Car Tax Changes April 2026: New VED Rates, EV Tax and What You Will Pay

Key takeaway: From April 2026, VED rates have risen in line with inflation. Electric car owners now pay the standard rate of £200 per year (up from £0 before April 2025). The expensive car supplement adds £440 a year for five years if your car's list price was over £40,000, or over £50,000 for an electric car registered from 1 April 2025 (electric cars registered before then do not pay it).

Car tax (Vehicle Excise Duty, or VED) changes every April, but the April 2026 adjustments are particularly significant because they are the first annual rise since electric vehicles started paying the same standard rate as petrol and diesel cars. This guide breaks down exactly what has changed, who pays what, and how to check the tax status of any vehicle for free.

What Changed in April 2025 (Still in Effect)

The biggest structural change to VED in recent years took effect in April 2025, when electric and zero-emission vehicles lost their £0 road tax exemption. Here is a summary of the current system that carries into 2026: If you are weighing up an electric car, read our electric car MOT failure rates study alongside the tax figures.

• Zero-emission vehicles (EVs): Now pay the standard rate of £200/year (previously £0).
• Expensive car supplement: Cars with a list price over £40,000 when new pay an additional £440/year for five years, starting from the second time the car is taxed. Electric cars registered from 1 April 2025 pay it too, but only if their list price was over £50,000.
• First-year rates: CO2-based rates still apply in the first year of registration. Zero-emission cars pay £10 in year one, rising to £200 from year two onwards.

April 2026 VED Rates: The Full Picture

VED rates for 2026/27 have been adjusted for inflation (RPI). Here are the key rates:

Standard Rate (Year 2 Onwards, Post-April 2017 Cars)

Vehicle Type	Annual Rate
Petrol or diesel	£200
Electric (zero emission)	£200
Alternative fuel (hybrid, bioethanol, LPG)	£200

Pre-April 2017 Cars: CO2 Based Rates

Cars registered before 1 April 2017 continue to pay VED based on their CO2 emissions band. These rates have also been adjusted upward slightly for inflation in 2026/27:

Band	CO2 (g/km)	Petrol/Diesel	Alternative Fuel
A	Up to 100	£20	£20
B	101-110	£20	£20
C	111-120	£35	£35
D	121-130	£170	£170
E	131-140	£200	£200
F	141-150	£225	£225
G	151-165	£275	£275
H	166-175	£325	£325
I	176-185	£360	£360
J	186-200	£410	£410
K	201-225	£445	£445
L	226-255	£760	£760
M	Over 255	£790	£790

These older CO2-based bands are often much cheaper for efficient pre-2017 cars. A pre-2017 Toyota Yaris in Band B pays just £20/year, while the same car registered after April 2017 pays £200. This makes pre-2017 efficient models particularly attractive for cost-conscious buyers.

The Expensive Car Supplement Explained

If your car had a list price (including options, before discounts) of more than £40,000 when new (£50,000 for an electric car registered from 1 April 2025), you pay an additional £440 per year on top of the standard rate for five years, starting from the second time the car is taxed. This means:

• Petrol, diesel or hybrid over £40,000: £200 + £440 = £640/year for five years
• Electric over £50,000 (registered from 1 April 2025): £200 + £440 = £640/year for five years
• Electric registered before 1 April 2025: no supplement, just the £200 standard rate

After five years, the supplement expires and you drop back to the standard rate. For electric cars, the higher £50,000 threshold and the exemption for cars registered before 1 April 2025 mean fewer EVs pay it than petrol and diesel cars at similar prices. If you are buying a used car, check when it was first registered and what its list price was when new to see whether the supplement still applies.

You can check the tax status and band for any car instantly. Enter the registration number in our free tool and you will see the current road tax rate, MOT status, and full running cost breakdown.

How This Affects Electric Car Owners

The shift from £0 to £200 per year is a significant change for EV owners. A new EV registered from 1 April 2025 with a list price over £50,000 pays £640 a year from its second year, or £3,200 over the five years the supplement lasts. EVs registered before 1 April 2025 pay the £200 standard rate with no supplement.

However, EVs still save money on fuel. Charging a typical EV at home on an overnight tariff costs roughly 5p to 8p per mile, compared to 14p to 18p per mile for a petrol car. Over 10,000 miles per year, that is a saving of £640 to £1,300 in fuel costs alone, which offsets the new road tax burden for most drivers.

The real squeeze comes for EV owners who rely on public rapid chargers, where costs can reach 70p to 85p per kWh. At those rates, the cost per mile is comparable to petrol, and the road tax saving no longer provides an advantage.

How This Affects Used Car Buyers

If you are buying a used car, the VED system you fall under depends on when the car was first registered:

• Pre-April 2017: You pay the CO2-based band rate. This is often cheaper for efficient cars (Bands A to C are £20 to £35/year).
• Post-April 2017: You pay the flat £200/year rate regardless of emissions or fuel type.
• Expensive car supplement: If the car had a list price over £40,000 (£50,000 for an EV registered from April 2025) and is still within its five supplement years, you inherit the supplement. Check the registration date to calculate when it expires.

This is why pre-2017 efficient cars remain popular. A 2016 Volkswagen Polo 1.0 in Band B pays £20/year in road tax. A 2018 Polo with the same engine and similar emissions pays £200/year. That is a £180/year difference for effectively the same car.

ULEZ, LEZ and Clean Air Zone Charges

Road tax is not the only government charge to consider. Clean Air Zones (CAZs) are now active in several UK cities:

• London ULEZ: £12.50/day for non-compliant vehicles (pre-Euro 4 petrol, pre-Euro 6 diesel). Covers all of Greater London.
• Birmingham CAZ: £8/day for non-compliant cars.
• Bristol CAZ: £9/day for non-compliant vehicles.
• Bath CAZ: Cars are exempt, but commercial vehicles pay £9/day.

If you live in or regularly drive through any of these zones, you need a Euro 4 petrol (typically 2006+) or Euro 6 diesel (typically 2015+) to avoid daily charges. Electric cars, and hybrids that meet the emissions standards, do not pay.

How to Check Your Car's Tax Band

The quickest way to check what you will pay is to enter the registration number in our free tool. We use DVLA data, refreshed at least once a week, to show you the tax status, the annual cost, and when it expires. You will also see the full running cost breakdown, including fuel costs, and the MOT history.

For the very latest status, use the DVLA's own service at gov.uk/check-vehicle-tax. It shows the tax status, though not the full cost picture that our tool provides.

The Bottom Line

The April 2026 VED rates represent a continuation of the trend towards equalising tax treatment across all fuel types. Electric cars are no longer tax-free, and the expensive car supplement catches many popular EVs. For cost-conscious buyers, pre-2017 efficient petrol cars in Bands A to C remain the cheapest option for road tax, while the flat £200 rate applies to everything newer.

Whatever car you are considering, check it here for free to see the tax band, fuel costs, and full annual running cost estimate before you commit.