Don’t miss out on cheaper lease deals before April VED tax changes

There’s not much time left to order and register a brand new vehicle before changes to VED commence on 01 April 2025.

From 01 April all cars registered since April 2017 are subject to Vehicle Excise Duty (VED) – previously zero emission electric cars were exempt – while drivers of the most polluting cars will see the VED (more commonly referred to as Road Tax) paid on registration of a new car double to as much as £5,490.

The changes to road tax on electric cars

From 01 April, 0 g/km electric cars will be subject to initial (first registration) VED of £10 with annual VED renewals jumping to £195 for electric cars registered since April 2017.

This change will impact leasing costs.

EVs now subject to the Expensive Car Supplement

There’s more reason to lease an EV that costs more than £40,000 before the 01 April VED road tax rise: EVs costing in excess of £40,000 registered from that date will also be subject to the Expensive Car Supplement.

It’s a supplementary tax that has been in place since April 2017, but has only been applied to petrol and diesel cars. EVs registered from April 2025 will now be subject to the supplement, which will add £425 a year for the first five years.

Cars such as the Polestar 4 (main picture) will be subject to the Expensive Car Supplement – but see our special offers below which are available for immediate delivery.