in hybrid version
The marque standard saloon car, bristling with style and top-of-the-line specifications
Premium EVs: accessible, stylish and powerful
At this budget, premium electric cars are genuinely accessible — and for company car drivers they carry the most significant tax advantage of any powertrain.
Tesla Model 3: the electric saloon entry point
Starting at round £415 a month for the premium long-range model
Autopilot standard; Supercharger network access; amazingly well spec’d as standard
View Tesla Model 3 lease deals
Tesla Model Y: best for charging infrastructure
Around £480 a month for the premium long-range AWD: Supercharger network gives the broadest rapid charging coverage in the UK
Exceptional boot space; Autopilot standard; 4% BiK in 2026/27 for business drivers – always check the latest figures at gov.uk
Premium SUV: go anywhere in style
Large, capable and genuinely prestigious: the depreciation case for leasing is most pronounced at this end of the SUV market.
Kia Sorento: best value seven-seat premium SUV
Starting at around £470 a month: three-row seating with adult-appropriate third-row capacity
Hybrid powertrain; Kia's seven-year warranty; strong safety ratings throughout
What to think about at this budget
Initial rental: at this price level the upfront payment has a more meaningful impact on monthly costs — decide how much to commit before comparing deals
Maintenance: premium brand servicing costs are higher; a maintained lease removes uncertainty: view maintained deals
Business use: EVs attract 4% BiK in 2026/27 versus around 30% for petrol equivalents — the annual tax saving can be substantial; always check at gov.uk for the latest details
Contract length: 36 months is often the sweet spot for premium cars: long enough to spread costs, short enough to refresh before technology moves on
Hybrid or full EV: how to choose | From quote to keys: the leasing process
Frequently asked questions
What car can I lease for under £500 a month?
What car can I lease for under £500 a month?
At under £500 a month excluding VAT the options include the BMW 3 Series, Audi A5 and Tesla Model Y. The right choice depends on whether driving dynamics, refinement, electric range or family practicality is the priority.
Is it worth leasing a premium car rather than buying?
Is it worth leasing a premium car rather than buying?
For most drivers, yes. Premium cars depreciate most heavily in absolute terms: a £55,000 executive saloon losing 50% of its value in three years is a loss of over £27,000. A lease removes that exposure entirely, fixes your monthly cost and means you are always driving a car under full manufacturer warranty.
Which cars in this bracket have the lowest company car tax?
Which cars in this bracket have the lowest company car tax?
Fully electric models attract the lowest BiK rate: 4% in 2026/27 for all pure EVs. The Tesla Model 3 and Tesla Model Y are the EV options at this price point. Verify current rates at gov.uk as they change annually.
Ready to find your deal?
Browse the full range or speak to the team, open Monday to Friday, 8:45am to 5:30pm.