Although used car prices have seen something of a spike in recent years, this is partly down to the restricted supply of new cars increasing the demand for used examples.

Ultimately choosing between a new or used car is a matter of balancing the financial aspects against the potential risks of owning a car versus a leased car. A new car comes with a warranty and within reason should not require any expenditure for the first three years, but this is also the most expensive option. Conversely buying a three-year-old car means the worst period of depreciation has passed, but the responsibility for ownership and maintenance then lies with the owner.