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UK Drivers Face Soaring Vehicle Taxes Starting April 1

4/1/2025

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Summary

Story summary

From April 1, UK drivers will see substantial increases in vehicle excise duty (VED), with some rates doubling.
Luxury cars emitting over 255g/km CO2 may face tax hikes up to £5,490.
New electric vehicle buyers will incur a first-year tax of £10, increasing to £195 thereafter.
Diesel and petrol cars will see average tax increases of £1,114 and £503, respectively.
The government intends to promote electric vehicle adoption by raising costs for traditional vehicles.

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Story summary

From April 1, UK drivers will see substantial increases in vehicle excise duty (VED), with some rates doubling.
Luxury cars emitting over 255g/km CO2 may face tax hikes up to £5,490.
New electric vehicle buyers will incur a first-year tax of £10, increasing to £195 thereafter.
Diesel and petrol cars will see average tax increases of £1,114 and £503, respectively.
The government intends to promote electric vehicle adoption by raising costs for traditional vehicles.