DVLA automotive tax warning as ’20-day’ countdown to main change begins
The Driver and Vehicle Licensing Agency (DVLA) has issued a warning to drivers as a major change to car tax is set to come into effect
The DVLA has given motorists a ’20-day’ heads up about significant alterations to the tax system that are on the horizon. As of April 1, drivers of electric and low-emissions vehicles will be hit with road tax for the first time, having previously been off the hook.
On Wednesday, the DVLA posted on X to direct people to more details about the upcoming changes, stating: “In 20 days, vehicle tax will change for electric and low-emission vehicles.” We previously reported how that could impact drivers with a blue badge.
That means we’re now down to 19 days until the shift impacts drivers. The DVLA elaborated on their information page about the changes: “From April 1, 2025, registered keepers of electric, zero, or low-emission cars, vans, and motorcycles will need to pay vehicle tax in the same way as registered keepers of petrol and diesel vehicles. This change will apply to both new and existing vehicles.
“This new measure removes band A under the existing VED system, which is currently £0. Vehicles in this band will be required to move to the first band where a rate becomes payable.”
DVLA car tax changes on April 1, 2025
The DVLA clarified that electric, zero, or low-emission motors registered on or after April 1, 2025, will have to cough up the lowest first-year vehicle tax rate, set at a tenner. From the second tax payment onwards, you’ll be shelling out the standard rate, which will be £195.
Electric, zero or low-emission vehicles registered between April 1, 2017, and March 31, 2025, will also be subject to the standard rate. This will be £195.
Electric, zero-emission, or low-emission motors registered between March 1, 2001, and March 31, 2017, will shift to the first band with a VED value of £20. Moreover, the annual £10 discount for hybrid and AFVs will be scrapped, and the rate motorists will fork out will hinge on when the vehicle was first registered.
If the vehicle was:
– registered before April 1, 2017 – this rate will be based on the vehicle’s CO2 emissions (check the current rates for these vehicles).
– registered on or after April 1, 2017 – you’ll cough up the standard rate (this will be £195).
Most electric vans will transition to the standard annual rate for light goods vehicles. Check the current rates for these vehicles.
Electric motorcycles and tricycles will shift to the annual rate for the smallest engine size. Check the current rates for these vehicles.
Additional rate (expensive car supplement)
Brand new electric and zero-emission vehicles registered on or after April 1, 2025, with a list price over £40,000, will incur the standard rate, plus the pricey car supplement for the first five years from the start of the second licence.