Car Loans customers can now get their hands on Fiat's 500 city car for less than £8,000.

The manufacturer pointed out - since the VAT cut came into effect - it has been possible to buy the entry-level 1.2-litre Pop for £7,929.

Commenting on the model, marketing director Elena Bernardelli said: "It has been praised for its style, eco-friendliness, road manners and economy."

She added: "Now the Fiat 500 has re-affirmed its terrific value for money with this latest list price."

All of the manufacturer's other cars have also benefited from the 2.5 per cent drop in VAT.

The Panda range now costs from £6,859, the Grand Punto line-up starts at £9,056 and the Multipla people carrier can be bought by car loans customers for £13,751.

In related news, a version of the 500 city car - designed in collaboration with the fashion label Diesel - has just gone on sale exclusively through the internet.


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