If you own a car in the UK, road tax is something you simply cannot ignore. It is a legal requirement. You must pay it before driving your car on public roads.
But how much does it cost? How do you pay for it? And what happens if you don’t?
This guide answers all of those questions in plain and simple language. Whether you drive a petrol car, a diesel car, or even an electric vehicle, we’ve got you covered.
What Is Car Road Tax in the UK?
Car road tax is officially called Vehicle Excise Duty, or VED for short. Most people just call it road tax.
It is a tax collected by the Driver and Vehicle Licensing Agency (DVLA). You pay it every year to keep your car legal on UK roads.
One thing worth knowing — road tax does not go directly towards fixing potholes or building roads. It goes into general government funds. So the term “road tax” is really just a popular name that has stuck around for decades.
VED generated approximately £9.1 billion in 2025–26, which shows just how important this tax is to the country’s finances.
How Much Does Car Road Tax Cost in the UK?
This is where things can get a little confusing. The cost depends on several things:
- When your car was registered
- Its CO2 emissions
- Its fuel type (petrol, diesel, electric, hybrid)
- Its list price when new
Let’s break it down step by step.
Cars Registered After 1 April 2017
For most drivers, this is the most relevant section. The standard tax rate for all petrol, diesel or hybrid cars registered after 1st April 2017 is £200 per year.
But in your first year, you pay a different rate. This is called the first-year rate or the “showroom tax.” It is based on your car’s CO2 emissions.
Here is a table showing the first-year rates for 2026/27:
| CO2 Emissions (g/km) | First-Year Rate (2026/27) |
|---|---|
| 0 (zero-emission/electric) | £10 |
| 1–50 g/km | £110 |
| 51–75 g/km | £130 |
| 76–90 g/km | £270 |
| 91–100 g/km | £350 |
| 101–110 g/km | £390 |
| 111–130 g/km | £440 |
| 131–150 g/km | £540 |
| 151–170 g/km | £1,360 |
| 171–190 g/km | £2,190 |
| 191–225 g/km | £3,300 |
| 226–255 g/km | £4,680 |
| Over 255 g/km | £5,690 |
The top band now reaches £5,690 — an increase of £200 compared to 2025/26.
After the first year, almost everyone pays the same flat rate of £200 per year.
The Expensive Car Supplement (Luxury Car Tax)
If your car had a list price of over £40,000 when it was new, you will pay an extra charge on top of the standard rate.
Cars with a list price of over £40,000 when new pay an additional rate of £440 per year on top of the standard rate, for five years.
So for the first five years after year one, you will pay:
- £200 (standard rate) + £440 (expensive car supplement) = £640 per year
After five years, you go back to paying just the standard £200.
Electric Cars — Big Changes Since April 2025
This is important if you drive an EV. Things changed significantly.
Electric cars are no longer free from tax. This changed on 1 April 2025 when they moved to the standard rate charge, currently £195 a year.
Before 2025, EVs were completely free from tax. The government changed this to make the system fairer as more and more people switched to electric vehicles.
Here is a quick summary for electric car owners:
- New EVs registered after April 2025 — Pay £10 in year one, then £200 per year from year two
- EVs registered between April 2017 and March 2025 — Pay the standard £200 per year
- EVs registered before April 2017 — Pay just £20 per year
There is also good news on the expensive car supplement for EVs. The Expensive Car Supplement threshold has increased from £40,000 to £50,000 for EV buyers. The changes took effect from 1 April 2026. This means more EV drivers can avoid the extra £440 charge.
Cars Registered Between March 2001 and March 2017
If your car was registered in this period, the rules are a bit different. Your tax is calculated based on your fuel type and its CO2 emissions rating, as per your car’s V5C registration certificate.
The rates are split into bands — from Band A (lowest emissions, lowest tax) to Band M (highest emissions, highest tax). You can check exactly which band your car falls into on the GOV.UK website.
Cars Registered Before March 2001
For very old cars (registered before 1 March 2001), the tax is based on engine size rather than CO2 emissions. The rates are generally lower.
Classic Cars — Totally Free!
Here is a nice bonus for vintage car fans. Classic cars that are over 40 years old remain exempt from Vehicle Excise Duty (VED).
Cars more than 40 years old qualify for free road tax — cars built before 1 January 1986 are currently exempt, with those from 1986 becoming exempt in 2026.
You still need to register for the “historic vehicle” tax class with the DVLA, but you pay nothing.
Quick Summary Table: Road Tax Costs at a Glance
| Vehicle Type | Annual Road Tax Cost |
|---|---|
| Most petrol/diesel cars (post-April 2017) | £200/year (from year two) |
| Cars over £40,000 list price | £640/year (years 2–6), then £200 |
| New electric cars (post-April 2025) | £10 year one, then £200/year |
| EVs over £50,000 list price | £640/year (years 2–6), then £200 |
| EVs registered April 2017–March 2025 | £200/year |
| Pre-April 2017 EVs | £20/year |
| Classic cars (over 40 years old) | Free |
| Disabled/Motability vehicles | Free |
Who Is Exempt From Road Tax?
Some people do not need to pay road tax at all. Here is who qualifies:
- Classic cars — over 40 years old
- Disabled drivers — vehicles used by disabled people through the Motability scheme are exempt
- Certain agricultural vehicles
- NHS vehicles
Even if you are exempt, you must still tax your vehicle online through the DVLA. You just pay nothing.
How to Pay Car Road Tax in the UK
Paying your road tax is actually very simple. There are three main ways to do it.
1. Pay Online (Recommended)
Taxing your car can be done 24 hours a day using the government’s online system at www.gov.uk/tax-disc. You can use your V5C logbook, a V11 reminder letter, or the green New Keeper slip to complete the process.
Here is what you need to do:
- Go to www.gov.uk/tax-vehicle
- Enter your vehicle registration number
- Enter your reference number (from your V5C logbook or V11 reminder letter)
- The DVLA checks your insurance and MOT automatically
- Choose your payment method and pay
You can pay using a credit or debit card, or set up a Direct Debit for annual, six-monthly, or monthly payments. After making the payment, you’ll receive an instant confirmation email.
The whole process usually takes less than five minutes.
2. Pay by Phone
If you want to pay your car tax by phone, you can call the DVLA’s 24-hour vehicle tax service on 0300 123 4321.
Have your V5C logbook or V11 reminder letter ready when you call.
3. Pay in Person at the Post Office
If you prefer to pay your car tax in person, you can do so at most Post Offices. Simply head down to a branch which deals with vehicle tax, taking your V5C registration document or V11 reminder letter with you.
What Documents Do You Need?
Before you pay, make sure you have the right documents. Here is what you might need:
- V11 reminder letter — DVLA sends this when your tax is about to expire (has a 16-digit reference number)
- V5C logbook — Your car’s registration document (has an 11-digit reference number)
- New Keeper Supplement (V5C/2) — The green slip you get when buying a used car (has a 12-digit reference number)
You also need:
- Valid car insurance — The DVLA system automatically checks the Motor Insurance Database when you attempt to tax your vehicle. If your insurance has lapsed or is not showing as valid, you will not be able to complete the transaction.
- A valid MOT — if your car is more than three years old
How Often Do You Pay Road Tax?
You have three options for how often you pay:
- Annually — pay once for the whole year (usually the cheapest option)
- Every six months — pay twice a year
- Monthly — set up a Direct Debit and spread the cost
Monthly payments can be handy if you are on a tight budget, but keep in mind there is a small surcharge for paying monthly or semi-annually compared to paying for the full year upfront.
What Happens If You Don’t Pay Road Tax?
Driving without a valid road tax is illegal. The penalties can be serious.
Here is what could happen:
- You could receive an automatic fine
- Your car could be clamped or impounded
- You could face a fine of up to £1,000
DVLA uses ANPR cameras to catch untaxed vehicles on the road. These cameras are everywhere — motorways, town centres, even quiet side streets. You really cannot hide from them.
The good news is that the DVLA sends you a reminder before your tax runs out. So there is no excuse for forgetting.
What Is SORN? (Keeping Your Car Off the Road)
If you are not driving your car and want to keep it off the road, you can declare a Statutory Off Road Notification, or SORN.
This means you do not have to pay road tax while the car is kept off public roads. It is useful if:
- Your car is broken down and not being driven
- It is a seasonal car (like a convertible you only use in summer)
- You have a spare car sitting in your driveway
You can declare SORN for free on the GOV.UK website. Just remember — once you SORN your car, you cannot drive it on public roads at all until you tax it again.
Tips to Save Money on Road Tax
Here are a few smart ways to keep your road tax costs down:
- Buy a low-emission car — Cars with lower CO2 emissions pay lower first-year rates. This is especially true for hybrids and plug-in hybrids.
- Go electric — Even though EVs now pay road tax, the first-year rate is just £10. Over time, you still save compared to high-emission petrol cars.
- Pay annually — Paying for a full year upfront avoids the surcharge you get with monthly payments.
- Consider a classic car — If you love vintage vehicles, a car over 40 years old comes with free road tax.
- Check the list price carefully — If you are buying a new car, staying under the £40,000 threshold (or £50,000 for EVs) saves you £440 per year for five years.
How to Check If a Car Is Taxed
Thinking of buying a used car? You can easily check whether it has a valid road tax before you buy.
You can check online using the free DVLA tool at GOV.UK. You’ll need your registration number (number plate). The check shows the current tax status instantly.
This is a really useful step when buying a second-hand car. It only takes 30 seconds, and it is completely free.
Final Thoughts
Car road tax in the UK might seem complicated at first, but once you understand the basics, it is quite straightforward.
To recap the key points:
- Road tax is officially called VED (Vehicle Excise Duty)
- Most cars pay £200 per year from year two onwards
- Your first-year rate depends on your car’s CO2 emissions
- Cars that cost over £40,000 new pay an extra £440 per year for five years
- Electric cars will now pay road tax from April 2025
- Classic cars over 40 years old are free from tax
- You can pay online, by phone, or at the Post Office
- Driving without road tax can lead to fines and clamping
The easiest way to stay on top of your road tax is to set up a monthly Direct Debit. That way, you never have to think about it — it just takes care of itself automatically.
And if you are ever unsure about your car’s tax status, head to GOV.UK and check in seconds. It is quick, free, and could save you from an unexpected fine.
Last updated: Jan 2026. Road tax rates are reviewed annually by the UK government. Always check GOV.UK for the most current rates.
