Car tax changes 2025 - what to look out for and how you could be affected

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Sweeping changes to Vehicle Excise Duty (VED) rates are set to affect nearly all drivers from April 2025, with petrol and diesel vehicle owners facing significant increases in first-year VED rates for high-emission vehicles.

Come next spring, new tax rates will be introduced for electric vehicles, while hybrid car owners will also see substantial hikes.

As these updates to VED rates unfold, the debate over a potential pay-per-mile charge is expected to continue well into 2025.

Read on to discover the major alterations and how they might catch drivers off guard, reports the Express. Standard VED rates are set to rise in line with Retail Price Index (RPI) inflation every year, and 2025 will be no exception.

Read more on manchestereveningnews.co.uk
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