DVLA implementing major EV, petrol, diesel tax rises for cars registered in these years - full list
Car expert explains UK Car Tax Bands from April 1 2025: How Much Will You Pay?
The DVLA is implementing new car rules within days which will see some drivers paying massive amounts more road tax then they ever have before. There will be a new standard road tax rate, new taxes for EVs, tax rises for low-emission vehicles and doubling first-year rates for higher polluting new cars.
Richard Evans, webuyanycar’s head of technical services, said some people could take urgent action to avoid paying some tax. He said: ”“The tax changes indicate that the cost of electric motoring is set to rise. However, EV drivers are currently free from road tax and can avoid any charges for a further year –but time is running out!
“You can re-tax your car at any time, even if your current cover isn’t due to expire for months. So, if you re-tax your EV before March 31st you can enjoy another year’s tax-free motoring. Since EVs are tax exempt (until the end of March) renewing early costs nothing – and saves you £195!
“Despite the changes and increases across the board, EV drivers will still have the most favourable road tax rates from April 2025. The £10 showroom tax for new EV buyers is small compared to the rates for low and higher-emission models. Once the changes take effect, owners of EVs first registered before April 2017 will have the cheapest annual road tax rate of all at just £20. This makes older EVs an attractive option for budget used car buyers looking to save on running costs. Meanwhile, road tax rates for cars producing over 76 g/km of CO2 are set to double. So, if you buy a new luxury or performance car in the highest emissions band from April 1st, you’ll face a £5,490 first-year road tax bill. Therefore, if ownership costs are a concern, it pays to opt for a greener motor.”
Key car tax changes for 2025/26 explained
The following car tax changes will come into effect from 1st April 2025:
New standard road tax rate
The standard annual road tax rate will increase from £190 to £195. This new rate will apply to all cars first registered between 1st April 2017 and 31st March 2025.
New taxes for EVs
Road tax exemption for all EVs will end on April 1st 2025. Until this change comes into effect, EVs are exempt from all road tax, but must still be registered.
New EVs registered from 1st April 2025 will be taxed £10 in the first year (also known as the ‘showroom tax’).
Any EVs registered from 1st April 2025 with a list price exceeding £40,000 will be liable to pay the ‘expensive car supplement’ - an additional £425 per year between the second and sixth years of ownership.
EVs registered between 1st April 2017 and 31st March 2025 will pay the standard rate road tax (set to rise to £195 per year).
However, all EVs registered before 31st March 2017 will pay a lower annual rate of £20.
The £10 annual discount on the standard rate road tax for alternative fuel vehicles, including hybrid, bioethanol, and liquefied petroleum gas (LPG) cars will also be discontinued from April 1st 2025, meaning affected drivers will pay the new standard £195 annual rate.
Electric vans will also be taxed at an annual rate of £355 – the same rate levied on petrol and diesel light goods vehicles.
Tax rises for low-emission vehicles
First-year road tax for low-emission vehicles producing between 1 and 50 g/km of CO2 will rise to £110. Until the change comes into effect, hybrid cars in this band (which includes most plug-in hybrids) pay no road tax in the first year, whilst petrol and diesel cars in the same band paid £10.
First-year road tax for new cars emitting 51-75 g/km will rise to £135. The previous rate for cars in this band was £20 for hybrids and £30 for petrol and diesel cars.
Doubling first-year rates for higher-polluting new cars
From 1st April, the first-year rate for cars in all other road tax bands (producing 76g/km or more) will double.
This means new cars in the highest band (producing 255g/km or more) will pay £5,490 in the first year.
The highest rate will apply to 59 new models from 24 car manufacturers, such as Bentley’s Continental W12, Porsche’s 911 Turbo, and Land Rover’s Defender V8.
How to find your car’s tax band
Understanding the UK’s car tax band system can help you determine how much road tax you’ll need to pay. Here’s a breakdown of how it works:
New cars: If you’re buying a new car, you’ll pay the first-year showroom tax based on the vehicle’s CO2 emissions.
Cars registered from 1st April 2017: From the second year of ownership, you’ll pay a flat annual road tax, which will increase to £195 from April 1st 2025.
Diesel vehicles registered from 1st April 2025: Any diesel car that does not meet Real Driving Emissions Step 2 (RDE2) standards will be moved up one showroom tax band.
Cars registered between 1st March 2001 and 31st March 2017 are taxed using 13 emissions-based bands (A to M).
Expensive car supplement (from April 2025): Vehicles with a list price over £40,000 (including EVs) will now be subject to an annual supplement of £425 (for years 2-6), up from the 2024/25 rate of £410.
This will only apply to new EVs registered from 1st April 2025 – it won’t affect older EV models.
Cars registered before 1st March 2001: These are taxed based on engine size rather than emissions.
You can pay by debit/credit card, or Direct Debit.
Showroom tax must be paid upfront, but other types of road tax can be paid in instalments.
If you choose to pay in twice annual or monthly instalments, a 5% surcharge will be added.
To find out which set of tax bands applies to your car, check the date of registration in your V5C logbook.
If your car was first registered from 1st March 2001, you can also use our CO2 emissions check tool to find its emissions level. From here, you can work out how much car tax you’ll have to pay by referring to the relevant table below.
Car tax exemptions
From April 1st 2025, road tax exemption for EVs will end. However, there are still some circumstances in which drivers are exempt from car tax:
Drivers with disabilities
You can apply for exemption from vehicle tax if you are in receipt of:
The higher rate mobility component of Disability Living Allowance.
The higher rate mobility component of Child Disability Payment.
The enhanced rate mobility component of Personal Independence Payment (PIP).
The enhanced rate mobility component of Adult Disability Payment (ADP).
Armed Forces Independence Payment.
War Pensioners’ Mobility Supplement.
You can also apply for a 50% vehicle tax reduction if you are in receipt of:
The standard rate mobility component of Personal Independence Payment (PIP).
The enhanced rate mobility component of Adult Disability Payment (ADP).
Please visit the ‘Financial help if you’re disabled’ section of the gov.uk website for more information.
Historic cars
Most cars over 40 years old are eligible for exemption from car tax. However, this is not automatic; you must apply once your car meets the eligibility criteria.
Please visit our guide to classic car tax exemption for a more detailed explanation.
SORN cars
If you make a SORN (Statutory Off-road Notification) for your vehicle, you will no longer be required to pay road tax on the vehicle.
You will also be eligible for a car tax refund from the DVLA if you have any full months’ car tax remaining.