Some drivers are having to splash out a whopping £5,690 to get behind the wheel of their vehicles following main adjustments to automobile tax.
Motorists could possibly be affected by new 2026 VED automobile tax bands (Picture: Getty)
Motorists are having to pay 1000’s of kilos to get behind the wheel because of new automobile tax bands, which got here into impact this month. New Automobile Excise Obligation (VED) costs started affecting motorists from April 1, 2026, with highway customers hit by annual inflationary rises.
VED charges have gone up throughout the board, with nearly all petrol, diesel and electrical automobile homeowners affected in a roundabout way. Nevertheless, homeowners of brand-new vehicles are among the many most affected, with first-year VED charges seeing the most important will increase. Homeowners of brand-new, extremely polluting fashions emitting over 255g/km of CO2 have been hit with payments £200 larger, taking annual prices to £5,690.
New tax bands got here into impact from April 1 (Picture: Getty)
New fashions emitting between 226 and 255g/km of CO2 are subsequent, with these highway customers dealing with the following highest improve, with annual prices now at £4,850 per yr. It comes only a yr after Labour doubled first-year tax charges, which despatched costs skyrocketing.
Simply over 12 months in the past, homeowners of brand name new fashions emitting over 255g/km of CO2 have been paying simply £2,745 to get behind the wheel. Though HM Income and Customs (HMRC) manages the laws and coverage behind the tax, charges are collected and processed by the DVLA.
The brand new 2026/27 charges are set out in HMRC’s charges and allowances report printed final December.
HMRC beforehand mentioned: “As introduced at Price range 2025, the Authorities will introduce laws in Finance Invoice 2025-26 to uprate Automobile Excise Obligation charges for vehicles, vans and bikes in step with the Retail Worth Index (RPI) for 2026 to 2027. This can take impact from 1 April 2026.”
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Nevertheless, it’s not all unhealthy information for first-year automobile homeowners, with charges not altering for these choosing electrical vehicles. The primary-year VED price stays at £10 in 2026/27 for any automobile emitting 0g/km of CO2, the identical fee as issued to highway customers in 2025/26.
Electrical autos have been previously fully exempt from VED automobile tax charges till the top of 2024-25 when costs first got here into impact.
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