How Old Do You Have to Be to Lease a Car in the UK?

If you’ve just passed your test (or you’re thinking about your next car), you’ve probably wondered: how old do you have to be to lease a car in the UK? Leasing is becoming more popular with young drivers because it can be a straightforward way to get a newer car for a fixed monthly cost.

But that curiosity usually comes with a second question: can a new driver actually get accepted?

The short answer is yes. In most cases, the minimum age to lease a car is 18, and you’ll need a full UK driving licence. After that, it comes down to the finance provider's checks, mainly affordability and credit history.

In this guide, we’ll explain what age you can lease a car, what finance providers look for, and the simple steps you can take to give yourself the best chance of being accepted.

The minimum age to lease a car is 18, and you'll need a full UK driving licence. 

That said, applying isn't the same as being accepted. Approval can be harder if you've only just started working or you've got little to no credit history. 

Minimum criteria to lease a vehicle through Nationwide Vehicle Contracts:

• Be over 18 years old
• Have a full UK driving licence (a provisional licence will not be accepted) 
• Be able to afford the monthly rentals
• Be a UK resident
• Hold a UK bank account
• Have a regular monthly income 

If you’re new to car leasing, chances are you’ll have lots of questions about how car leasing works. Put simply: 

• Car leasing is a long-term rental agreement which allows you to use a car for a fixed amount of time, usually 2, 3, or 4 years. 
• At the start of the agreement, you pay an initial rental followed a fixed monthly price for a set period of time.
• When the lease period ends, you simply hand the car back and walk away or take out a new car lease agreement.

Whether car leasing is right for you depends on a lot of factors including how much money you have to spend (both up front, as well as for the monthly rentals) as well as how much you intend to drive and whether you want to own the vehicle.

Before making a decision about whether car leasing is right for you, consider: 

As with any major purchase decision, it is important to way up the pros and cons of all options available to you before making a decision on what best suits your individual needs. 

Whether a lender accepts your application depends on your credit score. 

Most funders require an applicant to have a good to excellent credit score to be approved for car leasing. According to Experian's credit score system, this is the equivalent of a credit score of 881 or more.

The biggest issue for many young drivers is that they have little to no credit history, making it difficult to obtain finance. This is because lenders tend to prefer lending to established borrowers who they can better assess the risk for paying back debt.

If you've got no credit history, you can improve your chances by establishing a positive credit history: 

• Open and manage a bank account - Set up a UK current account. This demonstrates you have a responsible, ongoing relationship with the bank. 
• Use Direct Debits to pay your bills - Set up regular Direct Debit payments to pay bills such as your mobile phone and other household bills. 
• Don’t miss payments - Make sure you pay all your bills on time, as a missed or late payment will count against you. 
• Register on the electoral role - If your name isn’t on the electoral register, make sure you add it as soon as you can. Being registered to vote in the UK means lenders can check that you live where you say you do. 

If you'd like more information on leasing and credit score, check out our guide: Can I Lease a Car With Bad Credit?

Car leasing can work well for first-timers because: 

1. You can drive a newer car that comes with a manufacturer warranty
2. Fixed monthly costs make budgeting easier
3. Road tax is included for the contract period, and many cars include roadside assistance (depending on manufacturer)
4. You don't have to worry about resale value when your contract is over
5. You can add maintenance and servicing to your monthly costs (optional)

Leasing isn’t perfect. Common drawbacks include:

1. You must have a good credit rating in order to be accepted for vehicle finance
2. You don't own the car and you return it at the end of your contract period 
3. Early termination can be expensive typically around 50% of any outstanding rentals
4. Exceeding your agreed mileage can be expensive 
5. You need to return the car within fair wear and tear guidelines
6. Insurance isn’t included and you must arrange fully comprehensive cover 

In car leasing, taking out finance for someone else is known as accommodation finance, and while it's not actually illegal, it's forbidden by finance providers. 

If the car is mainly for you, apply in your own name. 

Have a question about car leasing? Visit our How Leasing Works page, or call Nationwide Vehicle Contracts on 0345 811 9595 to speak to one of our experienced leasing consultants.

We also offer a Fast Lease Service, where in-stock cars can be available with delivery in around three to six weeks (times may vary).