From April 1, 2025, new car tax costs in the UK will change significantly:

1. Zero-emission cars will pay £10 for the first year, then £195 annually thereafter.
2. Cars emitting 1-50g/km CO2 will pay £110 for the first year.
3. Cars emitting 51-75g/km CO2 will pay £130 for the first year.
4. Cars emitting 76g/km CO2 and above will see first-year rates double from current levels.
5. The standard rate for most cars from the second year will be £195 annually.
6. Cars with a list price over £40,000 will pay an additional £410 annually for five years.
7. Electric vans will move to the rate for petrol and diesel light goods vehicles, currently £335 a year for most vans.

These changes aim to encourage the adoption of zero-emission vehicles while increasing tax revenue for the government from higher-emission vehicles.

Article in conjunction with UK lender elogbookloan