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2025-04-04 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >
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Shulou(Shulou.com)11/24 Report--
CTOnews.com, November 20 (Xinhua) British Chancellor of the Exchequer Jeremy Jeremy Hunt said on Thursday that electric vehicles will no longer be exempt from consumption tax from April 2025, saying the move is aimed at making the car tax system "fairer".
"the OBR (Office of Budget responsibility) predicts that by 2025, half of all new cars will be electric vehicles, and in order to make our car tax system fairer, I have decided that from then on, electric cars will no longer be tax-free," Hunt said.
CTOnews.com has learned that the vehicle consumption tax (VED) is a tax levied on vehicles on British roads. At present, electric cars are duty-free. According to the newly announced plan in the UK, electric vehicles will also be required to pay consumption tax from April 2025, with a minimum rate of £10 in the first year and gradually rising to the current standard rate of £165. The standard rate will also apply to electric vehicles registered for the first time since April 2017.
In addition, the exemption of electric vehicles from the extra service fees for expensive cars has also been cancelled. This means that the owner of any electric car that costs more than 40,000 pounds will face a consumption tax of 165 pounds and an additional service fee of 355 pounds for expensive cars (between the second and sixth years of new car registration).
According to the plan, the UK will ban the sale of new gasoline and diesel cars from 2030. The change in UK policy on electric cars means that in just a few years, owners of electric cars will not have to pay car tax to pay the same car tax as owners of gasoline or diesel cars. Some agencies have warned that the move will reduce the incentive for people to switch to electric cars.
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