Buyer guide
What makes a good car lease deal? Compare the cost per month over the whole term
Published · Example prices are real CarJab offers taken on ; dealer prices change.
A good lease deal is a low cost per month over the whole contract, with the initial rental included, on the term and mileage you actually need. The advertised monthly price on its own can mislead: MoneyHelper warns that some dealers tempt you with low monthly payments but a big upfront fee.
1. Normalise the price
normalised monthly cost = (initial rental + (term − 1) × monthly) ÷ term
That is the lease total divided by the number of months. It puts a 1-month-up-front deal and a 12-month-up-front deal on the same footing. CarJab ranks its best deals this week this way.
| Vauxhall Corsa 1.2 Turbo Ultimate, 24 months, 12+23 | £171.34 advertised → £249.87 normalised |
|---|---|
| Nissan Qashqai N-Connecta, 48 months, 12+47 | £251.00 advertised → £308.52 normalised |
| Nissan Qashqai N-Connecta, 48 months, 1+47 | £315.50 advertised → £315.50 normalised |
| Fiat Grande Panda Electric, 48 months, 1+47 | £264.58 advertised → £264.58 normalised |
The Corsa looks £93 a month cheaper than the Grande Panda, but normalised it is £15 a month cheaper, on half the contract length. Normalising does not make different terms comparable on its own, which is the next point.
2. Compare like with like
- Same term. A longer contract usually lowers the monthly price; MoneyHelper notes you may not want the car as much five years in.
- Same annual mileage. A higher allowance costs more per month but avoids excess charges. Pick the mileage you will really do.
- Same inclusions. Maintenance packages, and whether a quote is personal (VAT included) or business (excluding VAT). CarJab lists personal prices only.
3. Decide how much to pay up front
A bigger initial rental usually lowers the total a little, but you hand over the money on day one. On the Qashqai above, paying £3,012 up front instead of £315.50 saved £335 over 48 months (£14,809 against £15,144). Whether that is worth it depends on what else you could do with £2,696.50 for four years, and on what happens if the contract ends early: the BVRLA says early termination of a contract hire may not be allowed and, if it is, can cost much more than 50% of the total amount payable.
4. Read the terms that cost money later
- Excess mileage rate in pence per mile (see excess mileage).
- The return standard: most leasing companies use the BVRLA Fair Wear and Tear Guide.
- Early termination charges and any admin fees.
- For electric cars, any battery-related return conditions (see EV leasing).
BVRLA members must explain these before you sign under the BVRLA Leasing Code.
5. Check the price is real and current
Every CarJab offer is copied from the dealer's own page, and landing pages show only offers seen there in the last 14 days that pass CarJab's accuracy checks. Prices still change: confirm on the dealer page before you apply. Start with leases under £300 a month or browse by make.
Questions and answers
How do I compare two lease deals fairly?
Work out each lease total (initial rental + (term − 1) × monthly) and divide by the contract months. Only compare offers with the same term and annual mileage, and check what each includes.
Is a bigger initial rental a better deal?
Sometimes slightly cheaper overall, but you hand over more money on day one. On the Nissan Qashqai example CarJab listed on 2 October 2026, paying £3,012 up front instead of £315.50 saved £335 over 48 months.
What else should I check besides price?
Annual mileage and the excess mileage charge, contract length, whether maintenance is included, early termination charges, and the fair wear and tear standard used at return.
How does CarJab rank the best deals?
By this normalised monthly cost within each finance type, using only live offers that pass CarJab’s checks. See the best deals this week page for the current ranking.
Sources
- MoneyHelper: Leasing a car with Personal Contract Hire (PCH)
- BVRLA: Leasing: Frequently Asked Questions
- BVRLA: Returning your leased vehicle (fair wear and tear)
- BVRLA: BVRLA Leasing Code of Conduct (PDF)
This guide is general information, not financial or tax advice. CarJab is not a lender or broker.