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Cars with these quantity plates face new tax and it is not low-cost, Government warns

Drivers will be affected by a new tax change to vehicle excite duty imposed by Labour, as the government makes a push towards greener energy and electric vehicles

car tax change
Only cars manufactured between certain dates will be affected (stock)(Image: Getty Images)

Drivers who own older cars are told they might be faced with a new crippling tax ahead of government changes.

Labour announced changes regarding Vehicle Excise Duty, a yearly tax paid by the owners of vehicles in the UK. Later this year, on April 1, 2025, a change will be made to the law which will affect millions of drivers across the country. The government is changing their law to “widen the differentials” between electric vehicles and internal combustion engine cars.

In an attempt to change to greener energy, a new tax system will be added. As part of this, the standard rate of Vehicle Excise Duty for cars, vans and motorcycles will rise in line with the Retail Price Index (RPI). This will not include first year rates for cars.

car tax change
The tax change will begin in April (stock)(Image: peter dazeley)

Cars, motorbikes, vans and other vehicles on the road which have been registered between March 1, 2001, and March 31, 2017, pay tax based on the fuel type and CO2 emissions of the car. Now, they will be split into 13 bands.

These range from A to band M. The range of emissions is far smaller and more particular than vehicles registered after 2017.

Now, any petrol or diesel car which emits less than 100g of CO2 per kilometre will have to start paying tax on April 1. Before then, they did not pay any tax on their vehicle in a push for greener cars.

Bands then increase until band M which is for vehicles emitting over 255g/km – this currently comes in at £735 a year.

These changes are coming in two years in Labour’s continued crack down on petrol and diesel vehicles in a push for Brits to switch to electric vehicles.

car tax change
Drivers might have to pay more tax (stock)(Image: Getty Images/iStockphoto)
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Registration plates are made up of two letters, two numbers followed by three letters. The first two letters denote the area code where the car was first registered.

The numbers indicate when the car was manufactured. Those between 2001-2017 will be affected by the tax starting at the beginning of April.

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