New rates for road tax confirmed

An increase in Vehicle Excise Duty, in line with inflation, was confirmed in the Chancellor’s Spring Statement last month. The new rates took effect from 1 April.

The annual VED for cars when they are first registered is now as follows:


Emissions (g/km) of CO2

First year rate petrol
cars and RDE2
standard diesel cars

First Year rate non-
RDE2 diesel cars

Alternative fuel
cars

0

£0

£0

£0

1-50

£10

£25

£0

51-75

£25

£110

£15

76-90

£110

£130

£100

91-100

£130

£150

£120

101-110

£150

£170

£140

111-130

£170

£210

£160

131-150

£210

£530

£200

151-170

£530

£855

£520

171-190

£855

£1,280

£845

191-225

£1,280

£1,815

£1,270

226-255

£1,815

£2,135

£1,805

Over 255

£2,135

£2,135

£2,125


Subsequent VED payments from the second year onwards are now £145 for petrol and diesel cars, and £135 for alternative fuel vehicles. Pure electric cars are exempt. Cars with a list price over £40,000 will pay a £310 supplement for five years from the second time the vehicle is taxed.

For cars first registered between 1 March, 2001, and 31 March, 2017, the VED rates are as follows:


VED BandCO2 emissions
(g/km)
Standard rate*
A Up to 100 £0
B 101-110 £20
C 111-120 £30
D 121-130 £125
E 131-140 £145
F 141-150 £160
G 151-166 £200
H 166-175 £235
I 176-185 £260
J 186-200 £300
K** 201-225 £325
L 226-255 £555
M Over 255 £570

* There is an alternative fuel discount in 2019/20 of £10 for all cars.

** includes cars emitting over 225 g/km registered before March 23, 2006.