How Much Does It Cost to Run a Car?

How much does it cost to run a car?

Jason Barker • April 1, 2024

Along with the overall increase in the cost of living, the costs of running a car are also on the rise. In this blog, we provide an overview of the things you should consider when working out how much it costs to run a car over time.

Service & MOT costs

We advise booking your vehicle in for an annual service and MOT to ensure it remains safe and road-worthy. Whilst a service is not technically a legal requirement, it will help to maintain your car and flag up any minor issues before they turn into larger, more expensive problems.

Fuel costs

While the cost of fuel may vary around the country and dependent on the brand, there are other variables to consider when estimating your fuel cost. You should consider the estimated fuel consumption of your vehicle and the fuel type (petrol or diesel).

Tax

The amount of tax charged is dependent on the age of the vehicle and in some cases, the level of CO2 produced. There may also be an additional charge payable for cars with an initial list price of more than £40,000. There are several resources online to check the exact rate of tax payable for your vehicle.

Insurance

Ultimately, the cost for your insurance will be calculated based on the insurance classification for your vehicle, and the level of cover chosen. We always recommend using a local broker to ensure you choose an insurer and policy suited to your individual circumstances. You can also read our blogs ‘How do I choose the right insurance company for me?’, ‘What car insurance should I buy?’ and ‘What should I look out for when purchasing car insurance?’ for further information.

Depreciation

Whilst not technically a running cost, you should also consider the loss in value over time when estimating how much your car will cost you. Whilst most cars will depreciate over time, you can minimise this loss by keeping a record of all servicing, dealing with minor issues prior to them becoming extensive problems, cleaning your car on a regular basis and keeping the mileage low where possible.

Finance

If you need to borrow money to buy a vehicle, for example via a finance arrangement, you should consider the interest and other fees associated with the repayment method.

Miscellaneous Costs

We also recommend budgeting for any miscellaneous costs where possible. For example, if parts on your car start to show signs of wear and require replacement, this will usually be an additional cost. Please remember that if you’re involved an accident and need to make a claim on your car insurance, we have various excess support options available to help our customers.

If you’ve been involved in an accident, have damage on your vehicle or just have a general query, don’t hesitate to get in touch!

< Older Post

Newer Post >

A New Chapter Is Coming to CARS of Grimsby

By Ebony Morgan • July 22, 2026

For many years, CARS of Grimsby has supported motorists with trusted accident repair and vehicle care services. As a family owned and run business, we have always believed that great service comes down to doing the job to the best of our ability, communicating honestly and treating every customer as an individual. Those values have helped us build strong relationships with motorists, insurers and businesses, and they remain just as important to us today. Now, we are preparing to begin an exciting new chapter. Decades of Accident Repair Experience in Grimsby CARS of Grimsby is best known as an established and multi-award-winning accident repair centre, helping customers get back on the road following everything from minor bumps to more significant damage. That work has given our team a detailed and thorough understanding of vehicles and their condition. When you spend years repairing bodywork, checking panel alignment and assessing previous damage, you learn to notice the details that may not always be obvious at first glance. You also learn how important quality, safety and honesty are to motorists. Our team has developed this knowledge through experience, ongoing training and working with a wide range of vehicles over many years. It is experience we are proud of, and it will remain at the heart of the next chapter of CARS of Grimsby.

Coffee with CARS is always a good idea!

By Ebony Barker • July 1, 2026

Had an accident and not sure what happens next? You’re not alone. At CARS of Grimsby, our friendly team are on hand to offer honest advice and guidance throughout the insurance claims process. We’ll help you understand your options, and explain what you do (and don’t) have to do after an accident.