The interesting cars being killed by road tax – are they hidden bargains?

Instead, this is a list of bargain luxury barges, lightweight sports cars and souped-up hot hatchbacks that get punished with value-ruining road tax. With their £735 annual renewal many people write them off – but, because of that, there are some cracking bargains out there. Alternatively, we’ll tell you how to get yourself into one of these fantastic beasts, while avoiding the worst the DVLA has to offer.

The best way to buy one of these costly and often ignored specimens is to write the cost of the tax into your budget. For example, if you have a £10,000 budget, spend £7k on the car, and the rest on four years worth of road tax. You’d be surprised how much further your money can go in this overlooked corner of the market.

The killer £735 tax band was in operation for cars registered between 23 March 2006 and 31 March 2017 – for cars before this period tax tops out at £415, and for cars afterwards, it’s a maximum of £190 – as long as its more than five years old. For this list, we’re omitting SUVs as so many of them are in the top tax bands due to their comparatively high CO2 emissions.

Always remember to check the exact road tax band a car sits in – and its ULEZ status - before you buy, as this can vary with specification. Alternatively, we’ve compiled a list of tax busters.

Alfa Romeo’s lineup in the 2000s was a funny place. Having two similarly sized front-wheel drive coupes sold alongside each other today would be madness, but we’re thankful when it now means we’ve got twice the choice.

The GT came a couple of years before the Brera and was supposed to be more practical and slightly less flamboyant, for example with five seats but without four-wheel drive. 

Even so, it still came in 3.2-litre V6 form, and in another seemingly strange choice, this was a completely different engine to the Brera’s. It was Alfa's wonderful Busso. 237bhp might be a tad down on the newer engine but it made a noise that has gone down in history as one of the all-time best.

Grab a pre-March 23 2006 example to avoid the big £735. And make sure it's been well cared for to avoid other scary bills. 

One we found: 2004 3.2 manual, 95,000 miles, £5000, £415 tax

Based on the Premium platform co-developed by Fiat and GM during their ill-starred friendship, this trio of front-drivers failed to revitalise Alfa.

Most of the problem was that the platform (which only ever underpinned these siblings) proved costly to build yet delivered uninspiring dynamics and contributed to an inexcusably high weight. The Brera V6 we road tested (lighter than its two siblings in theory) weighed 1765kg, more than some Jaguar XJs of the period. 

Although arguably all that matters is that they still look crisp and stylish today in Brera coupe, Spider convertible or 159 saloon and estate forms. Furthermore, well-maintained examples have proven to be reliable and the 256bhp V6 is a joy – although not the famous Busso it is commonly mistaken for.

Only the earliest cars avoid the big tax bill, but even if you can't find one, pay the money just for the looks.

One we found: 2006 Brera 3.2 SV Q4 manual, 68,000 miles, £6200, £735 tax

There won’t be any Ferraris or Lamborghinis on this list as their equivalents are about twice the price of these bargain Astons. £25k is all it takes to get into a decent condition Vantage or DB9, and as such they are enticing buys with their values surely only going one way.

In convertible or coupe form both still look a million bucks and will perhaps age better than Aston’s recent fussier designs. The USP for the DB9 is probably its glorious V12, although the Vantage’s V8 is still a humdinger and offers an affordable gateway into a manual bruiser. 

Even on something of this value, the £735 annual bill will sting and has probably contributed to the relatively low prices. It’s another example of where it may be worth seeking out a pre-March 23 2006 car – otherwise, rock the bill and hope the appreciation that is sure to come will cover it.

One we found: 2005 DB9 auto, 65,000 miles, £23,989, £415 tax

In a swansong for the first-generation TT, Audi gave it a tinkering – for the end of 2005 and 2006 only, power from the 1.8 was lifted by 10bhp to 187, or by 15bhp to 237 for the new Sport Quattro variant – that was also 50kg lighter, stiffer, and more athletic than the 247bhp VR6.

Driving the front-wheel drive model, we noted the only real change was the four-tenths loped off the 0-62mph time, but we were still impressed by how compelling its styling was inside and out.

These last cars might well be the pick of the bunch; they’re all ULEZ compliant (unlike early ones) and aren’t priced at a premium despite the power bump. However, the very last cars (after 23 March 2006) slide into the £735 tax band, despite their modest capacity, so go earlier than this to avoid it.

Alternatively, use it as a bargaining tool if you find a good one.

One we found: 2005 1.8T Sport Quattro manual, 95,000 miles, £8750, £415 tax

These aren’t as hard or as fast as their fully-fledged RS counterparts but still offer rapid pace, just with an added dose of liveability and efficiency. And with some careful shopping, you can spend a quarter of the tax you might have done on an RS.

First-generation V6 S4s (B5) will be £415 in tax per year, however aren’t ULEZ compliant. The second generation S4 (B6), complete with its glorious atmospheric 339bhp V8, complies with LEZs, is no more to tax and is especially attractive because the updated B7 left the engine unchanged – so you’re missing nothing by going for the older car and dodging the £735 bill most B7s incur. 

The B8 S4, and its new S5 sibling, switched to a supercharged 328bhp V6, moving the cars back down a tax rung (to £415) – although the S5 could be had with the old V8 and its greater tax tag.

Then there’s the 2016 B9 S4 and S5 relation with their 349bhp turbocharged V6 – the early cars are £335 a year to tax but snap up one newer than 31 March 2017 (but older than five years) and it’ll be £190.

One we found: 2017 S5 3.0 Sportback auto, 82,000 miles, £16,999, £190 tax

Twelve cylinders are the ultimate form of sophistication, yet you don’t have to pay triple figures (or anything close to that) for a slice of the smooth runnings.

With Rolls-Royce being the only manufacturer still sticking duodecuple cylinder engines in saloons (and for how much longer we wonder?) the time is now to buy a car with a cylinder count fit for a Bentley, especially when they can be picked up for less than £10k. 

Pick between the D3 or D4 generation A8s for ULEZ compliance – the early D3s are temptingly cheap and potentially fit in the £415 tax bracket, but the more modern D4 may well be worth the extra (in cash and tax). With its 6.3-litre W12 (up from 6.0) producing 493 creamy bhp (to 444), the D4 is even better placed to motivate the well-over two-tonne limo – 0-62mph is as little as 4.4sec if you must know.

One we found: 2007 6.0 W12 Quattro auto, 72,000 miles, £8995, £735 tax

If you want to immediately one-up the person who just bought a bargain W12 A8, look no further. Because, despite the cachet of a Flying B badge trampling all over an Audis, for the same cash a W12 Bentley can be picked up.

Not only do they have a more tea-and-crumpet-feeling interior, but they also offer greater Vorsprung Durch Technik. The sumptuousness of the interior is down to the 13 cows whose hides went into the interior of a Flying Spur saloon (11 for the Continental coupe) while the Technik part is taken care of by the same basic W12 as in the A8. Except in the Bentley it's turbocharged (twice) for an earth-moving 552bhp and 479lb ft. 

Economy isn’t worth mentioning, and neither are the servicing costs, but cancel your order for a base spec £23k Toyota Yaris and spend the spare £10k keeping a Bentley in a condition fit for the King. Early ones dodge the big tax bill too.

One we found: 2006 Flying Spur 6.0 W12 4WD auto, 81,000 miles, £10,475, £415 tax

When shopping for an entertaining and stylish, but still practical saloon, estate, coupe or convertible, a 3 Series is likely to be on everyone's shortlist. The E90 3er family aced this brief, and perhaps no more so than with the twin-sequential turbo 335i. It was almost as quick as the outgoing E46 M3, torquier and far more efficient – to the tune of 10mpg.

Despite the more economical pretence, 302bhp is never going to be a low-emissions affair. As such lots of early 335s (2008 and before) are lambasted with the £735 tax reminder – although it is case-specific, and some cars manage to dodge it. With the 2008 LCI (facelift to you and I) tweaks lowered emissions and as such more cars will be ‘only’ £415 a year. 

In 2010 the engine was fundamentally revised, and the two turbochargers were replaced by a single twin-scroll setup improving efficiency, emissions and power delivery. As such these are the most desirable and seem to escape the biggest tax bill.  

One we found: 2010 335i M Sport manual saloon, 66,000 miles, £9250, £385 tax

M car performance for a lot less cash is a bit of a cliché because these aren’t as ferociously fast as their M counterparts. But they still offer plenty of power, just with a greater touring gait.

In 2005 BMW updated the range of engines available for the Bangle-styled 5 and controversial 6 Series. Most exciting was the introduction of the M5/M6 and its scintillating V10, but too often forgotten was the arrival of the 50i variants. These bored out the 333bhp 4.4-litre V8 from the 45i to 4.8-litres, liberating an extra 29bhp and bringing the torque figure to within 25lb ft of the V10, at 361lb ft.

Today these can be comfortably picked up for half the price of a V10 M car and have a USP in a (rare) manual gearbox. Like the M5, though, tax will come in at a hefty £735.

For something more modern look at the F1X 5 and 6 Series - the 50i models were now turbocharged for 402bhp. From 2014 that grew to 443bhp, yet they managed more than 30mpg and stand at £415 to tax. Tempting.

One we found: 2014 650i Gran coupe SE auto, 77,000 miles, £16,450, £415 tax

BMW was the first German manufacturer to put a V12 in a passenger car after the Second World War, and they first did so in a 7 Series, the E32 of 1987 to be exact. Today these are very rare and sought after. Its successor, the E38, is also well on the way to becoming a classic and prices are rising accordingly – one recently sold for £27k.

The Bangle Butt-ed E65 7 Series may struggle to gain the classic status of its slender younger brothers in a hurry, but there’s no arguing with the bargain basement prices. Even if you opt for a later car and incur the £735 tax, that may well be the smallest bill you have to face so keep lots in reserve from your budget. 

If something newer would help to reassure you, the F01 generation from 2008 introduced two turbochargers to the V12 for a thumping 536bhp. There’s no escaping that big tax bill though, unless you can be tempted into a rather more expensive post-2017 ‘M760Li’ with even more power and four-wheel drive.

One we found: 2004 E65 760Li auto, 110,000 miles, £5300, £415 tax

Hardly a common sight on British roads, but we were surprised to find that more than half of the four-and-a-bit thousand Crossfires sold are still on the road. It was heavily based on the first-generation Mercedes SLK (the 90s hit that popularised hardtop convertibles) but was arguably a better car.

Like the SLK it was built in Germany, but unlike the SLK this was done by coachbuilder Karmann, and perhaps they did a better job because rust isn’t such the problem it is on the SLK. What’s more, Crossfires offered the choice between a proper tin-top or rag-top, and skipped the four pots in favour of a grunty 215bhp V6, optionally with 330bhp in AMG-fettled supercharged SRT-6 form.

Most cars predate March 2006, and as there were no late-life changes nab one of these for the cheaper tax.

One we found: 2004 3.2 manual coupe, 76,000 miles, £1559, £415 tax

Prices for the C6 aren’t quite as low as what you might expect for a potentially troublesome big-Citroen. In fact, prices may already be on the up.

This is understandable if you’re a buyer looking for something very different to the Germans; from the curved rear windscreen to hydropneumatic suspension, the C6 didn’t do things by halves. Running costs aren’t done by halves either, reliability woes are well documented and the 2.7-litre twin-turbo diesel that 90% of examples have managed to be inefficient enough to be hit with a £710 tax renewal, but also quite slow. 

The later 3.0-litre diesel was efficient enough to drop a tax band, and while the four-cylinder diesel produced no less CO2 than the aforementioned, it is more readily available. The 3.0-litre petrol is the only ULEZ-compliant motor, but is no faster than the diesels and even more to tax…

One we found: 2009 2.2 Exclusive auto, 71,000 miles, £4980, £415 tax

Shorter than a Mini Clubman, lighter than a Lotus Emira (at a scant 1250kg) and with a reasonable 2.0-litre displacement, the S2000 doesn’t sound like a recipe for high emissions. But, alas, it is, and as such all cars registered after March 2006 will be £710 a year in tax.

Luckily that leaves plenty of earlier models with a lower tax bill, and even some AP2 facelifts which arrived in 2004, dodge the ULEZ charge and are distinguished by their 17in alloys and LED taillights. Under the skin, rigidity was improved and a 2.2-litre engine was introduced for the US and Japan – a quick way to check if one you’re looking at is an import. 

Prices are firmly on the up now, and with that glorious 9000rpm-redline VTEC engine it seems obvious they will continue to go in that direction. With the lower tax running costs shouldn’t be too bad; reported reliability is good.

One we found: 2005 2.0 i-VTEC manual, 77,000 miles, £11,999, £415 tax

The exact opposite of the S2000 in many ways, except in what it’ll cost you to tax. We do miss when Honda’s range spread far and wide, and that was a tactic which would come to an end with this final generation (for Europe) Legend.

It was a sales flop as the majority of luxury car sales moved to diesel power when Honda only offered a 3.5-litre V6 paired to ‘Super Handling’ SH-AWD - a combination which now means VED costs are £735 every year, unless it was registered before March 2006.

Still, there’s a lot to like about this Legend, its compact (for the class) body and communicative chassis make it easy to place on the road and the near 300bhp engine outperformed V8 rivals. Today they make appealing left-field luxury bargains, especially with their solid reliability record.

One we found: 2007 3.5 i-VTEC EX auto, 87,000 miles, £3495, £735 tax

Hyundai never pretended the Coupe was anything other than a style exercise (it certainly wasn’t a sports car) which is ironic considering it had a rather unfortunate bug-eyed face at the end of the 90s. Luckily the second generation (from 2001) was a much more handsome beast with its muscular haunches, and it backed that up with the option of a V6.

Unfortunately, that V6 never saw more than 167bhp, and never felt like enough of a step-up to justify the premium over the tunable 141bhp 2.0-litre – especially when post-March 2006 V6s sit at £710, against the £415 of the 2.0-litre. If you want a cheap as chips, reliable and modern-looking get-around, you can’t go too far wrong with a 2.0 Coupe.

One we found: 2004 2.0 SE manual, 56,000 miles, £1500, £415 tax

“Should you buy one, though? Lord no. What a world: where a Hyundai costs as much as a Maserati”, is what we said in 2014 on our first drive of the right-hooker £50,000 Genesis, with Lotus-tuned suspension and all. It went on to be sold for just two short years, during which they managed to shift 48 from specially selected dealers.

Now though, this is a big car which offers exceptional value for money on the used market (if you can find one) and one with features like cooled seats, adaptive cruise control and a head-up display that are still optional on many £60k German cars today. Even taking into account a few years of the hefty tax bill, these are far more affordable than the competition from the same years.

One we found: 2015 3.8 V6 auto, 54,000 miles, £12,000, £735 tax

Award-winning and popular across the pond, it wasn’t until 2008 that Blighty got the first right-hand drive Infiniti G cars – although all are badged G37 here, owing to their strong 315bhp 3.7-litre ‘VQ’ V6.

Look for an ‘S’ suffixing the badge and you’ll have found a properly sorted sports saloon, coupe or convertible. Automatic cabrios are the most numerous, but a manual coupe is where we’d put our money if we could find one.

They were never big sellers thanks to pricing that didn’t shy away from BMW’s 330i and more expensive running costs (all are charged with the big tax bill), but they’re usefully affordable today. Infiniti quit Europe in 2020, but Nissan dealers should be able to look after you parts-wise in the future, though some items may face delays and heightened costs.

One we found: 2010 G37S 3.7 V6 auto coupe, 86,000 miles, £6995, £735 tax