New DVLA car tax rules coming into effect in April could see motorists paying hundreds more on insurance rates. The former Chancellor George Osbourne brought forth the proposal two years ago with rules to reflect changes in emissions technology in new cars.
In the plan, some car models would be significantly more expensive tax-wise than others, with only electric and hydrogen cars being exempt. All other cars would be made to pay a flat rate of £140, with new cars bought after April 1st costing £120 in road tax a year and £140 the year after.
Vehicles that emit 131g/km will be taxed £200, those emitting 141g/km will be charged £500, those emitting 171g/km will be charged £800 and those emitting 191g/km will be charged a searing £1,200.
As for luxury and low emission cars, which are currently tax free, they will be costing £310 a year after their first year of use. According to James Hind, founder of www.carwow.co.uk, “Some models will cost significantly more to tax each year, so there are long-term savings to be had by buying before the new system kicks in.
“Hybrid cars and small petrol-powered city cars will be cheaper to tax if you buy before April 1.”