Is a 'reliable' petrol a lot more reliable than a diesel equivalent ?
In reality money will be tight because im condoning the purchase through being able to save on fuel and tax costs.
You'll be doing nearer 14,000 miles a year with that sort of commuting. Buying a diesel for it isn't totally stupid, it's coffin dodgers who buy them for their 3 mile weekly trip to Tesco who are complete fools.
Compared to your current car you'll be saving maybe £500 a year in fuel, sounds great but you'll still need to own the car for 8 years to make back your outlay on the car so if you're buying it purely to save money then I'd advise against it.
If you're buying it because you want something bigger, better, nicer, faster, more comfortable that's fine, but spending £4,000 you could do without spending in order to save money is folly.
As for the tax, I doubt your car is more than £150-£200 a year? Even if you get something that's £30 to tax, so what? All you need is one cracked brake shoe and you've wiped out the years saving.
For half of your budget you could get a very decent Focus or similar.
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