Gen Z Prioritise Travel, Iced Lattes and Tech Over Buying a Car

Gen Zs are prioritising travelling the world, saving for a house and investing for their future over buying a car.

A poll of 1,000 adults aged 18 to 29 found 12 per cent believe it's an unnecessary expense, while 27 per cent are ‘unlikely’ to pay for four wheels within the next three years.

As such, almost half view a car as a functional appliance - like a vacuum cleaner or lawnmower - rather than an emotional status symbol. Meanwhile 12 per cent said a car feels like an unnecessary commitment and would rather walk, borrow one or use public transport than own one.

Almost a fifth (19 per cent) would rather spend their money on upgrading their phones, tech and gaming setups, while 27 per cent would choose to spend the money on mental health days and self care and 23 per cent on dining out and takeaways.

Meanwhile, 11 per cent would rather spend their cash on daily speciality coffees and iced lattes than vehicle ownership costs.

And 18 per cent are convinced their generation is less interested in car ownership than previous ones were at their age, and 23 per cent say they are more likely to treat car access 'on-demand' like a streaming subscription and use it when needed.

Adam Craddock, temporary car insurance expert for Tempcover, which commissioned the research, said: “For many younger adults, owning a car is not viewed as a prized possession or a status symbol - it’s a practical, functional appliance and an intentional lifestyle choice.

“Many are putting travel, property, future finances and everyday treats like specialty coffees ahead of buying a vehicle and ongoing overheads that come with car ownership.

“For a generation that values flexibility, it seems having access to a car when they need one is proving far more appealing than owning one outright.”

Almost a quarter (24 per cent) said accessing a car only when they need one and paying as they go would be their preferred approach to motoring.

And 43 per cent said they would be more comfortable relying on borrowing a car rather than owning one themselves.

If they were to borrow someone else's motor, 55 per cent said it should be returned on time, while 43 per cent said any damage should be reported immediately.

Meanwhile, 38 per cent reckon it should be returned with a full tank, and 41 per cent said cleaning it inside and out would be a nice gesture.

Should they damage the car, 75 per cent said they would be worried about affecting the owner's no-claims bonus.

The study found naming cars also seems to be a thing of the past, with 14 per cent describing the act as ‘cringe’ and ‘outdated’.

Meanwhile, 30 per cent have never even considered whether they would give a vehicle a nickname. .

Adam Craddock from Tempcover said: “With car borrowing on the rise, drivers and owners are finding smart, informal ways to navigate shared mobility.

“Thoughtful gestures like topping up the tank or returning the car on time are great for keeping family and friends on side, but true confidence comes from knowing everyone is properly protected.

“Taking out standalone, fully comprehensive temporary cover, ensures the owner’s No Claims Bonus and main policy stay completely safe if the unexpected happens.

“It removes the risk and friction from borrowing, empowering young drivers to stay mobile on their own terms while giving vehicle owners greater peace of mind when lending their car.”

Research: Survey of 1,000 Gen Z respondents commissioned by Tempcover from the 20th-25th August 2026, and conducted by One Poll.