Cars Exempt from Road Tax

Whether you refer to it as car tax, road tax, or – it’s official name – Vehicle Excise Duty (VED), paying this tax is mandatory so that you can lawfully keep your car and drive it on the roads. It’s another extra cost for car owners, and nobody likes to pay it, but the money is used for road work and maintenance projects that benefit everyone.

Did you know, however, that there are some cars exempt from road tax? Yes, your next choice of car could save you from paying VED altogether. Let’s take a look at which used cars have zero road tax.

Which cars are exempt from road tax?

According to the UK government’s official guidelines, the following cars don’t need VED:


  • Vehicles used by a person living with a disability (you can claim disability exemption here).
  • Disabled passenger vehicles used by organisations providing transport for people living with a disability.
  • Mobility scooters and powered wheelchairs (they must have a maximum speed of 8mph on the road and be fitted with a device limiting them to 4mph on footways).
  • Vehicles made before 1 January 1981.
  • Electric vehicles (the electricity must come from an external source or an electric storage battery not connected to any source of power when the vehicle is moving).
  • Mowing machines (it must be designed, constructed and used just for cutting grass to be exempt. This does not include tractors used to tow gang mowers).
  • Steam powered vehicles.
  • Vehicles used for agriculture, horticulture and forestry.

See the GOV.UK website for more details.


Are electric cars are exempt from road tax?

As the production of electric and hybrid cars increases in order to meet greener demands, the question ‘are electric cars exempt from road tax?’ is also being asked more. Under the latest VED road tax rules, only fully electric and hydrogen fuel-cell cars are exempt from VED, while plug-in hybrid (PHEV) drivers still pay a flat rate of £145 a year.

Cars registered between 1 March 2001 and 31 March 2017 fall under a previous tax system. If you buy a used electric or hybrid car, be sure to check if it was registered during this time period, as it will be fully tax-exempt as long as it emits less than 100g/km of C02

Here are some of the best models to consider when searching for a new car:


Volkswagen ID.3 – an electric hatchback that can be described as a Golf for the modern, eco-friendlier era.


Toyota Mirai– powered by electricity made in an innovative fuel cell stack that fuses oxygen and hydrogen together.


Nissan Qashqai – opt for the 1.5-litre dCi engine in this spacious, pioneering hybrid SUV.


Skoda Octavia – the 1.6-litre estate or the Greenline version are reliable, greener, tax-free choices.


Nissan Leaf – all-electric, smart hatchback that has won various awards for being a leading green car.


If you are looking for an electric car exempt from road tax, take a look at the collection of new and used cars available to buy at Hybrid World today and arrange a test drive.