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Hi John,

OK, lots and lots of options. How about a Fiat 500? Great looking, fun to drive, well made and that 1.2-litre petrol engine is willing enough to tackle motorway work from time to time.

Late 2000s MINIs fall into your budget too, and they're great fun to drive, roomier than the 500 (well, a bit) and solid on longer journeys.

You could be dead sensible and go for an Audi A3 1.6 petrol and there'd be nothing wrong with that - ticks all the boxes.

Or maybe something a bit more left-field? How about a Volkswagen Beetle? An original Mini (we did find one in your budget) or even a Smart ForTwo Brabus?

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Hi Kay,

Yes, you should see a considerable saving on fuel, probably in the order of 10mpg at least, depending on how and where you drive. It is worth noting, though, that you will also be looking at considerably higher maintenance and servicing costs, as the 320d is much more sophisticated and high-tech than your Golf and, without careful, regular attention from a specialist they can start giving serious trouble.

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Hi Hugo,

Generally speaking, no bank or finance company cares very much where the payments are coming from as long as they come, but I would advise you to be up front about all this, and speak to the finance provider in question. Make sure you tell them exactly what it is you’re planning to do, as there may be implications for the loan rate and the insurance for the loan if you’re moving territory. Some providers won’t accept payments from an overseas source, so make sure you’ve checked everything out with them first, so as to ensure that all is above board should you need to change anything further down the line.

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Hi Steve,

Unfortunately no, we can’t. The Irish insurance sector is byzantine at best, and downright mendacious at worst. With a high-performance vehicle such as the XKR, you’re probably looking at at least a four-figure premium, in spite of your good record, but we’d suggest getting in touch with a good broker, who may be able to squirrel out deals that others can’t.

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Hi Eoin,

Young driver insurance is always going to be a sticking point, and adding sporty into the mix is just going to drive your premium up and up and up. You really need to stick to as small a diesel engine as possible, so how about a SEAT Ibiza 1.4 TDI? It’s a good looking car, roomy and reliable, and has a whiff of a sporting image that can be added to with body kit and wheel options as and when your budget allows.

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Hi Patrick,

To qualify as 'vintage' for tax purposes a car must be 30 years old or older. For insurance purposes a car can sometimes be younger than that,  but most insurers will demand that you have a more modern car for everyday driving as well as the classic. 

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Hi David,

Yes, you could just about do 48km each way in an electric car, certainly in the Ioniq and just about in the 30kWh Nissan Leaf, although it would be hugely helpful if there could be some way of charging up at work. A Renault Zoe might do the trick too.

Hyundai asks for a minimum €5,000-odd deposit on a new Ioniq, and the repayments are quite steep so that one might be out of the question, although they come down to around €360 if you can put a €10,000 deposit down. A basic Nissan Leaf, with €6,762 down, will cost you just €264 a month, which might leave enough wriggle room to go for the bigger battery, and Nissan has some tempting free insurance offers on at the moment, while Renault asks just €179 a month for a Zoe, but the battery rental is extra and it comes with some quite tight mileage stipulations.

The other, possibly better, option would be to go half-electric. Toyota can put you into a Prius or an Auris Hybrid for as little as €199 to €263 a month (again, depending on deposits etc.) or you can get the rather impressive new Kia Niro for €353 a month with a €9,000 deposit. All of those should average as much as 60mpg, which would put a big dent in your fuel costs.

Read our relevant reviews here to help you choose:

Kia Niro review

Hyundai Ioniq Electric review

Nissan Leaf review

Renault Zoe review

Toyota Prius review

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Hi Richard,

We asked Eddie Coleman of Conlan Crotty Murray & Company Chartered Accountants for some help on this one and here was his response:

"For a self-employed VAT-registered sole trader the most tax efficient vehicle to purchase for business use would be a small commercial van/SUV.  As the private use element of the vehicle is likely to be minimal VAT could be recovered on such a vehicle in the proportion that business use bears to the total usage of the vehicle.  As there should be a high business usage of the vehicle most of the running costs of the vehicle, such as insurance, fuel, maintenance, etc. could be expensed for tax purposes, again in the proportion that business usage bears to overall use of the vehicle.

If an individual decides that a small commercial vehicle is not appropriate and decides to purchase a car then there would be very limited tax deductibility for VAT purposes.  If a car falling into Category A, B or C is acquired, then 20 per cent of the VAT paid on purchase of the vehicle could be recovered where at least 60 per cent or more of the usage of the car is for business purposes.  There is a potential claw back of the VAT recovered if the car is sold within two years of acquisition.

If the car is acquired by way of a hire purchase agreement or loan finance then the vehicle is treated as owned by the individual.  The capital cost in those instances can be claimed by way of an annual capital allowance write-off equivalent to 12.5 per cent of the cost of the vehicle, restricted to business use as a proportion of overall use of the vehicle.  If a new vehicle is being acquired then it may be possible to do so by way of a finance lease.  In such circumstances it may be possible to write-off the capital cost of the vehicle over a shorter time frame, again subject to business use restriction on the allowable tax deduction."

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Hi James,

Usually you can get so-called 'bridging' insurance from a UK-based insurer to cover the car for a few weeks on it original plates etc. to deal with this sort of situation. I think a quick ring-round should see you right. 

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Hi Martin,

Dealer seal isn't really worth it in my opinion because for most of the year Irish roads aren't gritted and salted. I know they are this week, but a regular trip to the car wash will do just as good a job as 'dealer seal.' Protect coating is pretty similar. You'd be better off just keeping the car in good condition and taking care of stone chips etc as and when they occur. Step back protection is like any form of payment protection insurance - it has its uses, but buy carefully and make sure you study the small print with great care.