We've found 20 affordable classic cars that are free from tax, MOT and ULEZ

28 January 2024 , 08:00

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Pick up a MKII Volkswagen Golf this year and you won't have to pay tax, ULEZ fees, or take it for an MOT test

It might seem like the arrival of wider ultra-low emissions zones has sounded a death knell for older cars, and made life more expensive for families who can't afford newer, cleaner vehicles.

But there's a great way to cheat the system and still drive around in an interesting car, and potentially save a bucket load of money at the same time.

It's fairly well known that classic cars are exempt from MOT and tax, but were you aware they're actually ULEZ exempt too?

Cars over 40 years old are considered to be "historic" and therefore they're given the exemptions but, handily, it extends to ULEZ charges. Even though these cars haven't got a hope of meeting modern emissions standards, they'll sail past the cameras.

These Fords are all going to reach historic status this year

And as our guide to some of the best options shows, it's quite surprising just what slips into this "historic" classification this year, and how affordable they can be.

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Cars we grew up seeing on every street corner might seem to be thin on the ground nowadays in some cases, but a lot of them were built well and their simple mechanics can make them easy to fix and surprisingly cheap to run. They're often quite practical too, and they can be great fun to drive.

There are other benefits to owning a classic car. Used values are likely to stay rock solid, with some of them soaring in value, and you'll command far more respect from fellow motorists than you ever would in a Tesla.

Do be wary though, that classic cars can and do break down, and they need maintaining properly to keep them running well. They often don't come with many of the creature comforts we're used to and even though you're not legally obliged to put it through an MOT, you really should.

It's also worth remembering classic cars aren't as safe as modern cars, and they will be more susceptible to rust and other complicated mechanical maladies that might require specialist attention.

But they're usually very cheap to insure through specialist schemes, and the money you'll save on tax and not having to pay clean-air fees should mitigate these costs to some extent.

More than anything, though, older cars are really interesting and can be a joy to own and show off.

Here's a pick of some of the best options to consider if you fancy going down this road. The prices we've suggested are around the minimum budget you should consider for something that should be roadworthy, but perhaps with a bit of work needed. In most cases, you probably ought to aim to pay a bit more.

1. Ford Orion - expect to pay at least £1,500

The Mk1 Ford Orion is still a practical family car

This one makes me feel quite old. My friends and family drove around in these once ubiquitous family saloon cars. Based on the MK4 Escort, the Orion sold strongly and production continued until 1993, but there are still a few around and they're still a very competent family runabout.

The first Orions were sold in 1983, which means if you can find an early one you can benefit from historic vehicle status in a car that doesn't feel like it's past its best.

2. MK2 Volkswagen Golf - expect to pay at least £2,500

Volkswagen Golfs have a solid reputation for a reason

Here's another car that doesn't seem like it should have hit historic status yet. It was a great car in its day, and it's still a viable option now, if you can find a good one.

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Solid, dependable, and spacious, the second generation of Golf is just starting to hit 40 years old, and it's a very strong choice for a family runabout.

3. Volkswagen Polo MK2 - expect to pay at least £1,500

It might seem an unlikely classic, but the Mk2 Polo has plenty of fans

Lovingly known as the "bread van" this car has a bit of a cult status among collectors and enthusiasts, so there are some nicely preserved examples about, along with a few rotters.

Pick a good one though and you'll have a solid, reliable, and functional family car that will stand out from the crowd and draw lots of admiring glances.

4. Vauxhall Nova - expect to pay at least £1,500

Vauxhall Novas are surprisingly fun to drive

Vauxhall really moved the game on when it launched the Vauxhall Nova back in 1983, and it became an instant hit. There aren't many around now, but they're still a great source of lightweight fun.

If you want a small car that will put a big, nostalgic smile on children of the 1980s and 1990s, this might be it.

5. Peugeot 205 - expect to pay at least £1,000

Old 205s are surprisingly affordable - if you can avoid the temptation of the GTi

Hot on the heels of the Vauxhall Nova, Peugeot launched the 205, another small car that would go down in history and mobilise a generation in a fun, affordable way.

Basic models are thin on the ground, but they're the ones to go for - because the GTi versions are fetching astronomical prices now. The rattly old non-turbo diesel might be worth a look. They're not quick, but they're as tough as old boots.

6. Ford Fiesta - expect to pay at least £2,000

A good Fiesta will hold its value really well

Yes, another Ford, and another car we might not think of as being "historic", but the MkII Fiesta launched in 1983 and became part of the automotive furniture, with at least one parked on every street.

They're still great to drive, cheap to fix, and there are a few about if you look in the right places. Fast versions like the XR2 are becoming hot property now, but although the lowlier models are basic, they're lovely, nippy little cars.

7. Mk1 Nissan Micra - expect to pay at least £500

If you can find a rust-free one, the K10 Micra should be fairly dependable

You'd be surprised how solid and dependable these old Micras can be. There are not so many about now, but this was the era when Japanese cars started to really make an impact, so picking something like this could be a wise choice.

Look out for rust and be ready for a lot of wear and tear, but an early pre-1984 K10 Micra could be a fine companion.

8. Honda Civic, third generation - expect to pay at least £1,500

Rare, but reliable - the third generation Civic is a nice car to drive

This distinctive classic hatchback is only just turning over to its 40th year, so look for an early one. But how cool are they?

Throughout pretty much all eras, Honda produced really reliable and dependable family cars, and the MKIII Civic was no exception. The challenge will be finding one, they're quite rare.

8. Austin Maestro - expect to pay at least £,1500

The MG Maestro is really going up in price - but more basic versions are still affordable

Another relative newcomer to the 40 club, the Maestro was a bit of a success story for British Leyland, with 605,000 being sold.

There's nowhere near that many about now, but it's still a good option if you can find a good one.

The Vanden Plas with its talking dashboard would be a fine choice, as would the surprisingly bonkers MG version.

9. Austin Rover Mini MKV - expect to pay at least £4,000

The Mini will be a sound investment - if you can find one at the right price in the first place

Of course, the Mini needs to be on this list. It's a car that's spanned so many generations, but hundreds more old examples enter the historic classification every year, with the lovely MKV coming of age in 2024, so do consider one.

Used values are really strong, so don't expect a bargain unless you're keen on a project, but who doesn't want an original Mini? I know I do.

10. Fiat Panda 4x4 - expect to pay at least £5,000

The original Fiat Panda is lightweight and fun - but not as cheap as you might imagine

You might be a bit shocked to see just how much these can be worth nowadays, thanks to their cult following, but it's a really versatile car which has very gracefully become a sought-after classic.

Basic, but rugged and reliable, the Panda 4x4 could be just the tool for the job if you need a classic that doesn't mind a bit of mud from time to time.

11. Fiat X1/9 - expect to pay at least £4,000

Be prepared for some niggles, but the X1/9 is such a fun car to drive

Sticking with Fiat, even the more desirable later models of Fiat's attractive X1/9 are now over 40 years old, and it's such a fun car - I know that because I've owned one.

I also know from first-hand experience that they can be horribly unreliable, and they're definitely prone to rust. But find a good one and you'll have one of the most enjoyable classic sports cars out there.

12. Porsche 944 - expect to pay at least £5,000

Avoid the lemons, save up for a good one, and you'll reap the rewards of 944 ownership

Speaking of sports cars, there's a world of choice when it comes to fun and interesting classic cars - but the Porsche 944 is the one I'd pick.

There are plenty about that are over 40 years old, or are about to reach that milestone, and finding a good one is relatively easy. But be prepared to pay decent money for a decent example.

13. Mercedes Benz W123 - expect to pay at least £4,000

Trustworthy workhorses like the Mercedes Benz W123 are still surprisingly common on the market today

Mercedes sold 2.7 million of these incredibly robust executive cars before production ended in 1985, so there should be a few to choose from that are nearing - or have passed - their 40th anniversary.

These are the days when Mercedes was building properly solid cars, and they can often come with lots of creature comforts. As a family barge, then, they don't come a lot safer or more reliable than this.

14. Volvo 200 series - expect to pay at least £3,000

Perhaps the safest way to carry your family around in a classic car

....Having said that, you can't go far wrong with an old Volvo. Crash one into a tank, and the tank would come off worse, or so the legend goes.

The 240 was such a marvellous family chariot in its day, and you'll start to see more and more 40-year-old saloons and estates on the market in the coming years.

15. MGB - expect to pay at least £6,000

The perfect first classic? If you want to own an historic sports car, the MGB might be the best place to start

A fun fact about the MGB - there are so many new parts still being made, you could actually build one from scratch - and people do.

But find yourself an original, and you'll be in one of the most accessible classic cars out there. They're still great fun, too.

16. Triumph Stag - expect to pay at least £4,000

Four seats and a V8 burble - what's not to like?

Yes, it might have had a slightly dodgy engine that was prone to overheating, but it's nothing a modern fan won't fix. But the Triumph Stag is still a great car to drive and, with two seats in the back, the family can come along too.

Sporty family cars with a V8 burble are becoming a real rarity now, but the Stag will keep you rooted in that glorious era for ever more.

17. Rolls Royce Silver Shadow - expect to pay at least £5,000

Some nice examples are still around, and it's a textbook Rolls Royce - just be prepared for big running costs

Its reputation might have been worn away by some questionable characters over the years, but one of the most iconic Rollers ever made is comfortably into its 40s now. And what an option.

Prices have started properly creeping up these days, but there are still some cheap ones about. Just be prepared for big bills if anything goes wrong, and remember you'll soon be on first-name terms with the staff at your local petrol station. Sorry about this one, Mr Kahn.

18. Jaguar XJS - expect to pay at least £6,000

Not the most reliable option on our list, but grace and pace are high on the agenda with the XJS

Given the sorts of values we're seeing for prestigious marques that are entering their 40th year, I'm actually quite surprised at how affordable these elegant Jaguar coupes still are.

Sure, they're not going to give you hundreds of thousands of trouble-free miles - in fact, every time I've driven one something has broken, but they're incredibly luxurious and I suspect values will increase soon - so it might be a good time to invest.

19. Porsche 928 - expect to pay at least £13,000

The thinking man's Porsche? A surprising amount of car for the money, especially if you like the looks

This is another car that's surely going to see values soaring soon. Or is it? The 928 feels like the forgotten Porsche to me, with everyone craving 911s and 944s of this vintage - but with a V8 engine and unusual styling, they're not a bad buy these days.

Practicality and performance are their strong suits, so if you're after a speedy car that can (just) fit a small family, give this one some thought.

20. Land Rover 110 - expect to pay at least £10,000

You can't beat a Defender for versatility and dependability, and they're a great investment these days

The Land Rover 100 first hit the roads (and fields) in 1983, so it's a fairly new entrant to the 40+ club, but it deserves an inclusion on this list because it hasn't really changed all that much in more recent years.

If you need a workhorse that can be relied upon to get you just about anywhere, this is it. The 110's longer wheelbase made it more practical and versatile than ever, and it's wonderful to think you could potter around London in one, annoying all the EV owners. Get in there quick though, because used values are going skywards.

Gareth Butterfield