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The price on the windscreen is only the beginning. Whether you are spending £4,000 or £14,000 on a used car, the money you hand over at the forecourt is the easy part to plan for. It is the months that follow that tend to catch people out, and a little forward thinking now saves a great deal of stress later.

Start With the Costs You Know Are Coming

Before you commit to any car, write down the annual costs you can predict with reasonable accuracy. These are not guesses; they are the dependable expenses that every owner faces.

• Insurance — premiums vary hugely by postcode, age, driving history and the car itself. A group 20 hatchback can cost three times as much to insure as a group 8 supermini of the same age.
• Vehicle tax — cars registered before April 2017 are taxed on CO2 emissions, and some low-emission models are still surprisingly cheap. Most petrol and diesel cars registered after that date pay a flat rate of around £195 a year, with an extra charge in the first year for pricier models.
• MOT — legally required from the third anniversary of registration onwards, with a maximum test fee of £54.85 for cars.
• Breakdown cover — basic policies start around £30 a year and are worth every penny if you do long motorway journeys.

Add these together and divide by twelve. That figure is your non-negotiable monthly baseline.

Fuel, Servicing and Tyres: The Costs That Vary

Running costs are where budgets quietly unravel, because they arrive in unpredictable lumps rather than tidy monthly amounts.

Fuel is the simplest to estimate. Work out your annual mileage, then divide by your car's real-world economy. A vehicle returning 45 mpg over 10,000 miles a year will use roughly 1,000 litres, which at around £1.40 a litre works out at about £1,400 annually — or £115 a month. If you drive 15,000 miles, budget £175.

Servicing should follow the manufacturer's schedule, usually every 12 months or 12,000 miles, whichever comes first. Expect a minor service to cost £150–£250 and a major service with plugs, filters and fluids to run to £300–£450. Skipping it is a false economy; a stamped service book protects both the car and its resale value.

Tyres are a genuine safety item and shouldn't be scrimped on. A set of four quality tyres for a family hatchback typically costs £300–£550 fitted. At around 20,000 miles per set, that is roughly £10–£15 a month put aside — and you will replace them in pairs rather than all at once, so the timing is rarely convenient.

Depreciation: The Cost You Never See on a Receipt

Depreciation does not appear on a bank statement, which is exactly why so many drivers ignore it. It is still real money, and it is usually the single largest cost of ownership.

A new car can lose 40% of its value in the first three years. A used car depreciates far more gently, which is one of the strongest arguments for buying second-hand in the first place. As a working figure, a £10,000 used car might shed £1,000–£1,500 a year.

You do not pay that in cash each month, but it affects what the car is worth when you part-exchange or sell. Factor it in when choosing between two similar vehicles: a model with strong demand and a full service history will hold value far better than an obscure one, even if it costs a little more today.

Put Money Aside for the Unexpected

Every car, however well maintained, eventually needs something expensive. Clutches wear, alternators fail, suspension bushes perish, and cambelts have a habit of becoming due at the worst possible moment.

• Clutch replacement: £500–£900
• Cambelt and water pump: £400–£650
• Alternator or starter motor: £250–£500
• Air conditioning regas and repair: £60–£400
• Brake discs and pads, all round: £250–£450

A sensible target is to set aside £50–£75 a month into a separate savings pot or a dedicated account. After a year you have a useful £600–£900 cushion — enough to absorb most common repairs without reaching for a credit card. Buyers who have a pre-purchase inspection done before parting with their money often find they need this fund far less often, but it is reassuring to have it either way.

Bringing It All Together

Take a realistic example. A £9,000 used hatchback driven 10,000 miles a year might cost:

• Insurance: £55 a month
• Vehicle tax: £16 a month
• Fuel: £115 a month
• Servicing and MOT, averaged: £30 a month
• Tyres, averaged: £12 a month
• Depreciation: £100 a month
• Repair fund: £60 a month

That is roughly £388 a month — considerably more than the finance payment alone. If that number feels uncomfortable, the car is too expensive for your circumstances, regardless of how good the deal looks.

The good news is that a well-chosen used car with a documented service history, a fresh MOT and a thorough pre-purchase check will keep the worst surprises at bay. Budget properly, keep a little in reserve, and car ownership becomes what it should be: a convenience rather than a constant worry.