VEHICLE Excise Duty (VED), or road tax as most of us still call it, will increase in line with inflation from 1 April 2013.
The increases across the 13 bands range from zero for bands A-C, £5 for bands D-I, £10 for bands J and K and £15 for bands L and M. The first year rates also increase in line with inflation. The full table is shown below.
But be warned, that while this Budget’s increases were much as expected, the Budget document said that: “The Government will consider whether to reform VED over the medium term to ensure that all motorists continue to make a fair contribution to the sustainability of the public finances, and to reflect continuing improvements in vehicle fuel efficiency.”
We have been warned!
|VED Band||CO2 emissions (g/km)||2012/13|
first year rate