What changes are being made to vehicle tax from April 2010?
Vehicle tax rates for cars registered on or after 1st March 2001 are split into bands depending on the level of the vehicles CO2 emissions. The amount you will pay depends on which band your car comes under.
From April 2010 there will be different vehicle tax rates for new cars when they are first registered. These are known as ‘first-year rates’ or ‘Showroom Taxes’. Standard rates of vehicle tax (road tax) will also change in April 2010.
What are the ‘first-year rates’?
From April 2010 anyone buying a new car will pay a different rate of vehicle tax for the first tax disc. From the second tax disc onwards they will then pay the standard rate. This is designed to send a stronger signal to the buyer about the environmental implications of their car purchase and will only apply to new cars, not already registered cars. The current first registration fee is £55.00 and the new rates are as follows.
Band
CO2 (g/km)
2010 – First Year Rate
A
Up to 100
£0.00
B
101 to 110
£0.00
C
111 to 120
£0.00
D
121 to 130
£0.00
E
131 to 140
£110.00
F
141 to 150
£125.00
G
151 to 165
£155.00
H
166 to 175
£250.00
I
176 to 185
£300.00
J
186 to 200
£425.00
K
201 to 225
£550.00
L
226 to 255
£750.00
M
Over 255
£950.00
What about already registered cars?
From April 2010, already registered higher emitting cars will be charged up to £30.00 more and lower emitting cars will be charged up to £30.00 less.
Band
CO2 (g/km)
2010-11 Standard Rate
A
Up to 100
£0.00
B
101 to 110
£20.00
C
111 to 120
£30.00
D
121 to 130
£90.00
E
131 to 140
£110.00
F
141 to 150
£125.00
G
151 to 165
£155.00
H
166 to 175
£180.00
I
176 to 185
£200.00
J
186 to 200
£235.00
K*
201 to 225
£245.00
L
226 to 255
£425.00
M
Over 255
£435.00
*Band K includes cars that have a CO2 figure over 225g/km but were registered before 23 March 2006.
