What are the Car Tax Bands?
Vehicle excise duty is also known as car road tax and is payable to the government department called the DVLA (Driver and Vehicle Licensing Association).
It is a tax on using a vehicle on a public road and is used to help cover the cost of maintaining public roads in the UK.
Each car is given a VED car tax rate which is determined by the car tax band your car has been categorised in.
Car tax bands are supplied by the DVLA and are based on a vehicles CO2 emissions and price when first registered with the DVLA.
Checking the car tax rates will let you know how much the road tax price is on a particular vehicle.
Car Tax Rates
The road tax rates for cars registered after 2017 are calculated using a cars list price and CO2 emissions. For cars registered from 2001 up to 2017 CO2 emissions were used only.
Current car tax rates are split into two with a first year rate based on CO2 levels. After the first year of registration has ended a second rate is then used based on the cars list price from new.
All cars registered from April 2017 qualify for a first year rate (FYR) and then the second year payment increases the rate of car tax moving forward.
Hybrid cars are given an alternative fuels discount which is worth £10 per year in comparison to the equivalent diesel or petrol VED price.
From April 2025 it is anticipated that the alternative fuels discount will end for hybrid cars and they will pay the same car tax rate as petrol or diesel cars.
| First year Car Tax Rates for cars registered after 2017: | ||||
| Car tax band | First year rate Inc. RDE2 diesel 2022-2023 | First year rate Non-RDE2 diesel 2022-2023 | Standard rate 2022-2023 | Premium rate 2022-2023 |
| 0 g/km | £0 | £0 | £0 | £0 |
| 1-50 g/km | £10 | £25 | £165 | £520 |
| 51-75 g/km | £25 | £120 | £165 | £520 |
| 76-90 g/km | £120 | £150 | £165 | £520 |
| 91-100 g/km | £150 | £170 | £165 | £520 |
| 101-110 g/km | £170 | £190 | £165 | £520 |
| 111-130 g/km | £190 | £230 | £165 | £520 |
| 131-150 g/km | £230 | £585 | £165 | £520 |
| 151-170 g/km | £585 | £945 | £165 | £520 |
| 171-190 g/km | £945 | £1420 | £165 | £520 |
| 191-225 g/km | £1420 | £2015 | £165 | £520 |
| 226-255 g/km | £2015 | £2365 | £165 | £520 |
| Over 255 g/km | £2365 | £2365 | £165 | £520 |
After the first year of registration a car will be grouped in one of the following categories:
- Zero-Emission
- Standard
- Premium
Each group has a different car tax rate which will be applicable from the second year of registration onwards.
| Fuel type | Single 12 month payment | Single 12 month payment by Direct Debit | Total of 12 monthly payments by Direct Debit | Single 6 month payment | Single 6 month payment by Direct Debit |
| Petrol or diesel | £520 | £520 | £546 | £286 | £273 |
| Alternative | £510 | £510 | £535.50 | £280.50 | £267.7 |
Car Tax Bands
The car tax bands use grams per kilometre or G/km to measure how many grams of carbon dioxide a car generates per kilometre driven.
There are 13 car tax bands which are categorised using a cars CO2 emission levels:
| 0 g/km |
| 1-50 g/km |
| 51-75 g/km |
| 76-90 g/km |
| 91-100 g/km |
| 101-110 g/km |
| 111-130 g/km |
| 131-150 g/km |
| 151-170 g/km |
| 171-190 g/km |
| 191-225 g/km |
| 226-255 g/km |
| Over 255 g/km |
The DVLA then use the CO2 emission levels to generate 13 car tax bands starting with 0 g/km up to over 255 g/km.
A vehicles first year car tax rate is calculated by using the car tax band with the lowest CO2 emissions attracting the cheapest car tax prices.
How do I find my car tax band?
To get the band you need to know the CO2 emissions for your vehicle which can be found using:
- Your V5C log book.
OR
- To find the CO2 emissions of a used or new car you can use the .GOV CO2 and vehicle tax tool which let’s you search for a particular vehicle for free.
Vehicle excise duty from 2025
In the autumn statement 2022 the government announced expected changes for VED from April 2025.
Electric vehicles are currently exempt from VED because of their zero emissions rating. From April 2025 the government will bring in a £10 first year registration car tax rate increasing to £165 from the second year.
Any electric vehicles with a list price of £40,000 or more will also qualify for the premium car tax rate of £355 just like their petrol or diesel counterparts.
Hybrid vehicles weren’t forgotten about and will lose their alternative fuels discount of £10 per year.
Car tax exemptions
Vehicles with special circumstances can be exempt from VED however you will normally still need to apply for it.
- The types of vehicles exempt from VED include:
- Electric vehicles
- Vehicles used by an individual with a disability
- Disabled passenger vehicles
- Vehicles that are only used for agricultural, horticultural or forestry purposes
