DRIVERS will have to fork out up to £65 more for their car tax from April 1 as Vehicle Excise Duty (VED) rates are being hiked.
Most motorists have to pay VED every year – it’s effectively a tax to use your car on the roads.
How much you’ll pay depends on when your car was first registered.
For older vehicles registered before March 1 2001 the rate depends on the engine size.
Cars with an engine size of under 1,549cc will pay £160 from April 1 – up £5 from £155 now.
While cars with an engine size of over 1,549cc will pay £265 from April 1 – up £10 from £255 now.
When it comes to newer cars, how much you’ll pay each year in VED depends not just on when your car was registered but also how much carbon dioxide (CO2) it emits.
Cars first registered between March 2001 and March 2017 will see an increase in tax of up to £15 taking bills to up to £570.
The only motorists escaping the increase are those with cars producing less than 121g of CO2 per kilometre.
But it’s those with newer vehicles who will be hardest hit.
If your car was first registered between April 2017 and now you’ll be slapped with a tax increase of up to £65 taking bills up to a whopping £2,135 a year.
With these newer cars, you’ll only escape a VED increase if your vehicle pumps out under 76g of CO2 per kilometre.
The rates were sneakily hidden in last year’s autumn Budget. The Sun has contacted the DVLA for a comment and we’ll update this story if we get one.
You can use the Government’s tool to calculate your vehicle tax rate.
There’s a separate online tool for paying the tax on your vehicle. Fail to pay and you could be slapped with hefty fines or have your vehicle clamped or impounded.
You’re exempt from paying VED if you’re disabled.
Electric vehicles registered before April 2017 and electric vehicles registered after March 31 2017 that cost under £40,000 are also exempt.
If you want to stop using and insuring your car you need to submit a SORN (statutory off road notification).
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