How much will the 10 most popular new cars cost to tax next year thanks to Labour changes?

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How much will the 10 most popular new cars cost to tax next year thanks to Labour changes?
Published: Dec, 18 2024 06:00

Car tax changes introduced in April will see the cost of first-year Vehicle Excise Duty (VED) for all new petrol and diesel models double, stinging the most polluting cars with an annual charge as high as £5,490. The tax raid on new combustion engine motors was confirmed in Rachel Reeves' Autumn Budget in October.

 [Electric car owners will be forced to pay VED for the first time from April 2025. While first-year showroom tax rates are low - at a fixed cost of £10 - the price of car tax can spiral for the standard rate from year two onwards...]
Image Credit: Mail Online [Electric car owners will be forced to pay VED for the first time from April 2025. While first-year showroom tax rates are low - at a fixed cost of £10 - the price of car tax can spiral for the standard rate from year two onwards...]

The Chancellor said VED (commonly referred to as road tax or car tax) first-year rates for cars registered after 1 April 2025 will be adjusted to 'strengthen incentives to purchase zero emission and electric cars, by widening the differentials between zero emission, hybrid and internal combustion engine cars'.

 [Audi's plug-in hybrid A3 (pictured) will be subject to a £100 increased in showroom VED from next year. However, its hot RS3 version will costs a staggering £3,300 to tax for 12 months]
Image Credit: Mail Online [Audi's plug-in hybrid A3 (pictured) will be subject to a £100 increased in showroom VED from next year. However, its hot RS3 version will costs a staggering £3,300 to tax for 12 months]

However, the supporting Budget document revealed that Ms Reeves' plot to extend the tax gap to greener vehicles would be achieved by doubling first-year VED rates - also known as 'showroom tax' - for petrol, diesel and many hybrid cars while costs for new EVs will rise from zero to just £10.

 [The MG HS is sold the with a plug-in hybrid drivetrain that will cost £110 to tax from April - up from just £10 currently. Its highest emitter will be subject to a showroom tax of £2,190]
Image Credit: Mail Online [The MG HS is sold the with a plug-in hybrid drivetrain that will cost £110 to tax from April - up from just £10 currently. Its highest emitter will be subject to a showroom tax of £2,190]

Experts have labelled it a stealth tax on new petrol and diesel cars and a 'shove, not a nudge' towards EV uptake. So, how will these new rules impact the nation's most popular new cars?. These are the 10 best sellers of 2024 (up to the end of November) and the spread of first-year road tax costs from 1 April 2025.

 [Official combined CO2 emissions across the Hyundai Tucson line-up range from 22 to 158g/km. This translates to increased in first-year VED of between £100 and £680]
Image Credit: Mail Online [Official combined CO2 emissions across the Hyundai Tucson line-up range from 22 to 158g/km. This translates to increased in first-year VED of between £100 and £680]

The priciest will cost £3,300 to tax for 12 months. 2024 registrations: 27,674. CO2 emissions: 116 - 149g/km. First-year tax costs: £440 - £540. The Volkswagen Polo will be subject to an increase in VED showroom tax of between £220 and £270 across the current model line-up from 1 April 2025.

 [The cheapest VW Golf in terms of first-year taxation - the entry petrol version - will double from £220 to £440. However, the Golf R hot hatch (pictured) will rise from £1,905 to £2,190]
Image Credit: Mail Online [The cheapest VW Golf in terms of first-year taxation - the entry petrol version - will double from £220 to £440. However, the Golf R hot hatch (pictured) will rise from £1,905 to £2,190]

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