Car tax rates UK in 2026 follow a 13-band Vehicle Excise Duty (VED) structure based entirely on your vehicle's CO2 emissions per gram per kilometre. Understanding car tax rates UK helps you budget accurately, compare vehicles before buying, and spot opportunities to save hundreds of pounds annually. This complete breakdown covers every VED band from GBP0 to GBP695 per year, with real examples for the most common UK vehicles.

Car Tax Rates UK 2026: The 13 VED Bands Explained

Car tax rates UK divide all vehicles into 13 bands (A through M) based on official CO2 emissions from manufacturer test data. Band A covers vehicles emitting 0-100g/km CO2 and costs GBP0 annually — the only genuinely free road tax available. Band B (101-110g/km) costs GBP20 per year. Band C (111-120g/km) costs GBP145. Band D (121-130g/km) costs GBP160. Band E (131-140g/km) costs GBP170. Band F (141-150g/km) costs GBP185. Band G (151-165g/km) costs GBP200. Band H (166-175g/km) costs GBP210. Band I (176-185g/km) costs GBP225. Band J (186-200g/km) costs GBP255. Band K (201-225g/km) costs GBP275. Band L (226-255g/km) costs GBP295. Band M (over 255g/km) costs GBP695 annually. These standard rates apply from year two onwards — first-year rates for new vehicles differ significantly, especially for high-emission cars.

Car Tax Rates UK: How Fuel Type Affects Your Bill

Car tax rates UK include a diesel supplement of GBP15 annually on top of the standard VED rate for every diesel-powered vehicle, regardless of how clean its emissions are. A diesel car in Band D costing GBP160 in standard rates actually costs GBP175 with the supplement included. Alternative fuel vehicles (hybrids, flex-fuel, bio-diesel compatible) receive a reduced rate of approximately GBP152.25 annually regardless of their VED band. Electric vehicles at 0g/km CO2 occupy Band A at GBP0 road tax — the cheapest option available. When comparing car tax rates UK between petrol and diesel versions of the same model, factor in the GBP15 diesel supplement plus diesel's typically higher purchase price and maintenance costs to determine whether the fuel efficiency advantage justifies the additional annual tax.

Car Tax Rates UK 2026: What Changes for New Vehicles

First-year car tax rates UK 2026 differ substantially from standard annual rates, particularly for higher-emission vehicles. A vehicle in Band J (186-200g/km CO2) costs GBP255 annually from year two, but GBP1,290 in its first year of registration — a massive five-fold difference. The highest-emitting new cars in Band M (over 255g/km CO2) pay GBP2,605 in first-year VED alone. This distinction matters enormously when buying new — the purchase price doesn't include your first-year road tax bill, which can add thousands of pounds to first-year ownership costs unexpectedly. Luxury vehicles with a list price over GBP40,000 pay an additional GBP355 annual supplement for the first five years after first registration, on top of their standard VED rate. This 'expensive car supplement' affects most premium SUVs, executive saloons, and luxury models. Related: Car Tax Rates UK 2026 | How Much Is Car Tax UK 2026? The Honest Answer | Car Tax Rates UK 2026 | How Much Is Car Tax UK 2026? The Honest Answer.

Car Tax Rates UK: Examples for Popular UK Vehicles

Most popular UK vehicles fall into Bands D through F for their standard annual car tax rates UK. A 1.0-litre petrol city car emitting 98g/km sits in Band A at GBP0 road tax — effectively free to tax. The UK's best-selling family hatchbacks including the Ford Fiesta and Vauxhall Corsa, emitting 110-120g/km CO2, fall into Bands B-C paying GBP20-145 annually. Mid-size family SUVs like the Nissan Qashqai and Kia Sportage emitting 135-145g/km occupy Bands E-F paying GBP170-185 per year. Large SUVs like the BMW X5 or Land Rover Discovery emitting 175-200g/km fall into Bands I-J paying GBP225-255 annually. Performance and luxury vehicles emitting over 220g/km can hit Bands K-M paying GBP275-695 annually — a significant ongoing ownership cost that should factor into purchase decisions.

Car Tax Rates UK 2026: How to Check Your Exact Band

Finding your exact car tax rates UK band requires knowing your vehicle's official CO2 emissions figure, which appears on your V5C registration certificate, your MOT certificate, and the free DVLA vehicle enquiry service. Run a free check at Gov.uk/check-vehicle-tax to see your vehicle's CO2 rating, fuel type, and current VED band immediately. When buying a vehicle, the CO2 figure from the manufacturer's specification or the dealer listing tells you the likely VED band and first-year rate. Use CarTax.online's free VED calculator to compare road tax costs across different vehicles before purchasing, helping you make an informed decision based on real ongoing costs rather than just purchase price. Annual rate changes typically apply from April each year in line with the new financial year.

Frequently Asked Questions

What are the current car tax rates UK 2026?

Car tax rates UK 2026 range from GBP0 (Band A, 0-100g/km CO2) to GBP695 (Band M, over 255g/km CO2). Most family cars fall in Bands C-F paying GBP145-185 annually.

How do I find out which car tax band my vehicle is in?

Check your CO2 emissions on your V5C log book or MOT certificate, then match it to the VED band table. The free DVLA vehicle enquiry at Gov.uk also shows your exact band.

Do diesel cars pay more road tax in the UK?

Yes — diesel vehicles pay a GBP15 annual supplement on top of their standard VED band rate. A diesel car in Band D (121-130g/km) costs GBP175 annually versus GBP160 for petrol.

How much is car tax for an electric vehicle in the UK 2026?

Electric vehicles at 0g/km CO2 occupy Band A at GBP0 road tax annually. New EVs registered after April 2025 may incur first-year charges but remain the cheapest option in subsequent years.

Do car tax rates UK change every year?

VED rates typically increase annually in April, usually in line with the Retail Prices Index. These changes apply to vehicles registered from April onwards each year.

Conclusion

Car tax rates UK in 2026 range from GBP0 to GBP695 annually depending on CO2 emissions and fuel type, divided across 13 VED bands. Most family vehicles fall in Bands C-F, paying GBP145-185 per year. Diesel vehicles add a GBP15 supplement, while electric vehicles remain in Band A at GBP0. When buying a car, factor in first-year VED charges and the five-year luxury car supplement of GBP355 annually for vehicles over GBP40,000. Use the free DVLA vehicle enquiry or CarTax.online's VED calculator to verify your vehicle's exact band and budget accurately for annual road tax costs.

Official Resources: GOV.UK Check Vehicle Tax | GOV.UK Vehicle Tax | DVLA Online | MOT Check

Frequently Asked Questions

Q: How much is car tax (VED) in the UK 2026?
Car tax rates in the UK depend on your vehicle's CO2 emissions and list price. Standard rates start from £190 per year for petrol and diesel cars, with zero-rated VED for EVs. First-year rates vary from £0 to £2,605 depending on emissions. Additional premiums apply for vehicles over £40,000.

Q: How do I check if my car is taxed online?
You can check your vehicle's tax status for free on the Gov.uk website at gov.uk/check-vehicle-tax. You'll need your vehicle's registration number (number plate). You can also check via the Motor Insurance Database to verify road tax and insurance status simultaneously.

Q: Can I get a refund on car tax if I sell my vehicle?
Yes — if you sell or scrap your vehicle, you can claim a refund on any full months of remaining road tax. Contact DVLA with the V11 reminder letter or apply online at gov.uk. Refunds are usually processed within 4-6 weeks.

Q: Is road tax refund available when transferring ownership?
No — road tax does not transfer with the vehicle. When you sell your car, the tax is automatically cancelled and any remaining months are refunded to you by DVLA. The new owner must tax the vehicle immediately. As a buyer, always verify the vehicle's tax status before purchasing.

Q: What is the luxury car tax threshold in the UK 2026?
The additional rate for vehicles over £40,000 (list price) adds £410 per year to standard VED rates for years 2-6 of registration. This surcharge brings the annual cost for high-emission vehicles over £40,000 to around £600-690 per year. Pure EVs under £40,000 pay zero VED.