Motorists will face new Vehicle Excise Duty (VED) car tax increases within days in a massive blow to petrol and diesel owners.
Annual VED charges will rise across the board in line with Retail Price Index (RPI) inflation but some owners will face a staggering £140 rise.
According to Pete Barden, a roughly six percent increase will come into effect from April 1, 2024 with those owning polluting combustion models the most affected.
Estimates suggest those who have purchased new petrol and diesel cars emitting over 255 g/km of CO2 will pay £2,745 in road tax fees in year one.
This is a massive £140 rise on the £2,605 charge motorists paid to tax their vehicles last year.
The heavy fees are not just reserved for the most polluting models with those emitting between 226 and 255 g/Km facing £120 rises.
Fees for road users in this band will increase from £2,220 per year to £2,340 in April. Cleaner cars which emit between 191 and 225 g/km are also set to pay more with charges up by almost £100.
However, it’s not only polluting brand new cars which are affected by the new changes introduced in just days.
Standard rates for models first registered after April 2017 will increase by £10 per annum under the changes.
This will see VED rates sit at £190 per year compared to £180 per annum 12 months ago. VED price bands for vehicles first registered on or after March 1, 2001, are also up.
Band M charges for the most highly emitting vehicles will increase from £695 to £735 by next week.
Band L fees are also up £35 with prices rising from £675 to £710 when the charges are uprated next month.
Older vehicles registered after 2001 will also be hit with price rises in a blow for those running classic models.
Drivers with an engine below 1,549cc will pay £210 per year to tax their vehicle instead of the current £200 fee.
Meanwhile, those with engines above 1,549cc will be charged £345 per year instead of £325 under the new rules.
Electric cars are still exempt from all VED charges for another year with charges introduced from April 2025.
Owners of classic cars older than 40 years can also avoid fees by applying for a historic vehicle tax exemption.
