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UK Vehicle Excise Duty (VED): What You Actually Pay
First-year CO₂ rates, the flat standard rate, the £40k list-price supplement and zero-emission exceptions — with links to our VED estimator.
UK Vehicle Excise Duty (VED): What You Actually Pay
VED is not a “road tax” on use
Vehicle Excise Duty is an annual tax on keeping a vehicle registered in the UK — whether or not you drive it every day. You still need valid insurance and MOT separately.
First year vs standard rate
New cars pay a first-year rate linked to official CO₂ g/km figures. From year two, most petrol/diesel cars move to a standard flat rate (check GOV.UK for the current amount). Zero-emission cars have had different treatment over time — always read the latest Budget notes.
The expensive-car supplement
If the list price when new was above £40,000, an extra annual supplement can apply for years 2–6 of registration. EVs are not automatically exempt from this supplement — verify fuel type and date.
Plug numbers into our Road Tax (VED) calculadora to compare scenarios.
FAQ
Do I pay VED if the car is SORN?
References
- Vehicle tax rates·GOV.UK
- Tax your vehicle·GOV.UK