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Historically, electric vehicles have enjoyed a zero road tax status, which has made them an attractive option for many consumers. However, the UK government is transitioning away from this tax exemption as the number of electric vehicles on the roads continues to grow. This was initially introduced to encourage EV adoption but has contributed to a significant decline in tax revenue.
The new regulations were outlined in the 2024 budget announcement, providing clarity on how EV taxation will unfold in the coming years.
Breaking Down the Changes
Starting from the changeover date in April 2025, we will see electric vehicles classified into different tax bands.
Older Electric Vehicles (Pre-March 2017 Registration)