Best Cars with Low Road Tax in 2025
Car tax can be a big expense when owning a vehicle, but it doesn’t have to be. We've put together a list of the best cars with low road tax to help you find a cost-effective option that fits your needs and your budget.
The Cazoo editorial team
Published on 23 April 2025 | 2 mins read
Choosing the right car isn't just about style or performance—it's also about making smart financial decisions. If road tax savings are on your radar, a low road tax used car can be an excellent way to cut costs without compromising on quality or comfort. From cheap road tax cars for city drivers to the best cars for low tax that fit the whole family, there are plenty of fantastic options available that won't stretch your budget.
Here's a rule worth remembering: Cars registered before April 2017 often come with the lowest tax rates, with some costing as little as £20 a year. Whether you're searching for a compact hatchback, a spacious family SUV, or an efficient second-hand gem, we've rounded up ten brilliant picks that offer huge road tax savings and incredible value.
BMW 2 Series
Think low road tax means giving up on luxury? Think again! The BMW 2 Series offers premium quality with surprisingly low tax rates. Opt for the 218d or 220d diesel models registered before 1 April 2017; you'll only pay £20 or £35 per year. With 190 bhp in the 220d, you'll enjoy sporty performance without the hefty tax bill.
Ford Fiesta
A true British favourite, the Ford Fiesta combines affordability, reliability, and fun driving dynamics.
Some previous-generation diesel models (2008-2017) with the 1.5 TDCi, 1.4 TDCi or 1.6 TDCi diesel engines cost as little as £20 a year in tax, while 1.25-litre petrol models built between 2012 and early 2015 qualify for an annual tax rate of just £35. The 1.0 EcoBoost petrol engines also have low tax rates while delivering impressive fuel efficiency.
Hyundai i10
Need a small hatchback with big savings? The Hyundai i10 has you covered. Models such as the 1.0 SE Blue from early 2017 offer £20 annual tax, while other pre-2017 models, such as the 1.2-litre SE and Premium models with manual gearboxes, cost less than £35 a year. The Hyundai i10 offers affordable tax, provides a surprising amount of interior space, and is very cheap to run.
Mazda 3
Stylish and fun to drive, the Mazda 3 is a family-friendly hatchback that ticks all the boxes.
The 1.5-litre and 2.2-litre diesel models will only cost you £20 a year in road tax if you choose a manual transmission. Even petrol options, such as the 1.5 and 2.0-litre models, are budget-friendly, costing just £35 a year in tax. Just be sure to look for models registered before 1 April 2017.
Mercedes-Benz GLA-Class
Looking for a luxurious SUV with a high driving position and low running costs? The 2014-2017 Mercedes-Benz GLA could be the perfect fit. Some diesel models, such as the 200d, cost as little as £35 a year in tax. Plus, you'll enjoy the prestige of a Mercedes badge and the practicality of an SUV.
Mini Hatch
The latest version of the Mini Hatch has been on sale since 2014, and it remains as popular today as ever. Plenty of brilliant used examples are on the market, with the 1.5 Cooper D model sold before 1 April 2017 offering the best tax rate at just £20 a year.
Certain trim levels push the CO2 emissions into the next tax bracket, but they cost just £35 a year. Other models to look out for in the £35 a year bracket are the diesel-powered 2.0 Cooper SD and anything with the 1.2-litre Mini One petrol engine.
Nissan Qashqai
Looking for a family SUV that won't break the bank? The 2014-2017 Nissan Qashqai could be the perfect match, specifically one with a 1.5-litre or 1.6-litre diesel engine.
Depending on trim level and options fitted, the Qashqai will cost you either £20 or £35 a year in road tax. It's practical, well-equipped and incredibly economical, making it an excellent fit for those looking for cheap running costs without compromises.
Peugeot 3008
Another standout low-tax option is Peugeot's 3008 family SUV. Diesel models, such as the 1.6 BlueHDi engine, produce such low emissions that they qualify for £20 annual road tax. If you prefer petrol power, models such as the 1.2 PureTech 130 cost just £35 a year—a stylish and cost-effective choice for families.
Renault Kadjar
Launched in 2015, the Renault Kadjar is a stylish, comfortable, and well-equipped family SUV with a range of impressive engines, smart styling and incredibly low tax rates.
Pre-2017 models equipped with the 1.5 DCi diesel engine cost between £20 and £35 a year to tax, depending on the trim level. Later 1.6 litre diesel-powered models will also cost just £35 a year to tax.
Volkswagen Golf
The seventh-generation Volkswagen Golf (2013-2020) is a classic hatchback that consistently ranks among the best in its class.
Models built between 2013 and 2017, such as the 1.6 TDI 105, 110 diesel and the 1.0 TSI petrol, often cost as little as £20 a year to tax. Depending on their power and release date, other models—including the 2.0 TDI diesel and 1.4 TSI petrol models — cost either £20 or £35 a year to tax.
