Do I need to pay car road tax? New rules and rates for 2025 as electric vehicles included for first time

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Changing road tax rules will affect all managers in 2025, as rules that have come into effect from 1 April, increased or new costs for most, under a myriad of other possible bill increases.

Motorists generally stare, as most electric vehicles owners now have to pay the normal band of vehicle axial tax (or car tax) for the first time.

Car tax revenue is collected by the driver and vehicle licensing agency (DVLA) to pay for things such as road improvements and infrastructure, as well as other areas of public spending. The Dvla contains information on the tax on its national database and performs regular checks using license plate recognition cameras to monitor non-payments.

How much car tax a driver pays usually depends on when their vehicle is first registered, the type of vehicle it is, and the CO2 output it produces. There may also be extra costs for more expensive vehicles, along with certain exemptions.

Here is everything you need to know about the rules in 2025.

New rules for electric vehicles

From April this year, electric cars, wagons and motorcycles began to pay the same way as gasoline and diesel vehicles.

For new zero emission cars registered on or after April 1, 2025, owners only have to pay the lowest first-year rate of car taxes. It is currently £ 10 a year.

Electric vehicles owners must pay car taxes for the first time in 2025 (John Walton/PA)

Electric vehicles owners must pay car taxes for the first time in 2025 (John Walton/PA) (Pa -archive)

After the first year, new registered cars will move to the standard rate of £ 195 a year. Zero emission cars that were only registered between April 1, 2017 and March 31, 2025, will also pay the standard rate.

New zero-emission cars with a list price of over £ 40,000 and registered on or after April 1 will also be charged for the expensive car supplement for five years. It will be £ 425 for 2025.

For zero and low-emission cars registered for the first time between March 1, 2001 and March 30, 2017, car tax is £ 20, in line with the group a charge for other petrol and diesel vehicles.

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Cars that were only registered from April 1, 2017

First -year rates

Owners of petrol and diesel cars that meet certain emission levels will pay a first-year rate based on the CO2 output.

It ranges from £ 10 to £ 5.490 for petrol cars. This lower level is only for petrol cars that have no emissions – for even 1 g/km it will rise to £ 110. For the average petrol car, with an emergence of about 143 g/km, the cost would be £ 1.360.

For diesel cars, the cost ranges from £ 110 to £ 5,490. For the average diesel car, with an emergence of about 164 g/km, the cost would be £ 2,190.

Second year further

The rates for the second tax payment are called standard rates, which will pay most managers. For all cars – petrol, diesel and electrical – the cost in 2025 is £ 195.

However, there are additional rules for expensive car owners to be aware of it. Vehicles with a list of more than £ 40,000 must pay a supplement for the first five years. It will be £ 425 from April 2025, paying the total car tax at £ 620.

The Dvla catches up car taxes to pay to public spending

The Dvla catches up car taxes to pay to public spending (Getty)

Cars were only registered between March 1, 2001 and March 31, 2017

For vehicles that were first registered in this 16-year window, there are 13 tax ties that can be charged on the basis of its CO2 output. It ranges from 101g \ km, at £ 20, to more than 255g \ km, at £ 760. Any vehicle with emissions at or less than 100 g/km will pay £ 20 in 2025.

A vehicle’s CO2 emission details can be found on the V5C registration certification. Alternatively, the details are available on Gov.uk, but you need to know when your car is registered and its exact model.

Cars were only registered before 1 March 2001

Vehicles that are more than 24 years old in 2025 are charged a standard tax rate at two levels based on the size of their engine. For those with engines under 1549cc the cost is £ 220. For those on this, it’s £ 360.

What about motorcycles and wagons?

As with electric cars, motorcycles and wagons are now charged, both at the lowest rate.

For motorcycles, the amount liable in car taxes is based on engine size, ranging from £ 26 for an engine below 150 cents, to £ 121 for an engine over 600 cents.

For most wagons, the cost is £ 140 for early Euro 4 and Euro 5 vehicles, or £ 345 for all others.

Can you be released from car tax?

There are some vehicles and people that can be exempt from car taxes, so it’s important to see if you don’t pay if you don’t have to.

Vehicles that do not have to pay car tax include:

  • Agricultural vehicles such as tractors
  • Vehicles with disabled people (only if the registered disabled person is eligible)
  • Disabled passenger vehicles used by groups that offer transport for the disabled
  • Classic vehicles (over 40 years)
  • Vehicles taken with a Statutory Off Road Notification (Sorn) off the road

There are also some payments for social security that you will release from car taxes if you receive it. That is:

  • Higher Tempo Mobility Component of Disability Life (DLA)
  • Improved Rate Mobility Component of Personal Independence Payment (PIP)
  • Improved Rate Mobility Component of Payment for Adults with Adults (ADP)
  • Higher tariff mobility component of payment of child disabilities
  • War pensioner’s mobility supplement
  • Armed Forces Independence Payment

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