Car leasing practicalities?

Chaddee

My VW is on lease and has just under a year and a half to go. It was worth about £8k in total, I paid just over a grand in deposit and by the end of the lease will have paid £120 per month for three years, so a total of £4320. At the end of the lease I have three options -

Pay the dealership the remaining balance of about £3k and keep the car.
Give the car back as a deposit on a new one, start a lease again.
Give the car back and not get a new one.

Bearing in mind that I have to have a car, which is the better option, 1 or 2? I'm aware it won't be worth anywhere near as much at three years old as when I bought it, and I don't know how much to expect repairs, MOTs etc to be on a 3 year old car, assuming I kept it for at least 5 years. Would it work out cheaper to get a new lease, continuing to pay about £120 per month, or to keep the old one and save for repairs? This is my first car so I don't know what to expect, but I want to be prepared when the lease on this comes to an end!

Thanks in advance for any ideas