New road tax rates could add £100s to your bill… read our guide to the new proposals and how they might hit you

Drivers have been warned they could expect big rises in road tax rates after the Government revealed proposals for tough new measures targeting emissions.

Even highly efficient motors such as the Ford Fiesta could be hit by tax hikes: Image Ford

Here’s what we know so far…

This is our guide to what is likely to be changing and how much extra drivers could be charged to tax their motors.

What is the change?

The Government has revealed private car tax (VED) and company car rates (BIK) will be based on much tougher WLTP emissions tests.

So what are WLTP emissions tests?

This test is the ‘Worldwide harmonised Light vehicles Test Procedure’ (WLTP), which replaces the current ‘New European Driving Cycle’ (NEDC) measure, which is less stringent.

Why are WLTP tests tougher?

The new WLTP test measures emissions and economy in what can be seen as a far more ‘real-world’ manner than current tests.

Will I pay more for my vehicle tax?

The WLT tests are expected to push up CO2 emissions by around 20 per cent, so unless the Government realigns current tax bands to compensate for this, it is hard to see that it would not.

However, the European Automobile Manufacturers Association has claimed the new tests should not mean drivers pay more.

So, how much extra could I pay?

Small city cars, such as a Ford Fiesta, with sub-100g/km ratings could rise through two bands from £120 to £160 for first-year road tax.

Larger cars would take a bigger hit, with the likes of the most efficient Range Rover Sport also jumping two bands – adding £700 to its first-year tax bill.

When will this come into force?

The DfT is currently consulting on the changes, but if adopted they are expected to become active from April 6, 2020.

Current VED road tax charges for cars registered from April 2017

See how much extra you could pay for a new car from April, 2020, by adding 20 per cent to current emissions here – the putting it in the new band.

Emissions (g/CO2/km) First year rate Standard rate
0 £0 £0
1-50 £10 £140
51-75 £25 £140
76-90 £100 £140
91-100 £120 £140
101-110 £140 £140
111-130 £160 £140
131-150 £200 £140
151-170 £500 £140
171-190 £800 £140
191-225 £1200 £140
226-255 £1700 £140
over 255 £2000 £140
Cars with a list price of more than £40,000 when new pay an additional rate of £310 per year on top of the standard rate, for five years

2 comments for “New road tax rates could add £100s to your bill… read our guide to the new proposals and how they might hit you

  1. Helen
    February 21, 2018 at 6:51 pm

    I would not necessarily object to paying much more (a small hike would be accepted) but only if the total road tax monies were ploughed back into the road network system. I am disgusted with the state of the roads yet again around my area where you have to navigate pot holes in the roads and suddenly swerve on larger main roads to avoid having to replace yet another tyre or wheel which is damaged by the state of our roads. Yes the council come out and draw a white line around the hole, but it takes days (if we are lucky) for them to fill in the hole which only lasts a few months or until the next winter and inclement weather at best. Some contractor engaged by my local authority (Hampshire) is definitely getting rich on the back of the tax payer!

  2. Graham
    February 19, 2018 at 1:13 pm

    I appreciate emissions need controlling but this is not the way it’s no coincidence that the governments road/vehicle tax take has plummeted in recent years this is just a way of hitting drivers again getting more money in the chancellors pocket.
    Where is the incentive to buy cleaner cars or indeed for manufacturers to produce cleaner vehicles if all taxed the same they just won’t put money in to R and D anymore to keep moving forward with cleaner diesel and petrol vehicles.We are not in a position to move to full electric and won’t be for many many years to come.
    Just another Tory tax scam (and no I’m not a lefty labour supporter) that will hit the poorest in our society.

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