Do Electric Cars Pay Road Tax? UK 2026 VED Guide
EV Charger Guidance • Page 27

Do Electric Cars
Pay Road Tax?

From April 2025 yes. UK electric cars now pay standard rate Vehicle Excise Duty (VED) of £190 per year. EVs costing over £40,000 also pay the expensive car supplement. Here are the current UK rules and what they mean for new and existing EV owners.

Authored by: NAPIT Approved Engineers
Reviewed: April 2026
Coverage: Bedford, Milton Keynes, Northampton, Luton
Quick answer

Yes from 1 April 2025. UK EVs now pay £190 standard rate Vehicle Excise Duty (VED) annually. Newly registered EVs pay £10 in their first year. EVs originally costing over £40,000 also pay the expensive car supplement of £410 per year between years 2 and 6 of registration. Before April 2025, EVs were fully exempt from VED. The change applies to all UK EVs including those registered before April 2025.

£190/yr

Standard EV VED Rate

From April 2025 all UK EVs pay £190 standard VED annually. Same rate as petrol and diesel cars at the standard band.

£10yr 1

First-Year Rate

Newly registered EVs pay just £10 in the first year. The £190 standard rate then kicks in from year 2 onwards.

£410/yr

Expensive Car Supplement

EVs costing over £40,000 new pay an extra £410 per year between years 2 and 6 of registration. £600 total per year.

Apr 2025started

Exemption Ended

EV VED exemption ended on 1 April 2025. Applies to all UK EVs including those registered before that date.

In this guide

What this page covers

01What VED rate EVs pay 02Expensive car supplement explained 03First-year vs standard rate 04How to actually pay

How UK EV road tax rules work in 2026

UK Vehicle Excise Duty (VED, often called road tax) applied to petrol and diesel cars based on emissions and engine size for many years while EVs were fully exempt as a zero-emission incentive. From 1 April 2025 the EV exemption ended and all UK EVs now pay VED.

The current EV VED bands

For EVs registered from April 2025 onwards, the rules are:

Year 1 (first registration): £10. This is the lowest first-year band, recognising that EVs still produce no tailpipe emissions even though they now pay VED.

Year 2 onwards: £190 per year standard rate. Same as the standard rate for petrol and diesel cars.

Years 2 to 6 if list price over £40,000: additional £410 per year expensive car supplement. Total £600 per year during this 5-year window.

Older EVs are also affected

EVs registered before April 2025 also became liable for VED from that date. The transition rules:

EVs registered before April 2017: £20 per year (lowest historic band).

EVs registered between April 2017 and March 2025: £190 per year standard rate.

Pre-2025 EVs costing over £40,000 originally do not pay the expensive car supplement because they were exempt during the original 5-year window.

The expensive car supplement detail

The expensive car supplement is the more painful part of the new rules for buyers of premium EVs. Cars listed above £40,000 at first registration pay the supplement for 5 years (year 2 through year 6 of ownership). For EVs this captures Tesla Model Y Long Range, BMW iX, Mercedes EQS, most Porsche Taycans, Audi e-tron and many premium SUVs. The supplement adds £410 per year on top of the £190 standard rate, totaling £600 per year.

Authoritative context

UK Vehicle Excise Duty rates are set by HM Treasury under the Finance Act and administered by the DVLA. The April 2025 changes were announced in the November 2022 Autumn Statement and confirmed in the March 2023 Spring Budget. The Office for Budget Responsibility tracks projected revenue from the changes. Vehicle tax rates are published on gov.uk and updated annually. The DVLA enforces vehicle tax compliance through Automatic Number Plate Recognition (ANPR) and the National Roadworthiness Database. UK road tax is paid annually, every six months or monthly by direct debit at the gov.uk vehicle tax service.

UK EV Vehicle Excise Duty rates 2026

New EV first year (under £40,000)
First-year rate for newly registered EVs. Lower than petrol equivalents which can pay up to £2,605 first year.
£10/yr
Standard rate (year 2 onwards)
Annual rate for all UK EVs from year 2 of registration. Same rate as petrol and diesel standard band.
£190/yr
EV over £40,000 list price (years 2-6)
Standard rate combined with expensive car supplement. Premium EVs pay this for 5 years.
£600/yr

When you pay UK EV road tax

1

First registration

Pay first-year rate (£10 for EVs under £40k). Tax disc emailed and recorded on DVLA database. Valid 12 months from registration.

2

Year 2 anniversary

Standard £190 rate applies from year 2. Renewal reminder sent by DVLA around 6 weeks before expiry. Pay online, by phone or at a Post Office.

3

Years 3 to 6 (if over £40k)

Expensive car supplement of £410 added to the £190 standard rate. £600 total per year for these 5 years.

4

Year 7 onwards

Expensive car supplement ends. Back to standard £190 per year for the remaining ownership period.

Key UK EV road tax facts

EV VED started April 2025

From 1 April 2025 all UK EVs pay VED. Before that date EVs were fully exempt as a zero-emission incentive.

Standard rate £190 per year

Same rate as petrol and diesel standard band. Slightly lower than the £210 maximum standard rate for higher-emission cars.

£40k+ EVs pay extra

Expensive car supplement of £410 per year for years 2 to 6 of registration. Targets premium EVs disproportionately.

Pre-2025 EVs also pay

EVs registered before April 2025 became liable from that date. Older EVs (pre-April 2017) pay slightly less at £20 per year.

Petrol or diesel VED

  • First year: £10 to £2,605 (emissions-based)
  • Standard rate: £190 per year
  • Over £40k surcharge: £410/yr (years 2-6)
  • Older cars (pre-2017): £180+ varies
  • All vehicles pay annually
  • Emissions-banded historically

EV VED

  • First year: £10 (flat rate)
  • Standard rate: £190 per year
  • Over £40k surcharge: £410/yr (years 2-6)
  • Older EVs (pre-2017): £20 per year
  • All EVs pay from April 2025
  • Same standard rate regardless of model

Road tax is one cost factor in UK EV ownership. The wider EV Charger Guidance hub covers running cost, home charger install, the buying decision and the dozens of practical questions UK drivers ask about everyday EV ownership.

If you want more detail on the upcoming rates, our guide on how much will electric car tax be in 2025 covers the rate detail. The London ULEZ angle is in do electric cars pay ulez. For Congestion Charge see do electric cars pay congestion charge.

Tax Detail

How much will electric car tax be in 2025

 ULEZ

Do electric cars pay ulez

 Congestion Charge

Do electric cars pay congestion charge
Frequently asked

Common questions

Why did UK EVs lose their road tax exemption?
The exemption was always intended as a temporary incentive to encourage EV adoption while the technology was new. By 2024 EVs accounted for around 18 to 20 percent of new UK car sales which the Treasury judged sufficient to justify ending the financial incentive. EV revenue from VED helps replace the falling fuel duty income as the petrol fleet shrinks. The change was announced in November 2022 giving the industry over 2 years notice before the April 2025 implementation.
Do I pay VED on my pre-2025 EV?
Yes from April 2025. Pre-2017 EVs pay £20 per year (lowest historic VED band for cars registered before April 2017). EVs registered between April 2017 and March 2025 pay the standard £190 per year from April 2025 onwards. Pre-2025 EVs do not pay the expensive car supplement because they were exempt during the original 5-year supplement window.
Will the EV VED rate increase further?
Likely yes over time. UK VED rates are reviewed annually at each Budget and typically increase with inflation. The £190 standard rate could rise to £200 or £210 in future Budgets following the standard inflation indexation. Premium EVs may face additional changes if the expensive car supplement threshold (currently £40,000) is adjusted. The general trend is for UK road tax to rise gradually rather than fall.
Is salary sacrifice EV still tax efficient?
Yes, very. Salary sacrifice EVs remain extremely tax-efficient for UK higher-rate taxpayers despite the new VED rules. The Benefit-in-Kind (BIK) tax for EVs is currently around 3 percent compared to 25 to 37 percent for petrol cars. The £190 VED is a small annual cost compared to the income tax and NI savings on salary sacrifice. The overall scheme remains the cheapest route to a new EV for many UK earners.
How do I pay UK EV road tax?
Same way as any vehicle. Visit gov.uk/vehicle-tax with your registration number and reference (from the V11 reminder or V5C logbook). Pay annually, every 6 months or monthly by direct debit. You need a valid MOT certificate (if applicable) and current insurance. The DVLA sends reminders by post or email around 6 weeks before tax expires. Driving without valid tax is illegal and detected automatically by ANPR cameras.

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