Electric car owners urged to make one check to get | Tech News

Electric car owners have been urged to do one thing before April 1 2025 which could help them get another year of free road tax.

Whilst the Government is set to make a number of changes to Vehicle Excise Duty (VED), better known to most motorists as road tax, electric car drivers will likely be the hardest hit, with their exemption ending.

However, John Wilmot, CEO and founder of the car leasing dealers service LeaseLoco.com, suggested that motorists may be able to renew their tax early and take advantage of the final month of tax exemption.

He explained: “While the introduction of VED for electric cars was expected, many drivers may not realise they can in fact delay these charges for another year by renewing their tax before 1 April.

“Taking advantage of this short window to secure another year of tax-free driving is a no-brainer. It’s a simple step that could save you nearly £200, and with the deadline fast approaching, we’d encourage drivers to act now.”

Introduced shortly after the first mainstream electric models were released around 15 years ago, the tax exemption on EVs was designed to encourage drivers to make the switch away from polluting petrol and diesel models.

However, with more than a million electric cars on the UK roads, the exemption is due to end at the start of April 2025, with owners paying the same flat rate of £195 per year as a petrol, diesel or hybrid car.

New EV buyers will also be affected by the change, paying £10 for the first year, and an additional £425 charge from the second to sixth year of ownership if the vehicle has a retail price of more than £40,000 – bringing the total charge to £620 per year.

Whilst some have warned that the move will cause many motorists to think twice before buying an electric car, current owners could dodge the charge by checking to see when their current tax expires.

In order to make sure all motorists have the chance, the DVLA allows motorists to renew their tax up to two months in advance of the expiry date, doing so at the current rate of charge.

As a result, electric car owners whose tax expires in April or May 2025 will be able to renew their road tax early and will not have to pay a penny for another 12 months.

With future issues for EV sales looming, with Sue Robinson, CEO of the National Franchised Dealers Association (NFDA), called on the Government to provide new incentives to boost demand.

She added: “BEVs (battery electric vehicles) are maintaining their strong momentum in 2025, securing a market share of 22.8 percent year-to-date, slightly below the ZEV mandate quota of 28 percent for the year.

“Last month, NFDA submitted its response to the Government consultation on proposals to support the UK’s transition to zero-emission vehicles. A key focus of NFDA’s response is the urgent need for incentives, emphasising that stimulating consumer demand is crucial for driving market growth.”