Overview
- From 1 April 2026, Vehicle Excise Duty will increase for nearly all petrol, diesel and electric cars as part of an inflation-linked uprating.
- Cars registered between 2001 and 2017 face the largest annual increases of about £5–£30 under the 13-band CO2 system.
- Annual charges in the highest bands will rise, with Band L moving to about £760 and Band M to about £790, while vehicles under 120g/km CO2 see no change.
- First-year rates for high-emission new cars will also climb, with the over‑255g/km charge rising to about £5,690 before moving to the expected £200 standard rate thereafter.
- The Treasury said VED is based on factors including registration date, weight and CO2 emissions, confirmed no review of the structure, and reiterated an EV mileage levy due in April 2028.