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Car Services · Updated August 2026

Car & Van Hire Cost UK 2026

Hiring an economy car in the UK costs £22–£25 a day in 2026. An SUV runs £36–£48 and a luxury saloon £48–£100. Van hire is a different market: £60–£180 a day plus VAT, with a small van averaging £55–£75 in the Midlands and roughly £20 more in London.

Typical car hire costs

Independent research — typical UK trade prices collected from published garage, retailer and service-provider pricing. Not insurance, and not financial advice.

£22–£25/day
Economy car, typical UK daily rate
£60–£180/day
Van hire, plus VAT, by size and region
£12.50–£15
Daily ULEZ charge on a non-compliant van in London

Daily rates by vehicle type

Cars. Economy sits at £22–£25 a day across the UK and Europe, SUVs at £36–£48, and luxury saloons at £48–£100. Headline rates advertised from as little as £9 a day exist but are heavily conditional on dates, location and length of hire.

Vans. Expect £60–£180 a day plus VAT. Size and region drive it: a small van averages £55–£75 a day in the Midlands, and the same van costs about £20 more in London. Note that van rates are conventionally quoted excluding VAT while car rates are usually quoted including it, which makes van hire look cheaper than it is when comparing the two.

Timing moves the price more than anything. Summer months and holiday periods carry materially higher rates, and airport locations cost more than a town-centre branch a short taxi ride away. If your dates are flexible, moving them is the single biggest lever on the total.

Hire prices by vehicle type

UK car and van hire cost, 2026
Per day. Car rates are typically quoted including VAT; van rates conventionally exclude it — compare like with like.
Economy car£24 SUV£42 Small van, Midlands£65 Luxury saloon£74 Van, upper end£180

Sources: Skyscanner car hire cost data, PSD Vehicle Rental, Fairview Hire, Success Van Hire and Metro Vehicle Hire 2026 UK guides. Values are midpoints of published ranges except the van upper bound.

Where the real cost hides

The excess, not the daily rate. Standard hire comes with a large damage excess — often four figures — held against your card. Reducing it is where rental firms make their margin, and the counter upsell is consistently the most expensive way to do it.

Fuel policy. Full-to-full is the only one that cannot cost you money. Pre-purchase and full-to-empty policies charge above pump rates and rarely refund what you do not use.

ULEZ and clean air zones. Driving a non-compliant van in London costs £12.50–£15 a day on top of the hire, and the rental company will usually pass the charge on with an admin fee. Check the vehicle's compliance before booking if you are going into a zone.

Young driver and additional driver fees. Under-25 surcharges are common and can add heavily to a short hire. So can adding a second named driver — worth pricing in rather than discovering at the desk.

Insurance: the bit that catches people out

Hire cars come with basic cover included, but with that large excess attached. Excess reimbursement insurance bought from a standalone provider is typically far cheaper than the counter product — but be clear about what it is: standalone excess cover is a regulated insurance product, sold by FCA-authorised firms. We publish this as information only and do not arrange it.

Check your own motor policy before buying anything. Some UK comprehensive policies extend limited cover to a vehicle you are driving but do not own, and some premium bank accounts and credit cards include car hire excess cover as a benefit. Duplicating cover you already hold is a common and avoidable waste.

Two practical points. Photograph the vehicle thoroughly at collection and return, including wheels and roof — damage disputes are the most common complaint in this sector and photographs with timestamps end them quickly. And check whether hiring affects your own no-claims discount: an at-fault claim on a hire car handled through your own policy generally will.

Car and van hire — common questions

About £22–£25 a day for an economy car in 2026, £36–£48 for an SUV and £48–£100 for a luxury saloon. Rates rise sharply in summer and school holidays, and airport branches cost more than town-centre ones.

£60–£180 a day plus VAT, depending on size and region. A small van averages £55–£75 a day in the Midlands and roughly £20 more in London. Remember van rates are usually quoted excluding VAT while car rates include it, so compare carefully.

Rarely at the counter — standalone excess reimbursement policies are typically much cheaper for the same protection. Before buying either, check whether you are already covered: some comprehensive motor policies extend to vehicles you do not own, and some premium bank accounts and credit cards include hire excess cover. Note that excess insurance is an FCA-regulated product; we cover it as information only.

Full-to-full, wherever it is offered. It is the only policy that cannot cost you money, because you pay for exactly the fuel you use at pump prices. Pre-purchase and full-to-empty policies charge above pump rates and generally do not refund unused fuel.

It can. A van that is not ULEZ-compliant incurs a daily charge of £12.50–£15 on top of the hire, and rental companies normally pass this on with an administration fee. Confirm the specific vehicle's compliance before booking if your journey enters the zone.

It can. If you rely on your own policy's driving-other-cars extension, an at-fault incident is a claim against your policy and will affect your no-claims discount. Cover taken through the rental company or a standalone excess policy keeps it separate. Always photograph the vehicle at collection and return — damage disputes are this sector's most common complaint.