All cars that have been registered since March 2001 sit within the Road Tax Bands structure. Cars within Road Tax Band A are FREE from VED in the UK whereas cars in Road Tax Band M are liable for a whopping £475 following the 2012 Budget update. Full details of the current pricing can be found in our Road Tax Prices 2012 article - this includes the increase in line with inflation announced by the Chancellor at the Budget on the 21st March 2012. In addition, Road Tax Band A-C cars also fall into the lowest company car tax brackets - read Company Car Tax Explained for further details.
All new cars registered from April 2010 are subject to a new 'First Year Rate' - i.e. to reward low emission car purchasers with a free or lower first year of car tax as well as penalising purchasers of cars in higher emission road tax groups - for details read First Year Road Tax. If you are in the market for a nearly new/used car read our Used Car Road Tax article.
| Road Tax Band | CO2 Emissions | 2012/13 1st Year Tax | Road Tax Fees 2012/13 |
| Road Tax Band G | 151 - 165 g/km | £170 | £170 |
| Road Tax Band H | 166 - 175 g/km | £275 | £195 |
| Road Tax Band I | 176 - 185 g/km | £325 | £215 |
| Road Tax Band J | 186 - 200 g/km | £460 | £250 |
| Road Tax Band K | 201 - 225 g/km | £600 | £270 |
| Road Tax Band L | 226 - 255 g/km | £815 | £460 |
| Road Tax Band M | Above 256 g/km | £1,030 | £475 |
Remaining car tax brackets: For high polluting cars like Sports, Executive and 4x4s, the first year increase could run into hundreds of pounds. For example, a new road tax Band M car will be hit with a first year rate of £1,030 from 1st April 2012. The remaining vehicle tax bands and their respective prices are below. Please note, Band K also includes cars that have CO2 emissions over 225g/km but were registered before 23rd March 2006.