Cars & Motoring2 min check

Car Depreciation Calculator

Estimate how much your car will be worth in 1, 3 and 5 years based on typical UK depreciation patterns.

Short answer

UK cars typically lose 15–35% of value in year one and 50–60% over 3 years / 60k miles. EVs depreciated heavily in 2023–24 (40%+ in year one); ICE cars closer to 20–25%. Buy at 3 years to skip the steepest part of the curve.

Step 1 of 10%

How it works

We apply a typical depreciation curve to your purchase price over your ownership period, then show £/year and £/mile depreciation cost — usually the biggest single car running cost.

Worked example

£25k new petrol car held 4 years to 50k miles → typical resale £11k. Depreciation £14k = £3,500/year (28p/mile at 50k miles).

Who should use this

•Buyers choosing new vs nearly-new
•Sellers timing a part-exchange
•Anyone running a fleet

Common mistakes

×Ignoring depreciation as 'paper' loss — it's real cash gone
×Buying premium brands assuming they hold value (mixed)
×Specifying expensive options that don't return at resale

Frequently asked questions

Which cars depreciate slowest?▾

Toyota hybrids, Porsches, Land Rover Defenders and certain Hondas typically hold value best. Premium German exec cars depreciate sharply.

Are EVs depreciating faster?▾

Yes through 2023-24 — partly Tesla price cuts, partly battery degradation worry. Stabilising in 2025.

Sweet spot for used?▾

3-year-old, 30-40k miles cars typically offer best value — major depreciation taken, still under main warranty if extended.

Related calculators

Running Costs →PCP vs Lease →Fuel vs EV →