Electric Cars To Pay VED (Road Tax) & Luxury Car Tax
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- Опубліковано 16 лис 2022
- Electric car ownership is about to get a little more expensive. I'm also testing out this type of video so let me know what you think.
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EVs are about £5-10k more expensive than their equivalent ICE car which means the government are getting an extra £1-2k in VAT too.. Everyone seems to have missed that one.
So what? Look how much the government rakes in from fuel duty
MG EV4 starts at £25,995
dont buy new then ;) i certainly wouldnt be. let the richie riches do that and then get it a few years later for half price :D
@@shawing Yeah and the battery will be shot
so what? They still wear the road out.
Your videos are informative and entertaining - a less formal "chat" about EV relevant topics as they crop up is great to a new EV driver like me.
Over 6 years ago when the ‘luxury’ car tax was introduced, £40k was definitely a luxury car. 9 years will have elapsed by the time this change occurs and with 11.1% inflation and the substantial rise in car prices (actually above inflation), £40k is no longer a luxury car… it is a skoda enyaq with a couple of options ticked.
The fact that this tax will have sat at the £40k rate for almost a decade, whilst rampant inflation has dominated means it is becoming an additional car tax, because most cars will exceed that cost if you wait long enough.
Personally, I think it is an insidious and disingenuous policy.
Spot on John. I'll be sticking with our 2013/2015 Ice cars 99g co2 £0 tax for a bit longer.
The government said that it was apparently to "ensure those who can afford the most expensive cars make a fair contribution", but if you have to pay this 'luxury' car tax if your post-Apr 2017 car was over £40k when it was new, in what way is that a "fair contributon"?
I'll stick to driving my classic with historic status. VED £0, no requirement for an MOT and £100 insurance.
And it won't suffer a cliff-face dive in value, won't need an £8000 battery, and will still be worth what you paid for it twenty years from now. Good to see an intelligent person on here for a change.
Your classic car can go further as well
@@robloxfan4271 Well actually no! It only does about 18mpg with a 15 gallon tank so the Tesla beats it by a little bit. :)
@@djtaylorutube But his classic takes 5 minutes to fill up. The Tesla doesn't. It takes AGES.........
@@BibtheBoulder Not really, the classic needs to be driven to a petrol pump and wait in the queue, then stand by it while it fuels. The time it takes to charge the Tesla is as long as it takes to plug in. No need to stand by it waiting while it charges you see?
Very informative- thanks for taking the time. Really liked the format.
in the less than 1 year of me having an EV the incentives have already gone, i.e subsidies, discounts, wall boxes etc....the prices of public and home charging are rocketing upwards (yes, i know everything else is too) my point is, are we the only country active 'discouraging' EV sales? instead of incentivizing everyone to switch to EV's and are pre 2017 cheap VED cars going up too or will it be benificial to buy a £20 road tax Mercedes C220d auto or even Skoda Fabia 1.2 dsg (also £20 ved). this country has lost the plot.
Hardly discouraging we all have to pay in the end, beside EV's are imho not the way to go, Hydrogen is. Imagine whaht the seconhand market will look like in 10 years, don,t be concerned with mileage more " how many charging cycles does it have left before I shell out 5k on new batteries.
This criminally corrupt government never had a plot to lose!
@@Kresnov It's not which is the better fuel, its which is the best fuel for the job that the vehicle does. HGV's, plant/farm and busses would benefit from Hydrogen. Most cars will suit electric. The future surely is multi-fuelled.
@@Kresnov respectfully....2 things to mention, 1st....every battery will outlive the car by FAR (10,000+ charge cycles will still see more than 80% state of charge,...so circa 300,000+ mls before even thinking about replacing) the battery pack issue was a very short lived episode at the start of EVs. you are more likely to have to change a fossil fuel engine by that stage than a bettary pack on an EV......and 2nd..... Shell UK just quietly CLOSED ALL of its hydrogen filling stations, so they (hydrogen cars) are dead in the water in this country.
100% agree I’ve just sold my ev and we are just using my wife’s diesel mini £20 road tax very cheap to run. Can’t charge at home as I live in a flat and public charging prices are going through the roof some are charging nearly £1 a kw and half the time most chargers don’t work to much hassle and to expensive getting and only going to ge worse 🤦♂️
Happy for you with this type of video . Just as long as it doesn't add any more pressure on yourself. Thanks for the content
Yes, keep your videos coming for general public consumption. Very informative as always, and balanced.
Speaking for myself, I would like to see this out in the open. These things are important to discuss. Thanks for all your work on your channel! :-)
I would think by the time we get to 2025 the plans may change again, no point in getting too excited about it at present. Fuel duty in March 23 is set to go up by about 12p a litre, that is much bigger news!
I can see the daily mail now, a day before the rise, as if it was a shock; FAMILES BEING DRIVEN OUT OF CARS BY DISGUSTING DUTY INCREASE! SHAME!
@@salibaba 'Green Taxes' is just a nice way of saying that the poor won't have cars or warm houses. Politicians never talk straight.
Yes the 12p/litre rise means with about 1200 litres/year consumption for typical driver, nearly £150/year increase in costs. Imagine if they put £150 increase on VED, instead, there would be outrage.
@@johndoyle4723 let's not forget that the government charge VAT on fuel duty as well so we're being forced to pay tax on the tax. As for VED, mine has inexplicably gone up more than 70 quid since last year. If this continues, which I'm sure it will, very soon I won't be able to afford to go to work. Oh well, if I sign on at least I'll get an 11% pay rise!
The government will also have to reverse their ridiculous decision to stop sales of ICE cars by 2030.
Useful info, I'm happy to watch short videos like this, keep up the good work
Thanks for the video.
The lack of VED was always going to be a means of tempting us to take up EVs. This is the thin end of the wedge though. We will end up with segregated electricity feeds to charge our EVs so they can charge extra duty on electricity too. This is to accommodate the tax shortfall as we transition from ICE to EV. If that doesn't happen (it will) then HMRC will tax us somewhere else instead.
Always happy to see your take on what's happening and how it could impact us in the car & home efficiency world. Things like this & the quickie you filmed at Morrison's, would be ideal little additional videos to the usual Friday upload. Don't expect them every week, or even every month, but would be happy to see little pop-ups every now and again with interesting little titbits and updates. Best wishes
Love this kind of video Andy .. when timely as now it reflects the conversations I've half had with some non EV work colleagues today, except your take is useful and sensibly thought out as always. Not too often, but when it feels relevant as today .. 👍Pete
Really like this style of video to capture latest topics. No one else does it anymore.
All the channels are just reviewing the same cars, main reason why I haven't watched an EVM upload for a few weeks before this one
I'm all for an extra video every now and then. As has already been said; you are informative and entertaining. Keep it up.
VED isn’t an issue, all other road users pay it. What the issue is,IMHO, is changing it whilst having older cars still paying the old style VED rates whilst polluting more.
If you want to change it, change it for everyone.
Agreed
Agreed
Make more of these videos. Because they're easy to make make them public, grow the channel. Look at the Electric Viking who releases about 5 short informative or opinion videos a day and his channel has exploded! People love EV news and updates.
Yup, this is a useful video, all the news has stated is that electric vehicle tax is coming in, so as far as I'm concerned, you probably explained more than any news channel, so I would welcome the extra videos, especially when they explain what the news stations don't.
One thing that puts me off buying an electric vehicle is that I have nowhere to charge a vehicle, I have a shared drive where it can be a free for all, I have a Smart ForTwo diesel which I can park near enough anywhere, handy as I live in the centre of town, I can do two weeks commute on a thankful of diesel, and at present I don't have to pay road tax, with electricity prices rising, using a public charger would be more expensive than running my little Smart, added to that, the public infrastructure in the town where I live, two chargers in a car park that charges £5 an hour for parking, add on the cost of charging, I work shifts and the car park closes at night, I would need a vehicle that would be able to cover at least 350 miles so that I could charge on my days off, incidentally the next nearest chargers are further away from home and work, there's nothing on route, as my average working day is around 15 hours, I wouldn't want to stop and charge up on the way to or from work as a 15 hour day means I'm normally up for 19 hours allowing time to get up or settle down, obviously ablutions, and travel time to and from work, at present, there's no incentive to go electric.
I like this style of content, it brings news to the masses in a digestible format with hopefully not too much of a time overhead for yourself.
Your immediate take on news like this is always more than welcome 👍 I'm glad it's not the per mile nonsense.
I wonder if that will be a separate policy? VED on EVs won't recoup enough income to the treasury when faced with diminishing fuel sales. I think there will need to be some additional method of paying for the roads/bringing in cash to the treasury/sucking cash out of the motorist.
Per mile is the only long term method
@@stuartburns8657 Seems the fairest approach. Pay a fee for the driving you do. But the Tories don't believe in fair so it won't be as straightforward as that.
@@chrischild3667 No, you're right it won't be simple Chris, it'll be a damn mess, but 35 billion is a big hole to fill
@gilburton thought that was more to ensure grid load was more evenly spread
Electric Vehicle Man EXTRAS
I love these little extra snippets, keep them coming.
I am not a regular viewer of your channel, but I saw the title for this and wanted to see it, and hear the information. I also am NOT an EV owner or intending to be, so from that standpoint you look to gain more viewers that have a passing interest in what's going on with EV's, the laws and its meaning relating to EV's as that also points to what's possibly coming down the road for combustion engine users like myself, and also would NOT be paid subscribers. Hope that makes sense, and thanks for posting the video, I found it interesting and informative.
Hi, I've always thought Car tax should be done by the weight of the vehicle as right or wrongly I've always assumed the more weight the more damage or wear and tear to the road surface. I appreciate probably very little if any of this tax actually goes to the roads. As always great video and relevant topic.
Yeah don't think it's a bad idea. I'd do it on a mixture of weight, width and emissions. Mostly emissions, I'm daily getting poisoned sitting behind 10+ year old diesel cars and vans, the things stink and need to be tested more strictly.
You should pay for vehicles you leave in the street by size, I used to live in SW London and the amount of pointless suvs making the roads single file.. madness
And then there is road pricing and low emission zones I am glad I will be retiring next year and won’t have to do 40k a year any more, without a company car it’s going to get expensive.
Are little Skoda EVs heavier than bigger deisel cars,due to heavy batteries?
It would be to bad if the tax you paid for your vehicle actually went on repairing the roads
This should be uploaded publicly. Everyone should be bothered by this news.
It’s not the worst piece of news from the budget
Do you think electric cars should be taxed at all for using the roads?
Serious question.
So Dean, if you could click you fingers and all ICE cars were suddenly converted into EV's, we'd still have congestion and a 36 billion yearly black hole.
With all these heavier vehicles on the road?
This was always on the cards, it was when not if
@@stuartburns8657 So Stuart, my point was everyone (all EVM subs) should know about this, it's good info for people interested in electric vehicles. I don't mind paying a fair amount of VED for my 2 BEVs. Have a good one.
@@unclefista yes they should. Firstly it should be a road tax, as in the taxation on EVs should go towards maintenance of roads. Whilst many think vehicle tax on regular cars does this, it doesn’t. Vehicle tax is about emissions, roads are paid for through local council taxes and the government for motorways. EVs still use roads regardless of whether they’re “environmentally friendly” (I’ll get onto that in a sec) so a tax to make them pay for it is entirely reasonable.
Secondly, whilst EVs don’t put out any harmful gases, they aren’t really environmentally friendly. Excluding them from vehicle tax is fine because that’s about direct emissions produced by a vehicle , but EVs still contribute to green house gases both in their use and their production. Firstly due to the elements required for the batteries and their production EVs have had components shipped round the world 3 times before they’re even built. Secondly most EVs are built on aluminium chassis for weight saving. Aluminium has to be heated higher than steel to be melted and used so there’s a shit load more green house gases there to. Finally power. The U.K. power grid is not 100% renewable, it never will be unfortunately because unlike Lesotho or Iceland (currently the only 2 countries in the world that use 100% renewable energy sources) we don’t have enough hydroelectric (dams) sources or geothermal sources to be 100% renewable. We could build more nuclear power which is a much greener source of power than its perceived to be, but things like Fukushima makes people scared of it which is strange because nuclear is actually relatively one of the safest forms of energy production.
EVs are great in a lot of ways, but they aren’t going to save the planet.
You should continue this type of video as they are easier for you and concerns all EV drivers. Especially for large breaking news. Public is fine for these as well!
I do find it crazy that we will also be forced into paying the luxury car tax as most family sized longer range are all over £40k This amount needs to be over £50k in my thoughts, as car prices in general are now higher.
If all EV's paid just £165 I believe that would be fine and then add additional charges for anyone not in an EV. That would help as an incentive to get people to an EV.
What is the purpose of the Expensive Car Supplement at all?
why should I be forced to buy these crappy overhyped cars
Firstly this type of video is really useful so please continue when anything happens that affects EV drivers.
On the luxury car tax, I think this is going to cause some confusion to new car buyer after April 2025. My reading of the government website implies that in year one you pay £165 because the luxury tax for year one is based on CO2 emissions "First tax payment when you register the vehicle
You’ll pay a rate based on a vehicle’s CO2 emissions the first time it’s registered." Then year 2 onwards for 5 years you will pay £165 +£355 (£520). So some could buy a new car and be told the VED is £165 only to find it's £520 from year 2 on.
I like these updates... Definitely support & like your style and honest reviews. Keep them coming. 👍
For those with EVs pre Apr 1st 2017, here is the guidace:
Zero- and low-emission vehicles registered between 1 March 2001 and 30 March 2017, and which are currently in tax band A, will move to band B (currently £20 per year).
Useful.. mine is pre 2017 so it won't be £165 it'll be £20 then in 2025 correct?
@@hobbsytoob correct
@@davidsmonkeyroost Always winners and losers when they muck about with tax rates.
Mine is a 2016 hybrid but will it last until 2025 and beyond ? I wanted an all electric vehicle but the high initial cost, tax and the price of electricity is putting me off. I think I will buy a gas guzzling SUV.
@@grumblewoof4721 "high initial cost"...?
The cheapest Ford Focus 1.0i 155PS mHEV Estate with an auto gearbox costs £30,280 otr
The 250 mile, 156PS MG5 Estate EV with its standard auto gearbox costs £30,995 otr
It's often overlooked, but combustion-engined cars are just as expensive as EVs...!
The luxury tax will possibly see a surge of car sales before the deadline to avoid the cost, but it will be interesting to see if lead times have come down by then as assume if orders get delayed so it’s effectively registered later then the cost would apply. Don’t think road tax will make a difference, nice while it lasted but not a key factor for me when I got my EV
surge in EV cars sales...just in time to see our significantly improvement in the charging infrastructure...not . get ready for long queues if you use public chargers.....only in the uk can we cock this up in such a big way.
So if you buy one before April 2025 do you become exempt? Was a bit worried my Model 3 SR (that was list price of £39000 when I aquired it 2nd hand in 2021) is now elgible for this luxury tax.
@@markyates5744 No, whilst you will have to pay the Excise Tax (VED) the luxury tax isn’t back dated. Pleased about that as book on my Enyaq was 49k, same spec now well over 55. Hopefully the upshot of this will be to usher in the era of smaller cheaper EV’s which for 90% of people would be all they want or need.
Please be careful ! ua-cam.com/video/lQxY2s-oIak/v-deo.html
@@lynnfisher4396 Payed 11K for my second hand car a decade ago 49K for a car that's mad.
Yes keep up the videos on Friday.its a good idea to drop informal chat in midweek also.they are informative and you are the reason I bought my first ev a corsa e.thanks.keep evolving the channel if time allows.
I came here as soon as I found out to see your thoughts. Thumbs up for extra videos for these news stories for all general public👍
Thank you very much for this information. I've currently got a almost 9 year old VW BlueGT which I pay £20 road tax on. It's also ULEZ compliant. I bought it almost new, barely any miles. Now on about 51,000.
So I've been looking for a new car at the moment and was considering possibly going for an EV. But this is just another thing (on top of poor infrastructure, especially where I live) that might convince me to hang on a bit longer.
Buy yourself a nice used Bentley. Way more fun than a BlueGT
@@BibtheBoulder The BlueGT is actually pretty fun. It handles really well and is pretty nippy at 0-60 in under 8 seconds... Plus it's actually gone up in value since I bought it. They're pretty rare and sort after now due to the low emissions, but still having good performance.
@@HonestWatchReviewsHWR If it makes you smile, then that is priceless....
@@BibtheBoulder Absolutely.
@@BibtheBoulder And the Bently will still be a great car long after the battery on the EV is dead and burried !..
You know my feelings, since buying an EV. I don't mind paying road tax (if they fixed the roads) but not retrospectively. As EV's are really expensive, then the luxury supplement is just robbery. I've just ordered solar panels and a battery. How long before we get taxed for paying to produce your own electricity.
I am really thinking of swapping my EV when the lease expires, for an old diesel luxury car.
It's the retrospective bit that annoys me. Yes, new car I have no issue with paying VED. You buy the car knowing the running costs.
But no other vehicle has had its VED rate changed when new legislation has been introduced. My daughter has an old C1 and still pays £0. She's not had to suddenly pay £165 since 2017. So why the retrospective change for ev's. Because we are a relatively small segment (circa 650k) so the government can get away with it.
It's not "road tax" it's vehicle exercise duty. The roads are repaired (or not) using money paid by all taxpayers, whether they own a car or not.....
@@barriewilliams4526 It's been called lots of things and the latest reason to keep increasing it was based on 'emissions'. That seemed reasonable, you put out lots of carbon stuff and then you pay for it. Now you have them effectively saying, no it's VED. So my EV that I bought in good faith (and regret), will be retrospectively taxed. However, my friends petrol car taxed at £0 will not. This Government are just a bunch of wide boys.
Please keep free and keep these coming - especially this subject - cleared up some confusion around the expensive car tax for one!
Happy to see news videos.
Did not know about the stealth tax on £40k+ cars. As for having to pay VED it seems one less incentive to change to an EV. Sure they were going to bring it in at some point but it should have a lower rate than ICE vehicles. Personally I am spending my cash to make the house gas free; will move on to transport options in a few years.
£165! I only paid £30 a year for the crappy 8 year old diesel I got rid of last year!
Yeah it was ridiculous, government should have increased the rates gradually on these vehicles.
Agree something is going very wrong.
But that "crappy" old diesel would now probably begin to cost you a packet in ULEZ charges, if you regularly drive into a town or city.....
In the sad absence of driving ohm, an occasionally regular stream of Yorkshire blather would be most welcome in my opinion, members only or otherwise!
Yeh I like this as an add on, as sorry to say you do the reading, chasing, foot slogging for us as it will save us doing it but it’s a starting place to find out background information 👍👍
Useful and informative as always and I think when there's news like this then an extra update is good. Surprised it's retrospective, even more surprised as a Yorkshire man re the phone cover
One _very_ important point to remember is the Expensive Car Supplement applies based on the List Price the day before registration - it doesn't matter if you have had it on order for the past 12 months because of backlogs or if you managed to negotiate a £1000 discount.
Also options included _at time of purchase_ are counted but not anything added afterwards - i.e. if you are wanting the Tesla FSD if you add it afterwards it won't count.
I've been waiting for my summon and self park to work for the past three years, so I have little hope of seeing FSD happening for at least another 3 years.
The government said that it was apparently to "ensure those who can afford the most expensive cars make a fair contribution", but if you have to pay this Expensive Car Supplement if your post-Apr 2017 car was over £40k when it was new, how is that a "fair contributon"?
I just replaced a 10 year old diesel which was £25 a year as it was low emission but now the much lower emission Niro EV will cost far more in VED. I'd have thought a specific EV rate which could have been cranked up over time (even potentially starting sooner) would have made more sense.
Our '56 plate fiesta diesel £30 pa.
Our 2016 diesel Nissan Qashqai £20 pa.
Ironic eh
Agree my brother drives a 10 year old Mazda diesel and pays £30 a year. We drive a Leaf should we change now for a government subsidised diesel?
@@andyt1048 lol. I guess if you got ££££'s off from the tax payer, a little road tax won't kill early EV owners
@@stuartburns8657 My Rolls Royce cost me £630.
@@andyt1048 Realising you've been conned?
Enjoyed the video,please keep these open,the channel is great, thanks.
An interesting take and informative video and I would be happy to see more. I think public rather than private as it might appeal to more people who might then subscribe and then might become members.
Yes, expected and in big scheme of things,no big deal.
But....puzzled that there Will be petrol/deisel cars about,like BMWs that will be paying £30 tax?
My 2 diesels cost £20 and £30 lol
@@stuartburns8657 let's hope Mr Hunt doesn't twig he's slipped up and bring these taxes into line also.
@@alanrobinson2229 LOL, aye, but he'll not do that.
Ppl crying being able to afford 40k EV's which were subsidised by ££££'s really have little cause for complaint
@Stuart Burns I'm curious as to where the subsidies you're referring to come from, given that the ev incentive was done away with a while ago? 🤔
@@mcdon2401 No need to be curious, you are correct they're now gone.
But man maths says if you saved 3k on your initial purchase, that's the equivalent of over 18 years EV Road tax.
Basically I don't think the cake and eat it brigade have much cause for complaint
Should this type of upload be in the members only section (as most people aren't really bothered?) or should I upload it publically like this video is?
Need your feedback!
Public, but I'm not a member :P
As it's informative should be public upload.
Interesting, Public would be nice, but I'm not a member.
Public for stuff like this, a quick reaction to a major event. Any delay to publication would soon make it old news relatively speaking? Happy for you to give exclusive access for other things and release for free at a later date but this sort of stuff doesn't fit that model: I'd have found the news elsewhere by the time you release it. Good video.
I like the format and the idea of a short 'news' update. I'd clocked the increase in VED announced today but missed the luxury car tax bit.
I'd like it to be public but this sort of thing could encourage me to become a member!
Happy to listen to these short vids. Please don't make them private...these little snippets are great.
This was bound to happen. The car industry has cleaned up a huge amount in 20 years, but nothing is enough for governments.
Your car could emit pure air and one day they’ll find it a tax bracket to sit in.
There will be a new government by 2025. They can (and probably will) make changes to future tax plans.
I'm surprised they are making changes to the VED for older vehicles. When they last tried to do this there was a massive row and it's why vehicles pre 2001(?) have a VED that is not related to emissions.
Well said. A labour government (looking likely) will tax the hell out of EV owners as most of the people who vote labour probably can't afford to buy an EV.
I also don't have a major issue with paying ved as long as its reasonable. Clearly the roughly 4.5k in import duty plus almost 9 grand in vat I have just paid on my new ps2 isn't enough for our fiscally responsible government. Shows what backers fishi rishi has. Rot a little demand for evs then as 2030 approaches gov has an excuse to roll back the petrol and diesel ban.
Given this country's record on getting anything done on time doesn't bode well for the EV charging infrastructure to be in place by end of 2029, which is about the time that the general election after next will be looming. Whichever party is in government at that time will look at the option of going ahead with the current timetable or kicking the deadline down the road; the one that they determine that affords them the most votes is the option they will choose. So, imho, it will be the latter: votes trump the climate.
Happy with more videos like this for big news items :)
please continue with these videos for everyone, thanks!!
I've enjoyed this "extra" video, very informative. In view of the extra cost of an EV over a petrol or diesel equivalent it would be more sensible to have the "luxury" car tax starting at a higher figure, say £50k. One thing to watch out for is list price creep, I have a one year old RAV4 HEV which is taxed at the normal rate (with a £10 discount as it is a HEV). Some on the RAV4 ordered a new one with a few extras, keeping the price below the £40k limit, only to find that by the time it arrived that the new list price is above the limit and so are stung with the increased tax.
We already have luxury tax hike for cars over a certain retail price.
@@SynisterNation But this didn't apply to pure EVs, many of which are over the £40k threshold for a fairly typical family car, not a luxury one. This will wipe out a fair chunk of savings of running an EV over a petrol or diesel car
@@dohrider well at the point of purchase there is already a bigger carbon footprint for EVs, makes sense that owners should be tied to the same rules as all other cars. Over time I know it is better for the environment but we aren't there yet.
The government said that it was apparently to "ensure those who can afford the most expensive cars make a fair contribution", but if you have to pay this extra luxury tax supplement if your post-Apr 2017 car was over £40k when it was new, in what way is that a "fair contributon"?
For me, the most unfair thing about this is the retroactive tax increase on cars already bought.
I can't remember this happening before.
Yes but clearly this channel is earning the creator to much money that he on one hand installs a battery to save on electric costs, yet on the other hand is pro retrospective fees and additional costs to EV users as it's OK, because everyone is driving a 40k car... This bloke is out of tune with reality, become a Muppet.
Is it actually retroactive?
If you bought a car in 2018, and they suddenly demand you to pay VAD for 2018, 2019, 2020, and 2021; that would be retroactive.
The anual tax is applied i the future, not for the past.
If someone believed they could get an EV and be exempt from any future anual tax, they believed in a fairy-tale.
Don't get me wrong, I don't defend anual tax on EVs (yet), we need more options and price parity first.
@@thorbjrnhellehaven5766 *retrospectively, today they decided that my zero tax 2015 that was sold as a "zero tax" car. Will now be a taxed car as the government has decided to for the first time ever, apply a tax change retrospectively.
@@isoconfused8744 the rate for other cars are not carved in stone, they increase with the budget too. Its not like, if you have a 20 y.o. car you still pay the same. Believing that the anual tax amount would stay at zero was to belive in a fairy-tale.
It's not like you were promised zero tax forever, just that the current anual tax was zero.
I agree if you say it's way too early to increase tax on EVs, but it's not retroactive.
In Norway, the anual tax for EV was zero from July 2001, then a low rate in 2017, zero again in 2018, medium rate in 2021 and full rate in 2022.
Everyone expected the anual tax to be more than zero at some time. It was accepted to be a temporary incentive.
The current anual tax on (most) cars (including EVs) in Norway is NOK 2975 (247 GBP, 284 EUR, 294 USD).
Petrol, road tax, insurance...they all go up. They are for the year ahead not behind. Otherwise everybody would be driving around in 1030's cars. A few cars get to be cheaper to run Historic vehicles for instance, and their value goes up a bit to suit, although they tend to be less efficient being older technology.
Very welcome vid EVM as you're a highly trusted source.
Great short EV update and i think as and when relevant i think its great to see a simple informative update like this
Like the video idea. My biggest concern is not so much the VED or luxury car tax but how they plan on recouping the lost fuel duty, which is a massive amount, once we go full EV. Will it be a pay per mile tax or a tax on your electricity bill.
I've been thinking about this, and you will be taxed on the amount of fuel (electricity) you put into your vehicle. So, either your car or charging point will register the amount and inform said government department who will then bill you. This would mean that you could still utilise solar etc. for home use without incurring fuel tax. Public charging taxed at pump, like now.
We pay VED to fund big oil investment and subsidies for exploration, when we don't need to subsidise big oil we will all pay less tax.
turns out the green levy wasn't a green levy it was subsidising expensive gas when renewables were 10 times cheaper,
but remember after all the profits energy firms walk off with you will have to pay to decommission all those oil rigs.
@@Hell-Hound1hard to imagine how you’d be able to actually enforce that, certainly with the current day fleet. Road use charging is more practical.
@@edc1569 most cars ice and evs have onboard computers which log all sorts of information about your car. Economy, speed, location, so they have all the info. stored up just ready to access. Over the air updates etc will become the norm., so at any given time this can be sent wherever. It could even be added to your electric bill under an ev tariff with the duty already added on. This is how the government could recoup fuel duty lost from ice cars. The pay per mile can't separate regular household electricity usage from ev fuel usage, for tax purposes. A pay per mile tariff will probably be implemented also, just because.
There are 32.5 MILLION cars on the UK roads.
Our government wants them all gone by 2030. This leaves 370 weeks. Divide 32,500,000 by 370 and you get 87,837.
Divide this by the number of days in the week and you get 12,548.
So, every day, from now until Jan 01st 2030 we need to be producing and selling 12,548 electric cars PER DAY.
IT WON'T HAPPEN.
It's fair to say if you can afford a 40k + car you can afford to pay the luxury tax. However buying the car second hand 3 years later you still have to pay the remaining 2 years. This is a much bigger disincentive for the second hand market.
If I was spending £40k on a car I wouldn't waste it on a pile of crap EV. Nope, I would buy me a Bentley. Complete with its gas guzzling 6 litre engine.
@@BibtheBoulder And you could adapt it to clean burning methanol.. Great idea.
@@longriderxx Or you could just run it on petrol.
@@BibtheBoulder Until THEY ban it for road use !
@@BibtheBoulder P.S If I had the resources I would have the w16 and run it on nitro methane and avgas .. Oh baby
I think little extra videos such as this when there are "breaking news" are great, very much enjoyed this one 👍👍
Good bit of content although we already pay 15% tax when using public chargers as the VAT rate is set at 20% whereas when charging at home its only 5% QED 15% fuel tax
Didn't they also sneak an increase in fuel duty by 20% in March next year? Still makes EVs sensible if you can afford them. Enjoyed the video and think you should keep these little informal ones going
Yes they did and it seems very few people know it.
23% 😢
It won’t happen.
Not now that the lecky price has doubled at home plus the rip off charging points (I think there are 5 within a 50 mile radius of my house ).
Well actually 23% putting around 15p on a litre of fuel including VAT !!
If you don’t mind paying tens of thousands for new cars YOU CAN AFFORD TO TAX IT
Many people these days don't "pay" thousands for new cars, as they are usually acquired via personal leasing or PCP agreements.....
I don't mind this type of video. Keep them coming!
Very clear explanation and I like insight on used values in post March 2025.
I enjoyed it, thanks. Always like to hear your take on the news, so yes please.👍
Refreshing bit of current events. Helped actually as I hadn’t had a chance to read the changes personally yet. It’s not spam, you’re from north, plenty of spam already 😅
1. Odd off the cuff videos - Yes
2. Members only - No drive more viewers, feed the algorithm
3. VED -yes
4. Rate - it’s like being told I’m gona get a good kick in the nuts in 3 years just cos my neighbour is scheduled for one.
I do think having the rates the same after the 1st year reg is a bit punitive. Unless of course between now and then the VED rates are reviewed for all vehicles, it really should favor EVs still if that’s what the Gov want to encourage for their co2 reduction targets.
Even a half rate I’d find not as much of a kicker, or putting the regular car one up, there should still be a differential.
5. Happy with the lux tax as it may help to force the hand of manufacturers to bring out affordable price points, and stop going ever skyward in pursuit of product margin growth.
These videos are useful, so keep them coming please.
Video was good. Interesting to hear your opinion. I don't think it takes away from the channel's value, do more when you think it's relevant and valuable.
The thing I feel is unfair is if you have a dirty diesel which has falsely low emissions but registered before 2017 you can still be paying between £0 and £30 VED which to me should also be increased
My aunty's audi a3 1.6 diesel on a 16 plate pays zero ved
Do more like this. Stick it for everybody. Doesn't need polish. Just needs to be important and relevant.
I'm watching your channel even closer on this topic - I'm over here in the colonies (across the pond) and the topic of road tax is hitting EVs hard. Thanks for the video!
Good format. Nice, clear invaluable info. Are YT Shorts a good format for these EV updates or perhaps they’re a bit too limiting at 60sec?
I like the short factor video, in fits in in a short period and this type video is informative.
Love the impromptu reactionary video with your opinion on ev events - Reason? I, among others trust your opinion quite frankly, simple as that. I look forward to your information and tge style in which you present it so I say carry on my friend!
Keep going with the videos , your take on the things that affect us EV owners is always going to be well worth watching . Agree with most of what you said , however we need more incentives to persuade people to ditch the ICE car and embrace EV ownership 😊
The single biggest incentive will be the costs of the car coming down in the first place. Doubt a few extra hundred quid per year will really put people off if they are already able to afford the car.
Poor thing ... you are an EV owner ... Commiserations
Ahhh an ev zealot, can’t look at all the problems that are ahead of everyone being forced into an electric car.
Love the tech, hate the price..... If I paid so much ££££££.... For an EV after the gov push to clean transport I might be a bit bitter at getting punished for doing so.... Glad I stuck to my dirty diesel.(bought for £100....seven yrs ago.... Still going strong)
I like this and when there is something interesting to talk about definitely go for it. The Luxury Tax could also be looked at as an SUV tax and car companies will look to get their pricing under the 40k cost wonder how many will come out at 39, 995.00 with options to avoid the tax. Though the Chinese EV car makers will be rubbing their hands as they generally are lower priced and under the 40k threshold. But it is only fair the incentives and such cannot last forever but it has to be fair so the same for both ICE & EV.
Thanks, I have no problem with paying an appropriate VED, maybe slightly less than ICE cars, but not massive, but either way if you can afford an EV, you can afford the VED.
The Luxury tax will have an affect, look out for the Tesla tax beater model list price sub £40k, and then go and buy all the extras later, not just Tesla of course.
You could have all the extras factory fitted, but not activated at registration, and buy them later.
I like this format. 👍
It’s a very strange way to calculate tax but just shows that the government are all out of ideas when it comes to taxation on personal mobility, but it seems their plan is to just tax people that can pay. Long gone are the days when you would pay based on how polluting your vehicle was. I have an EV that’ under the 40k threshold but would like to change to a Tesla but don’t know if I would give that I do low sub 6k miles a year as the tax will be a significant part of the cost per mile. But I also keep a 20-year-old camper and pay £320 tax a year if I don’t SON for some of that time, I do less than 2k miles. In some ways pay per mile could be a better option at least then it would be a simpler tax to understand and down to what you do not when and what price the car was when it was new. Yes, keep these videos for all you are keeping us up to date with interesting developments.
Sort of wished you put up some summary slides on what occurred today to better show how it applies to various peeps at different price levels at certain timelines? Still ty for putting this out mate x
Very useful, thanks
I like the analysis and the breakdown. What should be asked is this: Would owning an EV rather than an ICE car be a wise choice in 2025 given the current announcement if you don't have the ability to charge your vehicle from solar at home but depending on the grid or existing charging network. From what I can see, the incentive to be one of a small percentage of EV users compared to the huge number of ICE vehicles still in circulation by 2025 is not compelling enough.
The irony is that ICE vehicles, especially secondhand ones, will be more financially compelling and say "to hell with the environment". The petrochemical companies and the government are sleeping in the same bed together, why should we be the ones who solve their problems for them. They have to breathe the same air and live on the same planet! This is from an EV and home solar owner.
Trivial??chat - if anyone doesn't want to watch it, they can just skip past or delete it.
The VED, on top of the raging inflation and lack of availability - both of cars and public chargers - is another nail in the EV market's coffin
Video good, yes - keep 'em coming.
Appreciate your videos. In my opinion public information related videos such as this should be free to wider audiance, if and when they are available, don't wait for Friday as you would miss out on the first timers., who may get the news from other sources. By limiting it to your members you may lose out on subscriptions and the youtube viewing algorithms in the long run.
Things like car shows and your first reactions to big car releases are perfect for your members.
I’m would like this type of video to be public. I think it would be very beneficial to most ev owners
when I lived in the uk my 735i Bmw cost 185 quid to tax, here in Ireland it was 1600.00 euro to tax. there are many bands for the engine size, starting under 1000cc is 199.00 and the highest 3001cc being 1809.00. cars over ten years old are penalised by insurance companies for being an old car and can be 10 to 20% more expensive to insure. in 2008 the road tax system changed from engine size to emissions based. a 2.0l engine went from pre 2008 710.00 per year to 280.00 based on 130 to 140g/km a year. any car with emission's over 225g/km is charged 2,400.00 euro. EV's are 120 euro a year and it goes up from there based on emissions, same as the uk, with many bands to charge more.
In Victoria, road maintenance tax is 2.6 x my energy cost per km.
Instead of $300 I’ll now be paying more than $1000 pa for the 30,000 annual kms.
Useful video. Prior to your video, I was concerned about the implications, as my EV is due in a month. I was relieved to learn that the change does not take effect until April 2025. Please keep this content public.
quite right too, plus all congestion charges
There should be two sperate taxes (or two very distinct parts):
"Road Tax" - Paid for by everyone regardless of emissions (at a rate of e.g. £120).
"Vehicle emissions tax" - Using a similar increasing scale as just now based upon emissions.
This has the result of ensuring all road users pay for the upkeep of the roads we share (which is morally correct) and increases transparency and incentivisation of lower emission vehicles.
A nice addition to the VED reminder letter from the DVLA would be a graphic similar to a building EPC showing how much money and emissions could be saved. Hopefully this would act as a reminder that lowering emissions is a good thing for the planet and for the pocket.
We already have a vehicle emissions tax - it's called fuel duty. Drive a more inefficient ICE car - you pay more fuel duty. Drive more miles and thus contribute more emissions - you pay more fuel duty.
Emissions tax (VED) based on the theoretical emissions of the car is nothing but a thinly veiled envy tax.
As a lot of people have said “it was only a matter of time b4 road tax was introduced to include electric vehicles “. Due to the battery packs that take up the full width and length of the floor pan of an EV, the car is heavier than a conventional internal combustion engine vehicle and so the road surfaces will develop increased damage over time so I guess applying road tax to EV car was an inevitability. The other point to mention is tyre wear, as the heavier the vehicle the more friction and heat developed at the tyre surface, so the tyre manufacturer’s are very happy to see EV sales increase.
News broadcasts are a good idea I think so yes I think you should do this, as and when news worthy topics and issues arise in the EV world.
3 points, 1 yes please on the spot news is always welcome, 2 that £40,000 point is a bit of a stealth tax as it has not moved over the last few years and 3 this is the first time that road fund licence has been retrospectively apply as if you have a older ICE car you only pay the taxes set at the time !! Good old Tories don't you love them not.
As usual our esteemed politicians have us all by the short and curlies.
As for motor transport for the masses, forget it.
Liked and subscribed.👍
I'm quite happy to watch a Yorkshire man rambling on. I think VED for BEV's is reasonable. Wearing out the roads like everyone else. The so called luxury car tax should apply to all vehicles. I don't agree with it, and I've certainly paid my share of it. It may encourage people to buy cheaper vehicles such as the MG's, Zoe etc. Keep up the good work.
Would appreciate extras like this.
As for the VED & luxury car changes...
Currently we are a 1x EV and 1x diesel household, aspiring to become a 2x EV household. Well we were... But after this news, we'll be keeping our diesel till the wheels fall off.
I'm all for extra stuff, but I subscribe because I appreciate the information and opinion. Personally I'm not bothered if some get free stuff if it doesn't hurt anybody else. I would however block comments or put a paywall in front of trolls.
Videos as and when there is something new is a great idea. Thanks