Confirmed car tax changes as of 1 April 2025
Get to know the latest for car tax changes in the UK as of 1 April 2025
)
By Tia Harrison-North
Last updated: 8 September 2025
Car tax changes took effect for all drivers in the UK on 1 April 2025.
Car tax is a legal requirement in the UK, and you need to pay it every year if you want to drive or store your car on the road.
The biggest update to Vehicle Excise Duty (VED – aka car tax or road tax) this year was that electric cars are no longer exempt and need to pay it for the first time.
There were also some big changes to first-year road tax (spoiler alert: it doubled for most emissions bands), and small increases to the standard rate, expensive car supplement and tax bands for cars registered before 31 March 2017.
Take a look at our car tax changes guide to find out exactly what changed.
)
What car tax changes took effect in 2025?
Electric vehicles (EVs) and first-year tax rates saw the biggest changes in 2025, but hybrid, petrol and diesel car owners were also affected.
Electric car tax changes for 2025
One of the main changes is that EV drivers now pay road tax, and brand-new EVs need to pay the expensive car supplement (also called the ‘luxury car tax’) for the first time.
Electric cars registered on or after 1 April 2025 will pay £10 first-year road tax until 2029-30 (first-year road tax is based on emissions, and EVs are, of course, in the lowest band)
Electric cars registered between 1 April 2017 and 31 March 2025 will pay the standard-rate road tax of £195 from 1 April 2025
Electric cars registered between 1 March 2001 and 31 March 2017 will now pay £20 road tax a year
The expensive car supplement (luxury car tax) now applies to electric cars registered on or after 1 April 2025, which is an extra £425 on top of standard-rate road tax from the second to the sixth year a car is registered on the road
Electric vans will now be charged £355 road tax each year – the same rate as petrol and diesel light goods vehicles
)
First-year car tax rates increase
Your first year of car tax when buying a brand-new car is paid based on emissions, so it’s different from the standard rate.
Electric cars registered after 1 April 2025 will now pay first-year road tax (a first for new EVs), and fuel-powered cars also saw a significant increase.
Here’s how the tax bands look for petrols, hybrids and RDE2-compliant diesels from 1 April 2025:
0g/km – £10 (previously £0)
1-50g/km – £110 (previously £10)
51-75g/km – £130 (previously £30)
76-90g/km – £270 (previously £135)
91-100g/km – £350 (previously £175)
101-110g/km – £390 (previously £195)
111-130g/km – £440 (previously £220)
131-150g/km – £540 (previously £270)
151-170g/km – £1,360 (previously £680)
171-190g/km – £2,190 (previously £1,095)
191-225g/km – £3,300 (previously £1,650)
226-255g/km – £4,680 (previously £2,340)
255+g/km – £5,490 (previously £2,475)
Standard road tax rates
The standard road tax rate is what you’ll pay annually to tax your car from the second year onwards for all cars registered after 1 April 2017.
As of 1 April 2025, the standard road tax rate is £195 for all cars registered after 1 April 2017 – including petrol, diesel, hybrid and electric (it was previously £190 for petrol/diesel, with a £10 discount for hybrids, and free for electric cars).
The expensive car supplement is also increasing to £425 per year (previously £410), which you need to pay for the second to sixth year your car is on the road if it cost more than £40,000 new.
Road tax for cars registered between 1 March 2001 and 31 March 2017
Cars registered between 1 March 2001 and 31 March 2017 are sorted into emissions-based bands for road tax every year, not just for the first year they were registered.
Cars with CO2 emissions of 0-100g/km now pay £20 per year (previously, it was free). The rest of the bands have increased by between £5 and £25, or stayed the same.
Here’s the full breakdown of road tax bands for cars registered between 1 March 2001 and 31 March 2017 (as of 1 April 2025):
Up to 100g/km – £20 (previously £0)
101-110g/km – £20 (no change)
111-120g/km – £35 (no change)
121-130g/km – £165 (previously £160)
131-140g/km – £195 (previously £190)
141-150g/km – £215 (previously £210)
151-165g/km – £265 (previously £255)
166-175g/km – £315 (previously £305)
176-185g/km – £345 (previously £335)
186-200g/km – £395 (previously £385)
201-225g/km – £430 (previously £415)
226-255g/km – £735 (previously £710)
255+g/km – £760 (previously £735)
)
Is my car tax changing?
Road tax changed for almost all cars in 2025, but exactly how much will depend on your car.
Electric car drivers are among the most affected, as car tax is an entirely new bill they never needed to think about before.
Those buying new cars – especially cars that produce a lot of CO2 emissions – also need to watch out for those increased first-year road tax rates.
Higher first-year road tax rates are another tick in the ‘pro’ column for used cars, but keep an eye out for the expensive car supplement if the used car you're looking at costs over £40,000 new and is less than six years old.
You can check the government’s car tax rate tables if you're not sure how much your road tax is.
Do I need to do anything for the car tax changes?
You don't need to do anything different for the road tax changes.
If you pay for your road tax by Direct Debit, your adjusted car tax amount will be taken on the next payment date after your tax renews (whether monthly, every six months or annually).
If you pay in full every six or 12 months, you'll be asked to pay your bill at the same time/date as before.
Just keep in mind that the prices will likely have increased – the rest of the process is the same.
Electric car owners also need to pay road tax for the first time and, possibly, the expensive car supplement when shopping for a brand-new EV.
This might make it a good time to look at used electric cars since the expensive car supplement doesn’t apply to EVs registered before 1 April 2025.
Why is car tax changing?
Car tax changes most years, typically seeing a slight increase in line with other rates of inflation.
Most increases are based on the Retail Price Index (RPI) – the measurement of inflation in the UK over time.
As more people moved over to electric driving and enjoyed the previously free road tax, less tax was being paid by UK drivers. It makes sense that the government would apply tax to electric vehicles because of this.
The same goes for making electric car drivers pay the £425 expensive car supplement – another form of tax revenue missed as electric cars become more popular.
Inflation makes cars more expensive, and new electric cars can be slightly more expensive than similar petrol or diesel models as they cost more to make.
Explore low road tax cars at cinch
So, in summary, these car tax changes apply to cars registered after 31 March 2017:
Electric cars now pay standard-rate road tax
New electric cars (registered after 1 April 2025) pay £10 first-year road tax, and the expensive car supplement from the second to the sixth year they're on the road if they cost over £40,000
Standard-rate road tax is now £195
The expensive car supplement is now £425
No more tax discounts for hybrid cars
Cars registered between 1 March 2001 and 31 March 2017 will still pay tax based on CO2 emissions, although some rates have slightly increased
So, that’s everything that changed for car tax after 1 April 2025. Make sure you check the rates for any car you might be buying and look at the government website to get all the details on the changes and their costs.
Buying a used car is a good way to save some money on these increases, and owning an electric car means you save on other running costs (such as fuel and maintenance) too.
Take a look at our guide on the best used cars to buy with cheap road tax.
)