The teenager was stopped by Thames Valley Police officers on the Longfield Park estate yesterday evening (Thursday).
The boy was said to be driving the car, reported stolen from a Banbury home, and had two young passengers in the car at the time.
A Thames Valley Police spokesman for the Cherwell area said: “Last night, Police were informed about a vehicle that had been stolen from a driveway in Banbury.
"Today, the vehicle was sighted numerous times in Banbury by members of the public due to the dangerous manner of its driving.
"At 11am a call came in that the vehicle was sighted on Longford Park Road, Bodicote so Team 2 ICR (was) despatched to conducted an area search.“PC Hopkin spotted the vehicle on Reedmace Road and initiated a stop with a 13-year-old boy located in the driver’s seat.
"Two other young boys were located as passengers in the vehicle. With the rest of Team 2 assisting, the driver was arrested for theft of motor vehicle and is currently in custody.“The other two young passengers were taken home to their parents and will be dealt with slow time.”