• Car Tax Bands for 2021 and 2022

Car Tax Bands for 2021 and 2022

Stay up to speed with the latest road rates

  • Published: 7 October 2021
  • Category:

How Does Car Tax Work?

Each April, new car tax rates are introduced by the UK government as part of the annual budget review. Previously known as Vehicle Excise Duty (VED), car tax is split into 13 bands and are based on two factors:

  1. The list price of the car.
  2. The vehicle’s emissions. 

The more CO2 emissions your car produces, the higher the cost of your road tax rate. So, if you own a high-polluting car, you will be penalised for it. This is defined by the Real Driving Emissions 2 (RDE2) test standard for all vehicles registered from 1st April 2018.  

It’s important to know that your car tax charge will not alter in retrospect, so if you’re currently paying £25 per year, the cost won’t suddenly balloon unexpectedly. However, it may increase slightly in line with inflation. 

Current car tax rates run from 1st April 2021 to 1st April 2022 and follow the same system that was put in place from 1st April 2017. The only difference being that electric cars are now exempt from the premium car tax that affects petrol and diesel vehicles worth more than £40,000. 

 

2021 and 2022 Car Tax Bands

Annual car tax rates as of 1st April 2021 are as follows:

Vehicle CO2 emissions g/km

Compliant RDE2 petrol and diesel vehicles

Non-compliant RDE2 diesel vehicles

Alternatively fueled vehicles (EV)

0 g/km

£0

£0

£0

1-50 g/km

£10

£25

£0

51-75 g/km

£25

£115

£15

76-90 g/km

£115

£140

£105

91-100 g/km

£140

£160

£130

101-110 g/km

£160

£180

£150

111-130 g/km

£180

£220

£170

131-150 g/km

£220

£555

£210

151-170 g/km

£555

£895

£545

171-190 g/km

£895

£1,345

£885

191-225 g/km

£1,345

£1,910

£1,335

226-255 g/km

£1,910

£2,245

£1,900

Over 255 g/km

£2,245

£2,245

£2,235

Choose Wilsons for your next Car

The best way to keep your car tax in a lower band is to choose a vehicle with low or zero emissions. Here at Wilsons in Epsom, Surrey, we have a fantastic range of electric vehicles, plug-in hybrid and smaller-sized cars that meet the emissions requirements. 

These are outlined by the Worldwide Harmonised Light Vehicle Testing Procedure (WLTP) which encourages manufacturers to produce cleaner models for a greener driving experience on our roads.

We proudly represent 11 new car brands, including; Abarth, Alfa Romeo, Fiat, Jeep, Hyundai, Nissan, Nismo, Peugeot, MG, Renault, and Dacia, as well as stocking over 1,000 nearly new and used cars that you can browse on site or online. 

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All our vehicles are subject to an Admin Fee. Our Admin Fee covers any additional administration needed during your transaction, including a thorough provenance check (HPI Check). The vehicle provenance investigation checks if a car has finance owing, is stolen, cloned, written off or clocked, giving you real confidence in your car. Our vehicle checks carried out during preparation also include a cosmetic and mechanical assessment of each vehicle. The admin fee also includes the cost to fully valet, register and, if necessary, MOT your vehicle (if less than 6 months left of current MOT).

Our administration fee is a variable fee which covers the additional administration needed when transacting with different categories of customers as specified:

All of the above fees are inclusive of VAT