Understanding Vehicle Tax Bands in the UK (2025 Edition)

Why Vehicle Tax Matters

If you own a car in the UK, you’ll be paying Vehicle Excise Duty (VED), commonly known as “car tax” or “road tax.” But the amount you pay isn’t the same for everyone. It depends on when your car was registered, its CO₂ emissions, fuel type, and even how much it cost brand new.

The rules have changed several times in the past decade, which makes things confusing. In this article, we’ll explain the basics for 2025, with links to the official GOV.UK tax rate tables — so you can always double-check your own vehicle’s status.

How Vehicle Tax is Calculated in 2025

• Cars registered before April 2017 → Tax is based on the car’s CO₂ emissions (g/km). The higher the emissions, the higher the tax. Some very efficient cars pay £0, while high-polluters can be several hundred pounds a year.
• Cars registered after April 2017 → You pay a first-year rate based on emissions (can be anywhere from £0 to £2,500+), then a flat standard rate of £190 every year afterwards (2025 rate).
• Expensive cars → Any vehicle with a list price over £40,000 also pays an additional £390 “expensive car supplement” for the first five years.
• Diesel vehicles that don’t meet Euro 6 standards are often pushed into higher bands.
• Electric vehicles (EVs) → Still pay £0 in 2025, but this changes from April 2025, when they’ll move onto the same standard flat rate as petrol and diesel cars.

Quick Tax Band Examples (2025)

To give you a clearer picture, here are some typical cases:

• A petrol car registered in 2016, emitting 160g/km CO₂ → Roughly £250 a year, as it falls under the old emissions-based system.
• A Euro 6 diesel car from 2018 → Pays the standard £190 flat rate per year.
• A petrol car registered in 2022 with a list price above £42,000 → £190 flat rate + £390 luxury surcharge, totalling £580 per year.
• A plug-in hybrid from 2020 → Treated like most modern cars, so around £190 per year.
• An electric car registered in 2021 → Still £0 in 2025, but after April 2025 this changes to the standard flat rate (£190).

You can confirm the exact amount for your car directly on the official GOV.UK tax bands page, or run a quick check with CheckVehicle.ai to see your vehicle’s tax band instantly.

Key Changes in 2025

• Electric vehicles lose their exemption → From April 2025, EVs will start paying the standard flat rate like other cars.
• Luxury surcharge remains → Cars priced over £40,000 new still pay extra, regardless of whether they’re petrol, diesel, hybrid, or EV.
• The system still encourages low-emission choices — older, higher-polluting cars remain the most expensive to tax.

Final Thoughts

Understanding how UK vehicle tax bands work can save you from nasty surprises when budgeting for a car. Whether you’re buying second-hand or planning for a new model, remember:

• Check the official GOV.UK tables for exact rates.
• Use CheckVehicle.ai for a quick, easy lookup with just your registration number.

Staying informed means fewer shocks at renewal time — and smarter choices when buying your next car.