The DVLA has urged drivers to look again at their car tax (Image: Getty)
The has warned drivers to make sure their (VED) is up-to-date to avoid being charged extra money when new rules are enforced in April.
In a post on X, the agency urged motorists to set up Direct Debits for the tax, adding: “It will renew automatically when it’s due to run out, so there’s no need to worry.”
VED can be paid by anyone on an annual, biannual or monthly basis. But while those who pay annually won’t be subject to a surcharge, drivers paying in monthly or six month installments will be charged an extra 5%.
In the autumn budget, the chancellor announced changes to the VED to be introduced in April 2025 – including a new tax on electric vehicles and the scrapping of a discounted rate for hybrids.
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The DVLA has urged drivers to make direct debit payments (Image: Getty)
The amount due will vary depending on model type, with those with the largest engines, producing over 255/km of CO2 seeing a rise from £2,745 to £5,490 per year.
Cars with a ‘list price’ of above £40,000 will also see a £15 increase on the additional ‘luxury’ surcharge they have to pay.
The government also increased the first-year VED for new petrol and diesel vehicles, in some cases by double the original cost, in a bid to widen the gap between electric vehicles and more pollutant traditional models.
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Everyone who drives in the UK is required to pay VED, which is otherwise known as car tax.
How much you pay depends on factors including a vehicle’s fuel type and emissions, and some older cars are exempt from the charges.