Vehicle tax rates
What you need to know
Here is how to find out how much you'll need to pay:
Cars and light goods vehicles registered before March 2001
If you own a vehicle that was registered before - or is older than - March 1 st 2001 then the vehicle tax rate is very straightforward. You will only need to pay the same amount every year you own the vehicle and it is registered for use.
If the vehicle engine size is below 1549cc, you will have to pay an annual rate - currently £230*. This amount will rise slightly if you choose to pay in 12 monthly installments.
If the vehicle engine size is above 1549cc, the single payment price is currently £375* annually. Again, this price rises if you pay in monthly installments.
Cars and light goods vehicles registered between March 2001 and March 2017
If you own a vehicle that was registered between March 1 st 2001 and March 31 st 2017, then your tax rate is based on fuel type and CO2 emissions.
Each rate is designed for certain types of vehicles and there is not a single flat amount for motorists to pay. However, you will only need to pay the same amount every year you own the vehicle. Most car owners are asked to pay between £20 to £790* annually for small to medium sized vehicles, depending on their emissions.
The full rate table can be found on the DVLA website.
Cars registered on or after April 1st 2017
The first payment you make will depend on the CO2 emissions, from the second payment onwards, there is a flat annual rate of £200.
Electric, zero or low emission cars registered on or after 1 April 2025 will need to pay the lowest first year rate of vehicle tax set at £10 from 1 April 2025.
All cars with a list price of more than £40,000 when new are also subject to an additional £440* annually for five years from the second tax payment.
A guide to van and pick-up tax
Many think that vehicle tax for cars is the same for vans, light commercial vehicles (LCVs) and pick-ups - but the system is quite different. The way these vehicles are taxed all depends on when they were registered, which we'll explain here, as well as a way to get free vehicle tax.
Please note that all these rules apply to LCVs with a maximum gross vehicle weight under 3,500kg.
Commercial vehicles registered before March 2001
Vans registered before March 1st 2001, will pay one of two rates for vehicle tax - depending on their engine size.
For vans with an engine size up to and including 1,549cc, you'll pay £230* in vehicle exercise duty (VED) for 12 months. For engine sizes above 1,549cc, it will cost £375* to tax the van for 12 months. As with all the vehicle taxes here, you can pay the amount in full, or split the payment through Direct Debit.
Commercial vehicles registered after March 2001
Unlike cars in this time period, vans are largely not charged a vehicle tax rate depending on their emissions - rather a flat rate.
For the 2026/2027 year, most van drivers will pay £360* for 12 months to tax their vehicles. These fees apply to all vans registered after March 1st 2001 which have the vehicle tax code TC39.
Any exceptions to this flat rate?
There are exemptions to this rule, which vary depending on if your van met a certain emission regulation at a period of time.
The first of these is the Euro 4, which applies to vans registered between March 1st 2003 and December 31st 2006. These vans will be cheaper to tax, and cost £140* for 12 months. The same fees apply for Euro 5 compliant vans that were registered between January 1st 2009 and December 31st 2010.
What about electric vans?
Most electric vans will move to the standard annual rate for light goods vehicles. Check the current rates for these vehicles.
How do I know if my car is officially classed as a commercial vehicle?
The issue with commercial vehicles is that some fall under different classification. While most vans can be straightforward to tax, certain car-derived vans (a Ford Fiesta Van, for example) and models with rear seats are taxed in the same way as cars. Certain pick-ups are also taxed as commercial vehicles if they have a payload capacity under 1,000kg.
The simplest way to check this is by looking at your vehicle's V5C registration document. If it's classified as 'N1' or 'N2', that means it's taxed as a van.
More information about vehicle tax
For more detailed information about vehicle tax rates, the DVLA offers guidance and full rate tables here.
*last updated March 2026