There are plenty of good micro cars with prices that start with an eight; a few, even, with a seven. The Twingo starts at £9545.
Knowing that most city cars are bought on finance, Renault will probably offset some of that price penalty against lower interest rates, and will rightly be able to factor the car’s four-year, 100,000-mile warranty, four years’ breakdown cover and four years’ free servicing into the monthly payment mix.
Still, on the face of it, the car’s not cheap. Neither is it overly frugal, despite Renault’s claims. On our touring economy test, the naturally aspirated Twingo returned 51.7mpg. Under the same circumstances, the more powerful Volkswagen Up nudged 60mpg, and the current Toyota Aygo bettered it.
Residual values aren’t expected to be stellar, although they are competitive. And insurance costs should be competitive, too, with only a handful of cars in the class qualifying lower than the group two rating of the entry-level car.
We'd recommend opting fro a Dynamique TCe if you can. It'll be more economical in the real world and just as cheap to tax, but a bit more to insure. It comes well equipped but give yourself a personalisation budget to play with.