Rachel Reeves confirms £760 charge for drivers | Tech News
Some motorists are set to pay £760 to make use of the roads in 2026 after a new car tax charge carried out by Rachel Reeves. New Vehicle Excise Duty (VED) tax bands got here into impact from April 1, 2026 with petrol, diesel and electric car house owners all hit with new charges.
Prices increase in keeping with Retail Price Index (RPI) inflation each spring, with 2026 no completely different. The Chancellor is accountable for setting VED tax bands, with HMRC confirming will increase late final 12 months. Almost all autos will need to pay, with costs massively various relying on the make and model of every car.
One set of highway customers will see charges rise by £25, with payments hitting £760 every year in a hefty blow. Cars registered between 2001 and 2017 pay VED charges based mostly on their car’s general emissions, with fashions positioned into one of 13 tax bands.
Cars emitting between 226 and 255g/km of CO2 paid £735 to get behind the wheel earlier than April, with these charges now rising to £760. However, it is not the best rise, with automobiles emitting over 255g/km of Co2 paying £30 more with fees up from £760 to £790 every year.
Shahzad Shand, host of YouTube channel @BrownCarGuy, burdened that automobiles registered between 2001 and 2017 have been being “treated harshest” of all. He known as out the new charges, arguing that officers needed to review the “deeply unfair” charges.
He stated: “These are the cars that arguably are treated harshest of all because they fit under a completely different VED regime, one based purely on official CO2 emissions figures from a time when nobody really imagined that those numbers would still matter quite this much.”
Shahzad added: “This is a segment they really need to look at again. At the higher end these rates don’t just feel harsh, they feel deeply unfair.”
Motorists falling into car tax bands I, J, Ok have been hit with will increase of £15 per 12 months. Meanwhile, autos in Bands G and H are being charged £10 more to make use of the roads, with fashions in Bands E and F paying £5 more.
However, lower-polluting fashions in Bands A, B and C usually are not set to pay more, with charges remaining the identical as within the final tax 12 months.
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