Is now the best time to lease a car?
Mon, 05 Jan 2026
New figures show a sharp increase in car leasing with UK buyers “waking up” to the concept of PCH says leasing firm leasecar.uk
PCH - or personal contract hire - is the official term for car leasing and leasecar.uk – the trading arm of Central Contracts – argues it has now become the savviest way to drive a new car.
Low and predictable monthly payments, plus the ability to move into a new car at the end of the least without the hassle of selling it, are cited as key benefits of car leasing.
Monthly payments are lower too, says Central Contracts’ Gareth Roberts. "You’re only paying for the car’s use, not its full purchase price."
He also points out that leasing eliminates the risk of depreciation. “When you buy a new car, its value plunges, With car leasing, the leasing company takes that risk – if it is worth less than expected at the end, it is their problem, not the customer."
Road tax is included when you lease a car and many companies offer maintenance packages too – which sometimes can even be extended to tyre replacement.
"PCH is the ultimate ‘hands-off’ approach to new car ownership," reckons Roberts. "No stressful selling, no depreciation worry… you just focus on the driving.
"It is your shield against the cost-of-living crunch on the driveway. You lock in low, fixed monthly payments and you’re completely protected from the car’s value dropping, which is a risk no-one needs right now."
As an example, Roberts highlighted the cost of a new Kia Sportage GT-Line hybrid, which costs from £403 a month on PCH car leasing, compared to £587 a month on a PCP.
On traditional HP, costs rocket to £1214 a month and even a personal loan dips well into four figures, at £1119 a month.
Leasing won’t be for everyone, but it could offer a cost-effective way into a new motor for many says Roberts.
