Drivers warned about new car tax rules that will hit petrol and diesel motors

MOTORISTS of petrol and diesel vehicles are at risk of an increased car tax bill for 2022.

The new Vehicle Excise Duty (VED) rates come into effect in April 2022 and could be costly to those with cars that aren’t so eco-friendly.

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Car tax is currently split in two parts, the first part being an annual road tax, which is a one-off payment of £155.

The annual road tax will rise by £10 making the new cost £165 from April 1, 2022 onwards.

The second part is the VED and the cost of this will all depend on how much CO2 emission your car releases.

This format means those cars producing larger amounts of CO2 emissions will be subject to higher VED costs.

The price of VED has risen in all but two brackets for 2022, 1g to 5g/km and 51g to 75g/km.

Those cars producing over 255g/km of CO2 emissions, the highest bracket, will see their VED tax rise by £130 compared to the current rate.

On top of any extra charges, cars that cost more than £40,000 will have to pay a higher one-off standard fee of £490, which is a jump up from the current cost of £335.

The increase is in line with Retail Price Index (RPI) inflation, with a hope to push more drivers towards eco-friendly or electric cars.

Those cars that produce 0g/km of CO2 emissions won’t have to pay anything on the VED.

If you haven’t had the chance to check and see what the new VED tax bracket are, here’s is how much they will be for the 2022/23 tax year:

• 1g to 50g – £10
• 51g to 75g – £25
• 76g to 90g – £125
• 91g to 100g – £150
• 101g to 110g – £170
• 111g to 130g – £190
• 131 to 150g – £230
• 151g to 170g – £585
• 171g to 190g – £945
• 191g to 225g – £1,420
• 226g to 255g – £2,015
• over 255g – £2,365

Alex Kindred, car insurance expert at Confused.com said: “Although the changes to Vehicle Excise Duty (VED) bands are in line with inflation costs, it can still come as a shock to some motorists who might be paying more for their vehicle tax than in previous years.

“Drivers of electric vehicles won’t be affected by the new changes as these are completely emission free, so it’s worth considering this if you’re thinking of changing your vehicle over the next year or so.”

Not only do drivers have tax hikes to worry about but the cost of filling up your car has risen in recent months.

Recommending ways to save some pounds, Alex said: “Looking online to compare fuel costs at your local stations could save you a few pounds when you fill up.”

Confused.com allows you to search prices of UK petrol stations. All you need to do is enter in your postcode and tell it how far you want to travel (up to 20 miles).

Elsewhere, the Mayor of London wants drivers of petrol and diesel cars to switch to greener methods.

Plus, SUV drivers in the UK could save 8.7 million tonnes of carbon emissions, but they’d have to switch to electric cars.