Total Cost of Car Ownership 2026 (UK)
Calculate the estimated total cost of owning and running your car over your chosen ownership period.
Your Total Cost of Ownership
Cost Breakdown
Ownership Summary
What is Total Cost of Ownership?
Total Cost of Ownership (TCO) estimates the overall cost of having a vehicle over a chosen period. It goes beyond the purchase price or monthly finance payment by considering depreciation, fuel or charging, insurance, tax, servicing and other ownership costs.
If you'd like to estimate only the operating costs of running / using your vehicle, please use this calculator.
Depreciation
Depreciation is the difference between what you pay for the vehicle and what you expect to receive when you sell it. For many vehicles, depreciation can be one of the largest ownership costs.
Finance
When a vehicle is financed, the calculator treats interest and finance fees as financing costs. The vehicle's depreciation is calculated separately so the purchase price is not simply added to the finance payments and counted twice.
Running Costs
Fuel or charging, insurance, VED, servicing, MOT, tyres, repairs and other costs can make a significant difference to the true cost of owning a vehicle.
Your Result Is an Estimate
The calculator uses the figures you provide. Actual depreciation, fuel prices, insurance premiums, maintenance costs, finance charges and resale values can differ significantly.
Total Cost of Car Ownership FAQs
What is included in total cost of ownership?
The calculator can include depreciation, finance interest and fees, fuel or charging, insurance, VED, servicing, MOT, tyres, repairs, parking, permits, tolls and other costs.
Why is depreciation included?
Depreciation represents the value a vehicle loses during the period you own it. It is an economic cost even though you do not normally pay it as a monthly bill.
Does TCO include my finance payment?
The calculator uses finance interest and fees as the financing cost while treating depreciation separately. This helps avoid simply adding the entire purchase price and all finance payments together.
How is fuel cost calculated?
For petrol and diesel vehicles, fuel cost is estimated using annual mileage, UK MPG and fuel price per litre. Electric vehicle costs use efficiency in miles per kWh and charging rates.
What is cost per mile?
Cost per mile divides the estimated total ownership cost by the number of miles driven during the ownership period. It can be useful when comparing vehicles with different fuel economies and ownership costs.
Is this a financial advice calculator?
No. The results are estimates for budgeting and comparison purposes only and are not financial, tax or legal advice.