Personal Contract
Hire Deals

What is personal contract hire (PCH)?

Personal Contract Hire (PCH) is the long-term lease of a brand-new vehicle. PCH is different to Personal Contract Purchase (PCP) as a PCH vehicle cannot be purchased at the end of a lease, unlike PCP vehicles. During the lease agreement, fixed monthly payments of a PCH vehicle will be discussed, as well as an agreed mileage and time period for the lease.

The difference between PCH, PCP and HP

Deposit required Yes Yes Yes
Monthly payments required Yes Yes Yes
Annual mileage limit Yes Yes No
Early settlement option Yes Yes Yes
Option to own the car outright No Yes Yes

Benefits of personal contract hire

  • You don’t need to worry about the resale, disposal or depreciation of the car at the end of your lease.
  • Many people don’t opt to buy a PCP vehicle at the end of their contract so it may work out cheaper to lease through PCH.
  • Access to new cars which you may not have been able to afford if you were purchasing the vehicle.
  • Road tax is included in the contract.


  • You may be charged if you exceed the agreed contract mileage.
  • You won’t own the car at the end of your lease.

Frequently asked questions for Personal Contract Hire

Does Personal Contract Hire (PCH) include insurance?

No, it doesn’t include insurance.

Can you get Personal Contract Hire (PCH) on used or nearly-new cars?

No, this type of lease can only be used on new cars.

With Personal Contract Hire (PCH) do you get your deposit back?

No, you don’t get your deposit back as with any lease.

What if I go over my agreed contract mileage?

You will pay an added mileage charge per mile agreed at the initial purchase

What happens at the end of my lease?

The car is handed back and is checked for damage and general wear and tear

Can I cancel my contract?

Yes, although there is normally a fee which is typically half the cost of the owed amount. For example, if you owe £3000 pounds, you would probably pay £1500.