ROAD TAX (VEHICLE EXCISE DUTY) IS CHANGING FROM 1ST APRIL 2017
The way that Vehicle Excise Duty (VED) is calculated is changing for vehicles registered from the 1st April 2017.
The first year licence fee will increase for most passenger cars, followed in year two by a move to a standard annual rate of £140. Cars with a list price of over £40,000 will pay an additional rate of annual tax for the first five years. Zero emission vehicles like the fully electric Nissan Leaf remain VED exempt.
How much could you save?
The change in VED impacts the On The Road price of new cars as the first licence rate (1st years’ road tax) must be paid before you can take delivery of your new car.
THE INCREASE IN FIRST LICENCE RATE VARIES BY MODEL:
*1st Year rate increase shown calculated as the difference in VED payable on 31st March 2017 and 1st April 2017. The increase shown is the greatest impact for each model, increase varies by grade based on CO2 emissions.