Vehicle Excise Duty rates will rise again in April, but depending on how old your car is you may pay less.
The cost of VED depends on the vehicle's age, price and CO2 emissions.
For cars first registered on or after April 1 2017, there are two payments.
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Cars registered between March 1 2001 and March 31 2017 will pay based on the car's official CO2 emissions and fuel type.
And for cars before March 1 2001, the price you pay will depend on the engine size.
But this year Vehicle Excise Duty (also known as car tax or road tax) will rise in line with the Retail Prices Index measure of inflation from April 2022.
However, drivers of the least polluting vehicles will still pay less.
If your car emits no CO2, your car tax will remain at 0, reports the Mirror.
If your car's CO2 emissions are between 1 and 50g per km, your standard rate of car tax will increase from £155 to £165, but your first year rate will still be £10.
We've broken down more of the rates below:
- For cars that emit between 51 and 75g of CO2 per km, the standard rate will increase from £155 to £165, while your first year rate will stay at £25.
- If your car emits between 76 and 90g per km, your standard rate will rise from £155 to £165, while your first year rate will increase from £115 to £120.
- If your car emits between 91 and 100g of CO2 per km, your standard rate will increase from £155 to £165 and your first year rate will rise from £140 to £150.
- For cars producing CO2 of between 101 and 110g per km, the standard rate will increase from £155 to £165 and the first year rate will increase from £160 to £170.
- If your car's emissions are between 111 and 130g per km, your standard rate will increase from £155 to £165, while your first year rate will rise from £180 to £190.
- If your car emits between 131 and 150g of CO2, your standard rate will increase from £155 to £165 and your first year rate will rise from £220 to £230.
The following types of car owners pay no car tax:
- Owners of brand new cars that produce 0 grams of carbon dioxide (CO2) emissions and have a price of less than £40,000
- Owners of a car registered between 1 March 2001 and before 1 April 2017 that produces up to 100 grams of CO2 per kilometre driven.
If you have a disability, you might be entitled to free car tax if you have an invalid carriage, such as a mobility scooter, receive War Pensioners’ Mobility Supplement or receive the Enhanced Mobility Component of Personal Independence Payment.
You don’t have to pay car tax on ‘historic vehicles’ meaning a vehicle that’s 40 or more years old.
The amount you pay also depends on how often you want to make a payment. There’s a 5% surcharge if you pay monthly or every six months.
The Driver and Vehicle Licensing Agency (DVLA) runs computer tests every month to check whether the owners of cars registered in the UK have paid tax.
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