Road Tax on Electric Cars ?

Fully Electric cars or (BEVs Battery Electric vehicles) are exempt from Vehicle Excise Duty or Road Tax. The obvious reason being to reward and encourage the use of cleaner and environmentally friendly methods of transport. (PHEVs) Plug-in hybrids also attract favourable lower rates of duty.

NB: As from April 2017 any electric vehicle both BEVs and PHEV’s costing £40,000 or more have to pay an annual supplement for the the first 5 years.

NB: All electric cars still need to be taxed each year in the normal way, even though exempt – this is done online or the post office.



How much is road tax on electric cars and how it is calculated ?

Road tax or Vehicle Excise Duty is based on the

  • CO2 tailpipe emissions of the vehicle
  • Cars list price
  • Year in which it was registered

Type of Electric Vehicle

  • Battery Electric Vehicle (BEV)
  • Plug In Hybrid Vehicles (PHEVs)
  • (BEVs & PHEVs) with a list price of £40,000

Rate of Duty

  • Exempt
  • Reduced rate of Duty
  • Additional premium rate – first 5 years or above