Drivers across the UK are being warned to brace for major car tax changes that could cost them thousands more, especially if they drive petrol or diesel vehicles. The DVLA has taken to the social media platform X (formerly Twitter) to remind people not to forget about vehicle tax, posting: “Don’t forget to pay your vehicle tax!”
If you don’t keep your tax up to date, you could face an £80 fine just for being the registered keeper of an untaxed car. And if you’re caught actually driving it without having paid up, or haven’t declared it off-road with a SORN, that fine jumps to £1,000 or five times what the tax should’ve been.
This comes as several car tax updates rolled out from April 1, marking the start of the new financial year. These were announced in the Autumn Statement by Chancellor Rachel Reeves, who confirmed that Vehicle Excise Duty (VED) would rise in line with inflation. The move is already hitting millions of drivers in the wallet, according to GB News.
And here’s the big one — from this month, electric cars aren’t off the hook anymore. A decision made by the previous Tory government under Jeremy Hunt means even EVs are now liable for car tax. It’s part of a plan to make things “fairer” across the board, but it’s not going down too well with those who made the switch to electric.
If you’re buying a brand new car now, get ready for a shock. First-year tax rates have been overhauled. EVs still get the best deal, with just £10 to pay in the first year — and that’s been frozen until at least 2029. But if you’re eyeing a hybrid, or especially a petrol or diesel model, you’ll be paying more.
The government wants to encourage more zero-emission vehicle purchases, so it’s widened the gap between EVs and traditional fuel cars. For example, plug-in hybrids emitting 1-50g/km of CO2 now attract £110 in tax, up from £10. And if your car’s CO2 emissions are over 255g/km, expect a hefty £5,490 — more than double last year’s £2,745.
Even relatively efficient cars aren’t spared. A vehicle emitting between 91-100g/km has gone from £175 to £350, and one between 131-150g/km will now cost £540, up from £270. The message is clear — if you haven’t checked your vehicle’s tax band yet, now’s the time. Forgetting could cost you way more than you think.
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