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How To Save On Car Running Costs

Written by Jamie Burgoyne | Aug 29, 2025 12:33:43 PM

👉 Ways To Save On Car Insurance
👉 Cut Your Road Tax In 2025
👉 Save On Your Next MOT
👉 Reduce Your Fuel Bill
👉 Avoiding Depreciation
👉 Final Word

The average cost of running a car in the UK ranges anywhere from £3,000 to £4,000, a hefty chunk of your income that could be used elsewhere. We’ve broken down car running costs in a separate piece, How Much Does It Cost To Run A Car In 2025?

Although some costs are unavoidable, there are a few clever ways to reduce them and save some much-needed cash.

Cut The Cost, Not The Cover: Smart Ways To Save On Car Insurance

All cars on UK roads must be insured, but that isn’t to say that you can’t save on payments…

Car insurance costs are determined by group, with 1 being the cheapest and 50 the most expensive. Cars are allocated a group based on a few factors:

  • Engine size
  • Emissions
  • Cost
  • Accident history associated with the brand or model

If you are looking to save on car insurance costs, choose a car that sits in insurance group 1. Here are a few group 1 insurance cars that can help you save:

  • Citroen C1
  • Fiat Panda
  • Hyundai i10
  • Nissan Micra

These cars all have something in common, size. These smaller vehicles are some of the cheapest to insure on the market and can be a great way to bring down insurance costs, which are £757 on average a year.

(Source: Confused.com)

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