Car Tax

The way car tax is calculated is changing and those affected will be anyone that purchases a brand new car after April 1st 2017. Vehicles that are registered prior to this date will not be affected and the tax rates will remain as they are.

If you decide to buy a brand new car after April 1st 2017 you will pay the first vehicle licence based on your vehicle’s CO2 emmissions and the majority of vehicles will move to the new standard rate of vehicle tax which is £140 a year, however if you buy a brand new car that is over £40,000 at first registration you will pay £450 a year after the first vehicle licence then after 5 years the vehicle tax will revert to the standard rate of £140 a year.

The DVLA have been working with the Motor Industry to ensure that the changes are introduced in a timely way and that the effect will be minimal on customers.

This is the first of many updates that the DVLA are introducing and I will keep you up to date on the progress.