I own one of the last ‘worst cars in history’ and I love it! I can’t wait to see the new one that’s coming out…

There are many reasons why people buy classic cars. 

Nostalgia is one, as drivers source older motors they drove or family members owned in the past – or vehicles they pined over as youngsters but couldn’t afford at the time.

Then there’s the investment opportunity involved, with some models soaring in value as numbers dwindle and collectors scramble to get their hands on surviving examples.

And some simply want to continue using cars from yesteryear that are more engaging to drive and far easier to repair than tech-laden modern vehicles in showrooms today.

However, one of the less common justifications for acquiring an old motor is that it is widely considered the ‘worst car in history’. 

But that’s what Allan Smyes, 50, did five years ago when he took ownership of a Yugo 45 – a comically cheap small car from the 1980s that was made in the former Yugoslavia and earned the unwanted moniker.

With the infamous Eastern Bloc name set to make a return as part of a Yugo Automobile relaunch before the end of the decade, Allan tells us if the original is as bad as everyone believes…

Allan, 50, from just outside York, is the proud keeper of a 1988 Zastava Yugo 45.

Available in the UK from 1981 for around £3,000, the Yugoslavian motor significantly undercut rivals of the era, like the Austin Mini Metro, Ford Fiesta and Vauxhall Nova.

Zastava sold around 3,000 units per annum in Britain in the initial years, with tens of thousands snapped up at the tempting budget price.

But few survive today.

In fact, Allan believes his car is one of just two examples remaining after ‘they all rotted away’ over the last four decades.

However, Yugos might not be a rare sight on our roads for too much longer…

Earlier this year, German entrepreneur Dr. Aleksandar Bjelić confirmed he had not only bought the rights to the Yugo name but has his foot firmly on the throttle to bring it back to life before the end of the decade.

The first car in the reborn Yugo Automobile line-up will be a compact three-door hatchback called Siaj – a modern-day representation of the Yugo 45 that promises to retain its budget-friendly ethos. And another five Yugos are in the pipeline, including a two-seat roadster and an SUV, Bjelić exclusively confirmed to This is Money.

‘It would be great if the name does return – I think it’s a brilliant idea,’ Allan told us, as he referenced other car makers bringing back former names in recent years.

‘Look at what Renault has done recently with the 5. Even when they’ve turned it electric it’s been a huge success. 

‘The new Yugo could do the same. It looks really quirky and will be totally different to the cars on the market at the moment.’

But can it really succeed with the original’s ‘worst car in history’ reputation hanging over it like a dark cloud?

Allan believes so. 

‘I think the people who made fun of it back in the day will understand what Yugos are all about these days. 

‘If it retains the same characteristics as the original, I think more drivers will appreciate it as a cheapish form of motoring – though it all depends on how well built it is.’

He tells us that his Yugo attracts plenty of attention from the driving public whenever he uses it – which is sparingly.

‘I can turn up to a petrol station in mine and pull up alongside a Ferrari or a Lamborghini and everyone wants to ask about the Yugo. 

‘You just don’t see them anymore, but everyone remembers them and wants to tell you their tales about friends or family who had one.’ 

We asked Allan if the original Yugo deserves to carry the dismal reputation given to it.

‘If you would have asked me this in the 1980s I would have probably agreed, but I wouldn’t say it’s the worst car in history now that I have one and appreciate it for exactly what it is.

‘They really were basic transport with no frills. Maybe people expected too much from them.

‘I love mine, partly because it’s so clunky and poorly built,’ Allan tells us.

‘Mine is a sea of caramel inside. The interior looks like a Caramac bar! It’s all one colour inside. It’s glorious but in an awful way.

‘It has a factory-fitted bodykit, but it’s literally just riveted onto the bottom of the bumper. It flaps around like crazy at speed – that’s how badly made they were.

‘Fortunately, it’s been stored inside all its life. Had it lived outside or been used a lot on salty roads, I doubt it would still be here. They all rotted away.’

So, what’s it like to drive?

‘It’s slow,’ he chuckles.

‘It can do 70 but it only has a four-speed gearbox, so it would be a push. 

‘It’s comfortable at 60mph but you wouldn’t want to do much faster – and you certainly wouldn’t want to hit anything!’

The Yugo 45 arrived in the UK in 1981 as a rebodied Fiat 127 with a simple box shape penned by famed styling house ItalDesign and a crude cabin.

Under the bonnet was a choice of three Fiat petrol engines, all modest capacities from 903cc to 1,301cc. It even sold a ‘convertible’ variant with a power roof.

And it was seriously cheap.

By the time UK imports ceased in 1991 due to the outbreak of the Yugoslav civil war, dealers were desperately offloading them at a remarkably low price of just £2,795 – that’s the equivalent of just £8,600 today.

The Yugo was also sold in the US, with 142,000 registered on the other side of the Atlantic between 1985 and 1992. Costing just $4,000, it was instantly renowned for being poorly engineered, ugly, and rudimentary.

It rapidly became the butt of every automotive joke, as detailed in Jason Vuic’s 2010 book The Yugo: The Rise and Fall of the Worst Car in History, which explains: ‘Six months after its American introduction in 1985, the Yugo had become a punch line; within a year, it was a staple of late-night comedy.’

Allan, who buys and sells cars into the trade, is a keen motor collector. But he likes vehicles with a difference – which explains the Yugo’s place in his garage.

‘I like older cars but particularly those that weren’t particularly loved back in the day. I have a collection of old random things.’

And random they are. 

‘I’ve got a Skoda Estelle, a couple of Metros, two Rover 75s, Talbot Alpine, Peugeot 106, Vauxhall Cavalier, Citroen BX. In total, I have about 25 cars and it’s a real mix,’ he tells us as he struggles to recall the mass of motors he has locked away.

‘The Yugo is one of my favourites. It only needs basic maintenance; if something goes wrong, I can fix myself. And, touch wood, since I’ve had it, the car’s been really reliable.’

Allan tells us that his Yugo was first owned by a lady called Christine for 25 years, who bought it new to replace her Mini that was written off outside her home in 1988.

‘I’m still in regular contact with Christine who likes to checks up on the car,’ he says. ‘Every year, she sends me a Christmas card for the Yugo. She calls it Ruby.’

When Christine decided to give up driving due to ill health in 2013, she donated her Yugo to Stondon Transport Museum in Henlow, Bedfordshire, free of charge with a mere 8,000 miles on the clock.

It was displayed for two years before the museum closed in 2015 and one of Allan’s friends – and another car collector – snapped it up for £3,500.

When they moved overseas In 2020, Allan added ‘F94 GFJ’ to his collection and has cherished it ever since.

‘I’ve put about 700 to 800 miles on it in the last five years,’ he says.

‘It’s one of those cars you quickly fall in love with.’

If you – or a family member or friend – previously owned a Yugo, we want to hear from you. 

Email rob.hull@thisismoney.co.uk with your name, age, when you owned the car and any tales you have about it. And please attach any images of your Yugo if you have them.