Millions of drivers face new £190 charge and are ‘no longer exempt’

Millions of drivers are set to face a new GBP190 charge and will no longer be exempt. Currently, electric vehicles and zero-emission cars do not have to pay road tax, but this is set to change from 1 April 2025. Experts are advising drivers who own or are considering purchasing an electric vehicle to be aware of these changes.

As announced in the 2022 Autumn Budget, electric vehicle drivers will be expected to pay a VED charge in less than a year. Any new low or zero-emission cars registered on the VED deadline (1st April 2025) will be charged the lowest rate, currently GBP10 a year. However, after the second year of registration, these vehicles will move to the standard VED rate - currently set at GBP190 a year.

EV drivers who first registered their vehicle between 1st April 2017 and 31st March 2025 will be required to pay the current standard VED rate of GBP190.

The Expensive Car Supplement scheme, which currently requires cars with a list price of over GBP40,000 to pay a surcharge (GBP355) for the first five years of registration, is also due to end in less than a year. Although electric vehicles are currently exempt from this scheme, from the 1st April 2025 deadline, drivers of low and zero-emission cars will also have to pay the surcharge, reports Birmingham Live[3].

Greg Wilson, the founder and CEO of Quotezone.co.uk, has issued a warning to electric vehicle (EV) owners and prospective buyers: "Any current EV driver, or motorist who is planning on purchasing a zero-emissions vehicle must ensure they are aware of the upcoming additional charges they will face. Currently EVs are exempt from paying VED but drivers now have less than a year to prepare for the new charges which will be coming into place from the 1st April 2025." He further explained the financial implications for those with zero-emissions vehicles: "If you've been driving your zero-emissions car since April 2017 you will soon be subject to paying GBP190 of car tax.

Anyone who registers their vehicle on the 1st April 2025 deadline will make them liable to pay the lowest rate (currently GBP10), which will be increased to GBP190 after the first year."

Wilson emphasised the importance of being informed about the impending changes: "These road tax charges will be affecting all current and future electric vehicle drivers so it's important for anyone planning to buy a zero-emissions car to know what they will be expected to pay in less than a year's time and factor these changes into their decision-making process."

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References

  1. ^ Tesco, Sainsbury's, Asda, Morrisons and other drivers warned over new E10 fuel (www.coventrytelegraph.net)
  2. ^ Boots shoppers who spend GBP45 on celeb-approved skincare can get GBP57 worth for free (www.coventrytelegraph.net)
  3. ^ Birmingham Live (www.birminghammail.co.uk)
  4. ^ Get daily headlines and breaking news emailed to you - it's FREE (www.coventrytelegraph.net)

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