Anyone recently passed their test? What next? New or old?

[BlimeyCharlie]

Hi everyone,
My lovely niece has passed her driving test today.
What I'd like to know is can anyone recommend an insurance firm/package/deal that works for them?

Also, I know of a few 'youngsters' who have a brand-new car that is inclusive of insurance etc for a not bad figure per month. By 'not bad' I mean in the context of insurance being a lot on an oldish car.
I was of the 'old banger' route opinion but wondered if there is a viable alternative now?

So either new car with a black box (I guess) including a deposit and monthly fee?
Or £750 car and then insure it either with or without black box?

Any recent experiences good and bad of what route you went down appreciated.

Thanks in advance