Petrol and diesel drivers are facing higher Vehicle Excise Duty (VED) charges in 2026, with fees rising for combustion engine owners since April. The tax bands, which are based on vehicle age and CO2 emissions, mean most petrol and diesel owners pay significantly more than electric vehicle owners.
First-Year Rates See Biggest Increases
The largest impact falls on new car owners paying first-year tax rates. The most polluting models, emitting over 255g/km of CO2, now cost £5,690 to tax, up from £5,490 previously. When Labour came into office, these charges were £2,745 per year.
Cars emitting between 226 and 255g/km of CO2 face first-year rates of £4,850, while vehicles emitting between 191 and 225g/km pay £3,420. Petrol and diesel cars registered after 2017 have a set VED fee, which increased from £195 to £200 per year this spring.
Older Vehicles Also Affected
Owners of cars registered between 2001 and 2017 also face higher charges on a sliding scale based on emissions. Cars emitting over 255g/km pay the most at £790 per year, followed by vehicles between 226 and 255g/km at £760, and those between 201 and 226g/km at £445.
Modern classics registered before 2001 are also affected, with prices up by as much as £15 since April 1. Cars with engines above 1549cc now pay £375 to use the roads, up from £360, while smaller cars with engines below 1549cc pay £230 per year, up from £220.
Full VED Band Lists
For cars registered between 2001 and 2017, the bands range from £20 for vehicles emitting up to 100g/km of CO2, up to £790 for those emitting over 255g/km. The full list includes: A (up to 100g/km) £20, B (101-110g/km) £20, C (111-120g/km) £35, D (121-130g/km) £170, E (131-140g/km) £200, F (141-150g/km) £225, G (151-165g/km) £275, H (166-175g/km) £325, I (176-185g/km) £360, J (186-200g/km) £410, K (201-225g/km) £445, L (226-255g/km) £760, and M (over 255g/km) £790.
First-year VED bands range from £10 for zero-emission cars to £5,690 for vehicles emitting over 255g/km, with increases of up to £200 compared to previous rates.
