Car tax bands 2014-15

Car Tax Bands 2014'Car tax', also known as 'road tax' and formally known as Vehicle Excise Duty, is based either on a CO2 emissions or on engine size.

For cars registered since March 2001, car tax rates are based on thirteen car tax bands (A to M), each band being defined by a range of tailpipe CO2 emissions as measured on the official test.


As announced in Budget 2014, the tax rates for 2014-15 are shown below.


Car tax bands 2014-15

– cars registered since March 2001 Return to top

The rates shown are for 01 April 2014 to 31 March 2015 as announced in Budget 2014.

Vehicle Road Tax BandsThe majority of motorists know that they need to pay car tax in order to legally drive their vehicle on the public roads. What they may be less aware of is the car tax bands system, which dictates what level of car tax applies to their particular vehicle.

Traditionally road tax bands have been differentiated according to the capacity of the engine; the larger the engine the higher the vehicle tax bands which apply. Since 2001, the amount of CO2 emissions are used to determine the road tax bands which apply to each vehicle.

In response to concerns about the environmental impact of ever increasing atmospheric CO2 levels, car tax bands have been split into thirteen discreet categories, with the car tax levy being based on the level of CO2 emissions measured during the standard NEDC test. The majority of cars manufactured from March 2001 will be subject to car tax bands based on their CO2 emissions levels. Vehicle tax for cars made prior to 2001 will still be determined by engine capacity. The cost of the road tax bands generally increase a little each year, as car tax is subject to annual price rises.

The tax bands are differentiated by letter, with Tax Band A referring to cars which have CO2 emissions which are up to including 100g/km. Tax Bands B to L relate to levels of CO2 emission of 101 and 255g/km. The final tax band in the vehicle hierarchy is Tax Band M for vehicles which produce an eye-watering level of CO2 in excess of 255g/km.

For owners of a new car, models which fall within tax brackets A-D can enjoy zero rate tax for their first year of motoring. If the vehicle tax for a car falls within vehicle tax bands E to G, then the first year car tax band charges are the same as the standard annual car tax prices. For drivers who purchase a new vehicle falling within tax brackets H to M, the cost of the first year of vehicle tax is greater than the standard rate charged for these vehicle bands, up to a maximum 'first year rate' of £1,090. Current rates are shown in the table below.

Battery electric cars are exempt from car tax and also some alternatively fuelled cars (including hybrids and LPG cars) are also given a small £10 discount on both 'first year' and 'standard' rates.


12-month Vehicle Excise Duty rates for cars registered since 1st March 2001*

VED Band Vehicle
CO2 emissions
Standard rate
Petrol/Diesel
2014-2015
First year rate
Petrol/Diesel
2014-2015
Standard rate
Green car
2014-2015
First year rate
Green car
2014-2015
A Up to 100 g/km £0 £0 £0 £0
B 101-110 g/km £20 £0 £10 £0
C 111-120 g/km £30 £0 £20 £0
D 121-130 g/km £110 £0 £100 £0
E 131-140 g/km £130 £130 £120 £120
F 141-150 g/km £145 £145 £135 £135
G 151-165 g/km £180 £180 £170 £170
H 166-175 g/km £205 £290 £195 £280
I 176-185 g/km £225 £345 £215 £335
J 186-200 g/km £265 £485 £255 £475
K* 201-225 g/km £285 £635 £275 £625
L 226-255 g/km £485 £860 £475 £850
M Over 255 g/km £500 £1090 £490 £1080

*Includes cars emitting over 225g/km registered between 1 March 2001 and 23 March 2006.
Source: Budget 2014.



Car tax rates 2014-15

– cars registered since March 2001 Return to top

For cars registered before March 2001, CO2 emission data is generally less available. As a result, car tax is charged according to engine size as measured in cubic centimeters or 'cc'.

Current rates for cars in this category are £135 for engines up to 1549cc and £220 for engines of 1550cc or larger – see table below.


12-month VED rates for cars (private and light goods) registered before March 2001

VED Band Engine capacity (cc) All car types
2013-2014
N/A Up to 1549 cc £145
N/A Over 1549 cc £230

Source: Budget 2014.




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