New and Used Luxury Cars For Sale

Mercedes-Benz and BMW are two of the most widely-recognised brands for holding their value in terms of resale price. What really drives value retention in luxury cars is demand for that particular car on the used market together with its reputation for reliability, and how carefully the maker controls supply. As a general rule, petrol and hybrid models have held their value a little more steadily than electric ones, though the gap is narrowing as used electric prices settle.

The mid-size executive class sits between the smaller premium cars and the full-size flagships, and it’s often seen as the sweet spot of handling and comfort. The BMW 5 Series is the car that shaped the segment and still balances an engaging drive with genuine luxury, also coming in a plug-in hybrid version for lower running costs. The Audi A6 and Mercedes-Benz E-Class are strong alternatives to take a look at too.

Best for the money isn’t the same as cheapest, and it’s about how much car you get for what you pay. By that measure Genesis makes a strong case thanks to the Korean brand’s ability to undercut its German rivals on price, while matching them for build quality and standard kit. You’re rarely paying extra for options and the all-electric Genesis GV60 is a good example, packing plenty of technology in as standard. Beyond any single model, the best value in luxury is often a nearly-new or approved-used car, where the first owner has already absorbed the steepest depreciation.

Several brands are widely accepted as luxury in the UK. The established trio of Audi, BMW and Mercedes-Benz are the names most people think of first, with marques such as Jaguar, Land Rover and Volvo occupying substantial space in the luxury market too. Lexus and Genesis are both building strong reputations for quality, while premium sub-brands such as MINI, DS and CUPRA blur the line between mainstream and luxury. Above all of these sits the world of ultra-luxury, with names like Bentley, Rolls-Royce and Aston Martin, which is really a separate market of its own.

An entry-level luxury car is the smallest and most affordable model in a premium maker’s range, and is usually a compact hatchback or small SUV. It carries the interior design and most of the technology of its bigger siblings, just in a smaller body with smaller engines. You get the perceived quality that makes the car feel a class above, along with the brand’s infotainment and safety systems. What you give up is rear space, boot size and the more powerful engines, and the options list can close the gap to the model above surprisingly quickly. The BMW 1 Series is a good example of an entry-level luxury car that carries the prestige of the brand while being the most compact and affordable model in its range.

The small premium class has grown competitive enough to earn its own rankings in the motoring press, so there’s plenty on offer. The BMW X1 is one of the standouts, with a spacious, tech-filled cabin, a generous boot and the quality of drive you’d expect from the badge and is one of the most well-rounded cars in its class. If you’d prefer something a little plusher inside, the Audi Q3 is a strong alternative, while the Audi A1 is a good used option.

There’s no legal or official definition of a luxury car in the UK, which is exactly why the boundary keeps shifting, but in practice a few widely-accepted hallmarks tend to mark one out. Refinement is the most reliable marker of all, achieved through heavy sound insulation and suspension tuned to soak up the road. Interior materials such as leather or high-grade upholstery and soft-touch surfaces used throughout are another notable difference. Then there’s the equipment, with features like adaptive cruise control and premium audio combined with large digital displays fitted as standard. Finally, there’s the maker itself, and whether it positions itself as a premium brand.

Luxury cars are taxed like any other car, but their higher prices and sometimes emissions often place them at the top end of the scale. In the first year, Vehicle Excise Duty on a new car is based on CO2 emissions, so higher-emitting models sit in the upper bands. From the second year, most cars move to a flat standard rate. The part that catches luxury buyers is the Expensive Car Supplement, sometimes called the luxury car tax, which is an annual charge on cars with a list price above a set threshold that runs for five years. That list price is the full manufacturer price including VAT, delivery and options, so a discount won’t remove it and a few extras can tip a car over the line.

The supplement follows the car, not the owner, so buying used within that window means inheriting whatever is left to pay. All-electric cars now fall within the system too, though at a higher threshold. Rates and thresholds change at each Government Budget, so it’s always worth checking the latest official information.