RealCost Guide
Cost of Running a Car UK
Running a car is not just fuel. A proper UK car budget should include fuel or charging, insurance, road tax, servicing, MOT, tyres, repairs, parking and depreciation.
Use this page to estimate what your car costs to run each month and year, then check which costs are fixed, which change with mileage, and which can catch you out if you do not budget for them.
Calculate your car running costs
Use the Car Cost Calculator to estimate your monthly and yearly running costs. Include regular costs such as fuel, insurance and tax, plus less regular costs such as servicing, maintenance, tyres and depreciation.
This calculator is for budgeting. It cannot predict every repair, insurance renewal change, MOT failure or future fuel price, so leave a sensible buffer.
Quick answer: The cost of running a car in the UK depends heavily on mileage, insurance, fuel economy, repairs and depreciation. A small low-mileage car may be manageable, while a larger, older, high-mileage or expensive-to-insure car can cost much more each month.
What counts as car running costs?
For this page, running costs are the costs of keeping and using the car after you buy it.
Fuel or charging
Your usage-based cost. Mileage, MPG, driving style, petrol price or electricity price all matter.
Insurance
Often one of the biggest monthly or yearly costs, especially for young drivers, higher-risk cars or expensive repairs.
Servicing and maintenance
Routine servicing, oil, filters, brakes, fluids and general maintenance should be treated as monthly costs even if paid yearly.
Road tax
Vehicle tax can be low, high or zero depending on the car. Do not assume two similar cars cost the same.
Tyres and MOT
Tyres, MOT tests and MOT repairs are easy to forget until they arrive together.
Depreciation
Depreciation is not a bill, but it is still real money lost when the car becomes worth less.
Monthly costs vs yearly costs
The mistake is only budgeting for costs that leave your account every month.
Monthly-style costs
Fuel, finance, insurance paid monthly, parking permits and regular commute costs are easier to notice.
Yearly or irregular costs
Servicing, MOT repairs, tyres, tax, annual insurance and breakdown cover need dividing into a monthly budget.
Silent costs
Depreciation and wear do not feel like bills, but they affect what the car really costs you over time.
Running costs change with how you use the car
The same car can be cheap for one driver and expensive for another.
Low-mileage driver
Fuel may be low, but insurance, tax, servicing and depreciation can still make the car expensive to keep.
High-mileage driver
Fuel, tyres, servicing, repairs and depreciation usually become much more important.
Commuter
Regular commuting can add parking, congestion, wear, tyres and higher monthly fuel costs.
Example running-cost budget
This is not a national average. It shows how quickly separate car costs become a real monthly budget.
£120 per month
£70 per month
£15 per month
£80 per month
£125 per month
Total example: £410 per month, or about £4,920 per year. Your own result could be much lower or much higher depending on the car, mileage, insurance and repair risk.
How to reduce the cost of running a car
Focus on the costs that actually move the total, not tiny savings that do not change the decision.
Check insurance before buying
Do not assume a car is cheap to run until you have checked real insurance quotes.
Know your fuel cost per mile
This helps you judge commuting, trips, school runs and regular journeys properly.
Avoid repair-risk cars
A cheap car with expensive faults can cost more than a slightly dearer, better-maintained car.
Budget for tyres and servicing
If you do not save for them monthly, they feel like sudden emergencies.
How this page is different from related RealCost pages
This page has a specific job, so it does not duplicate stronger pages.
Practical running-cost budgeting once you own or are about to own a car.
Broader ownership-cost picture including buying decisions and total cost of ownership.
The costs people forget or underestimate before buying or budgeting.
Useful calculators and guides
Use these next to calculate the main parts of your running cost.
Open calculator →
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