Some drivers will have to pay more tax under changes announced by the Government
Drivers of certain cars are facing huge vehicle tax hikes in the coming weeks. But experts say if they act fast they can put off having to pay the new charges.
Electric vehicle (EV) owners will have to pay tax for the first time from April as they are being brought into line with petrol and diesel drivers.
EV drivers have previously enjoyed the perk of not having to pay tax. It means over a million EV owners face having to pay the rates.
READ MORE: Midlands’ most expensive streets home to £5 million mansions
Get all the latest motoring news sent to your inbox by signing up to our new newsletter here
But experts say if they renew their tax before the charges come into force in April, they can put off having to pay for another year.
Jonathan Such, motoring expert at vehicle finance provider First Response Finance, explained: “Until now, one of the major benefits of owning an electric vehicle has been the financial incentives that come with them.
“One of the main being Vehicle Excise Duty (VED) exemption.
“However, with car tax rules changing in April, EV owners will now face paying car tax the same way as drivers of petrol and diesel cars, costing typically around £195 per year.
“However, by renewing your vehicle tax before April 2025, you could avoid paying VED for an extra year, saving yourself £195 or more.
“Getting in there early means you’ll delay the deadline for paying tax on your EV to when it’s next due for renewal. This will be in March 2026, assuming you renew in March 2025.
“It is simple to do, and you can re-tax it at anytime on the Government website, using your registration number and the reference number on your V5C Registration Certificate (logbook).
“This simple step could make a real difference as millions of drivers start facing these additional costs.
“Whether you’re looking at financing your next car or managing your current costs, small savings like this can really add up.”