FEATURED POST
Which is better in 2024: PCO Car Hire or Rent to Buy?
- The Otto Team
- April 5, 2023

To work as a private-hire driver you need a PCO car that meets the rules of operators such as Uber. If you do not already have one – and a traditional finance agreement is unsuitable – there are two main routes.
Option 1: PCO Car Hire
For new drivers, or experienced ones who need total flexibility, a rental deal is the quick win. It’s the simple way to start earning money with Uber or solve a short-term problem. For instance, if your vehicle is off the road.
The big benefit of PCO Car Hire is the freedom to work around your own lifestyle, as the minimum rental period is usually 8 weeks. Want to visit family abroad? Give 7-days notice, hand back the keys – and go.
What is included with a rental deal?
Most reputable PCO Car Hire companies will provide a vehicle that is Uber-approved and ready to roll, with everything included. The exact terms of a rental deal can vary, though, so it‘s good to ask questions.
If car insurance is included, check this is suitable for PHV driving and get written proof before you pay. It’s wise to discuss the policy excess (i.e. the fixed amount that insurance does not cover) and how this will work in various situations. Unexpected events do happen – and so it’s sensible to prepare for them.
The good news is that Otto Car gives you a complete package, with no servicing charges – even for wear and tear – plus optional insurance. There is zero excess for ‘no-fault’ claims and the maximum is £1,000 if it’s least partly your fault. We’re open about this – and reviews prove we treat every driver fairly.

Who is suitable for PCO Car Hire?
If you already hold a PCO licence, it’s highly likely you will be accepted but there are a few basic rules.
- Minimum age 25
- Live and work in Greater London
- Maximum 6 points on driving licence
- Maximum 2 fault accidents
- No major convictions, such as an IN10
- Registered to at least one London private-hire operator
You must have 1 month minimum PCO experience and 200 trips to unlock our Rent to Buy ownership plans if you are new to the game. However, our Career Boost scheme makes it easy to switch. You can take a brand-new PCO car from day one and transfer up to £7,000 of rent onto an ownership deal when the time is right*.
What is the cost of PCO Car Hire in London?
This will depend on the exact model and age of the PCO car that you choose to drive. As a rough guide, Otto Car’s rental prices currently start from £229/week with a £250 returnable deposit.
Summary: PCO Car Hire
Key benefits: Ultra-flexible; fully comprehensive; available to new drivers
Things to consider: No ownership; stock is variable; prices not fixed

Option 2: Rent to Buy
The dream for every PCO driver is to own a vehicle and get to the point when the weekly payment ends. Ownership plans – which are often marketed as Rent to Buy – can transform this into a reality for you, even if you have a bad credit history. It’s a great opportunity to improve your life circumstances.
A big difference from a traditional finance deal is there is usually no credit check. The idea is that you can choose a brand-new (or used) PCO car and then work your way towards owning it, while keeping most of the flexibility of rental. Once you complete the contract, the car is yours to keep driving or sell.
Rent to Buy plans work in different ways (tip: always read the small print). That said, the main advantage is you lock-in today’s price for a PCO car. Even if the cost of a new car rises, your weekly payment will never change.
What is included with a Rent to Buy deal?
With most Rent to Buy deals, the running costs are part of the weekly payment. The most obvious example here is car insurance but others include the servicing as well as 24/7 breakdown cover.
Otto Car was the first UK firm to offer this type of deal for the PCO driver, which we call Rent to Buy. There is a version available across England and Wales for private hire drivers who want to source their own insurance and MOT. The majority prefer our fully comprehensive Rent to Buy plan, which includes everything you need for hassle-free motoring.
- 8 weeks of payment breaks per year
- PCO insurance & servicing
- MOT & PHV licences
- Breakdown cover
- Road tax
As with rental, the exact deal will vary between providers, which makes it tricky to compare. The main point is the length of the contract, which obviously affects the weekly price. In the good old days of the Toyota Prius, the contract was three years. As PCO cars have gradually become more expensive, Rent to Buy agreements are now usually between four and five years unless it’s a used deal, which is shorter.

What are the hidden costs of Rent to Buy?
You should always go into a deal with your eyes open and an obvious trapdoor is a cancellation period.
Otto Car believes you should be able to keep your options open. This is why we allow you to hand back a Rent to Buy car after 12 weeks if your plans change. Others charge a big fee if you leave within a full year.
Another thing to watch out for is mileage limit. For example, Otto Car allows you to drive 1,000 miles per week as part of the deal, whereas some firms make drivers pay for anything over 700 miles per week.
It’s wise to consider every point – plus the reputation of the firm – when you choose a Rent to Buy deal. Money is not the only thing that matters. Otto Car invites you to join the family because we provide more than a car. You belong to London’s largest community of PCO drivers building a brighter future together.
Summary: Rent to Buy
Key benefits: Route to ownership; Locked-in prices; Hassle-free motoring; payment breaks
Points to consider: 12-weeks minimum; Downpayment is not refundable

Conclusion: Should Uber drivers take PCO Car Hire or Rent to Buy?
It’s impossible to say which route is best. Most PCO drivers love the opportunity to work towards car ownership on a Rent to Buy plan. Others stick with a long term car rental deal because it suits their lifestyle.
Just remember that all new drivers must begin their journey with PCO Car Hire for at least 12 weeks, even though you can transfer up to £7k of rental payments onto an ownership plan with Career Boost.
Next step…
The Otto team is happy to discuss which options work for you and help drivers make smart choices. Feel free to pop into any of our five London hubs to talk about how to get your career moving.
*This scheme only applies to specific cars. See here for details.
Not sure which PCO car to choose? Try our car selection tool to find out the car that best suits your needs.
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