Volkswagen Touareg Lease Deals

Why lease the Volkswagen Touareg

The Touareg is Volkswagen's largest SUV. It is a comfortable five-seater with a big boot, permanent all-wheel drive and a strong towing capability, and it is built to cover long motorway distances without fuss. It shares much of its engineering with premium SUVs from other brands in the wider group, so the cabin and technology feel closer to that class than to a typical family SUV.

For a business driver, a Touareg is usually a choice about image, comfort and capability rather than running costs. Contract hire suits that, because you pay for the use of the car over a fixed term instead of tying up capital in an expensive vehicle that will depreciate.

Contract hire on the Touareg is offered to limited companies, sole traders, partnerships and other business customers, subject to status.

What it costs and what is included

Business contract hire prices for the Touareg start from £547.77 per month, depending on the version, term, mileage and initial rental you choose. The figure you are quoted will depend on the specification and on the funder's assessment of your business.

A standard business contract hire agreement normally includes:

• The use of the car for a fixed term, commonly two to four years
• An agreed annual mileage
• Vehicle excise duty for the length of the agreement, on most contracts
• A fixed monthly rental

Things that are usually extra or optional:

• Maintenance packages, which can cover servicing, tyres and brakes
• An initial rental, paid upfront, which affects the monthly figure
• Charges if you exceed your agreed mileage
• Charges for damage beyond fair wear and tear when the car goes back
• Insurance and fuel or charging costs

Business customers can often reclaim some of the VAT on the rental, but the rules depend on whether the car is available for private use. Ask your accountant how it applies to you. If a company car driver will have the Touareg, they should also consider benefit-in-kind tax, which varies with the car's emissions and the driver's tax band.

Which version suits you

Touareg engines and trim names change from time to time, so check the current line-up before you decide. In broad terms, the choice comes down to the following.

Diesel. A V6 diesel with all-wheel drive has traditionally suited drivers who cover high mileage, tow regularly or spend most of their time on motorways. Check current availability, as the range has been revised over the years.

Plug-in hybrid (eHybrid). This pairs a petrol engine with an electric motor and a battery that can be charged from the mains. It can suit company car drivers because of the lower benefit-in-kind tax that usually applies to plug-in hybrids. It makes most sense if you can charge at home or at work and mainly make shorter trips. Without regular charging, the benefit is much smaller.

Trim level. Higher trims add larger wheels, more advanced driver assistance, premium audio and upgraded interior finishes. Sportier trims focus on styling, while others focus on comfort and equipment. Options such as air suspension, a panoramic roof and a head-up display are worth weighing against the monthly rental, as they add to it.

Think also about the mileage you really need. Setting the annual mileage too low is a common mistake, and excess mileage charges can add up at the end of the term.

Contract hire v buying

With contract hire you never own the car. You pay a fixed monthly rental, use the Touareg for the agreed term and return it at the end. The funder carries the risk of the car's resale value, provided you stay within mileage and condition terms.

Buying, whether outright or on finance, means you own the vehicle (or will do at the end of an agreement). That gives you freedom on mileage and modifications, and any sale value belongs to you. You also take on depreciation, which on a large, high-value SUV can be significant, along with resale risk and the cost of servicing and repairs.

Points to weigh up:

• Cash flow: contract hire usually needs a smaller upfront outlay than buying.
• Predictability: a fixed rental, with optional maintenance, makes budgeting easier.
• Flexibility: contract hire has agreed mileage and condition limits, and ending it early can bring substantial charges.
• Ownership: only buying leaves you with an asset at the end.
• Tax: the treatment differs between leasing and buying, so take advice from your accountant.

Contract hire tends to suit businesses that want a newer car every few years and prefer to know the cost in advance. Buying tends to suit those who keep vehicles for a long time or drive very high or unusual mileages.

Questions people ask

Can I lease a Volkswagen Touareg with no credit history for my business?

It depends on the funder's assessment of your business, and a limited company with a short trading history may be asked for more information or a larger initial rental. We are a credit broker, not a lender, and we cannot promise any application will be accepted.

Is maintenance included in a Touareg lease?

Not usually as standard. Maintenance packages are generally optional and cost extra, so check exactly what is covered, such as servicing, tyres and brakes, before you sign.

What happens if I go over my mileage?

You will normally be charged for each extra mile at the rate set out in your agreement. If your needs change during the term, speak to the funder as early as you can.

Can I end a Touareg lease early?

Early termination is possible on many agreements, but it often means paying a significant share of the remaining rentals. Read the early termination terms carefully before you commit.

Who is contract hire available to?

The deals on this site are for business customers, including limited companies, sole traders and partnerships. They are not available to private individuals.

Swiss Vans Ltd, trading as contracthire.tv, is a credit broker and not a lender (FCA FRN 668283). Finance is subject to status.

Versions and prices

• Volkswagen Touareg Diesel Estate: from £547.77 a month ex VAT
• Volkswagen Touareg Estate: from £653.25 a month ex VAT

Prices are monthly rentals ex VAT on a 24-month agreement, 5,000 miles a year and 9 initial rentals, correct when this page was written. Change the term, mileage or initial rentals on each deal page to see your own price.