Automobile Excise Obligation charges will improve from April 1, 2026
Tax is mostly raised yearly (Picture: Yau Ming Low through Getty Pictures)
Automotive tax charges from April 1, 2026, have been introduced and it signifies elevated prices for almost all of motorists. Formally termed Automobile Excise Obligation, fees will rise in a matter of days.
Citing Gov.uk knowledge, Confused.com revealed that the usual annual charge for many new petrol and diesel automobiles past the primary yr climbs to £200 from £195 in 2025/26. Zero-emission autos can pay £10 within the first yr, then £200 thereafter.
The price of the primary yr’s tax for all autos has risen – with the highest band, decided by CO2 emission, elevated by £200 to an eye-watering £5,690. Excessive-value automobiles, costing greater than £40,000, pay additional for so long as 5 years.
First yr automotive tax charges for 2026/27
All automobiles are topic to the primary yr charge when bought new and it is based mostly on CO2 emissions. The extra a automotive pollutes, the upper the tax charge is.
The 2026/27 charges for petrol, diesel, various gasoline and zero-emission automobiles registered on or after April 1, 2026, is beneath.
0 £10
1-50 £115
51 – 75 £135
Ensure that your automotive is taxed (Picture: Getty Pictures)
76 – 90 £280
91 – 100 £365
101 – 110 £405
111 – 130 £455
131 – 150 £560
151 – 170 £1,410
171 – 190 £2,270
191 – 225 £3,420
226 – 255 £4,850
256+ £5,690
Costs will differ for diesel automobiles which can be examined to RDE requirements. Vehicles transfer to the annual normal charges after the primary yr.
Automotive tax annual normal charges after first yr
Most autos are topic to the usual charge from their second yr, which will likely be £200 from April 1, 2026. Vehicles with a price ticket exceeding £40,000 incur a further complement for the preliminary 5 years, at the moment set at £440. For zero-emission (electrical) automobiles, this threshold rises to £50,000 from April 1, 2026.
Automotive tax prices for autos registered previous to April 2017
Autos registered between March 1, 2001, and April 1, 2017, have their Automobile Excise Obligation (VED) decided by CO2 emissions. The charges for 2026/27 are as follows:
Band Okay contains automobiles with a CO2 determine over 225g/km, however registered earlier than March 23, 2006. When you’re not sure of your automotive’s band, go to the GOV.UK web site.
Sure autos are exempt from VED. These embrace these over 40 years previous, these utilized by an individual with an eligible incapacity, these utilized by an organisation offering transport for folks with an eligible incapacity, agricultural autos, and any car with a Statutory Off-Highway Discover (SORN) connected. Crucially, nonetheless, all autos should nonetheless be taxed, even when that tax is freed from cost.
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