I've also been looking for a cheap car with a tow bar for a couple of months now. Upped the budget to £5K but not having much luck yet. Volvo v70 is on my list too but mileages tend to be very high, many getting towards 300kThere must be quite a few Volvo V70s diesel with a tow-bar out there, ideally 2005-2007 although earlier also good.