Cars that pay the highest rate of Vehicle Excise Duty in the UK
Car tax rates increased in the UK both in April 2017 and this month.
In 2017, vehicle excise duty rates were reformed making emissions limits tighter, to reduce the amount of highly polluting cars off the road in Britain.
First year rates increased significantly and a new set of charges for the second and subsequent years was introduced.
Under the new rates, only cars that produce zero emissions and cost less than £40,000 can dodge paying car tax, under the new rules announced last year.
Any car that costs £40,000 or more has to pay a luxury car surcharge of £310 for the first five years.
A car that produced 120g/km C02 emissions pre-April 1st 2017 paid just £30 for car tax, while a car registered after that date pays £160.
Vehicle Excise Duty price increases explained:
How tax for petrol and diesel cars compare before and after April 1st 2017
Pre- April 1st 2017
120g/km – £30
150g/km – £145
170g/km – £210
Over 255g/km – £515
Post-April 1st 2017
120g/km – £160
150g/km – £200
170g/km – £500
Over 255g/km – £2,000
In addition to the inflated first year fees, a set of standardised second and subsequent year rates came into force.
These standard rate charges will vary for drivers depending on what type of car they are and what fuel they use:
-£140 per year for petrol and diesel vehicles
-£130 per year for ‘alternative fuel’ vehicles, such as hybrids
-£0 per year for zero emissions vehicles, such as fully electric
In 2018 car tax rates increased for diesel cars that didn’t meet a new emissions standard.
The new charge could add up to £500 on to the annual cost of tax for motorists in the UK.
Lamborghini Aventador 6.5 V12 costs £287,163 and emits 370 g/km of CO2
But which cars in Britain pay the most tax?
Cars that produce over 255g/km of CO2 pay the top rates of £2,070 to tax their vehicle in the first year.
Predominantly, the cars that fall into this category are supercars or performance vehicles, that cost in excess of £100,000.
In fact, the average on-the-road price of cars in the top VED band is £160,307.
For example, the Lamborghini Aventador, which is powered by a 6.5-litre V12 engine spews out a whopping 370g/km of CO2.
According to analysis by Motorway.co.uk on CO2 emission rates, there are 74 models across 14 car makes (excluding rare supercars such as the Bugatti Veyron) in the highest VED band for emissions.
While the top 10 gas guzzlers are European supercars, three American makes – Cadillac, Corvette and Chevrolet – have models in the top VED band. And apart from the Corvette Z06 Coupe 6.2 V8, the other models aren’t supercars.
10 cars in the highest VED tax band paying the most tax:
Lamborghini Aventador 6.5 V12: £287,163 – 370 g/km CO2
Bentley Continental GTC Supersports: £235,855 – 362 g/km CO2
Maserati GranTurismo 4.7 V8 MC: £109,920 – 360 g/km CO2
Ferrari GTC Lusso – £232,500: 350 g/km CO2
Bentley Mulsanne 6.8 v8 EWB: £278,175 – 344 g/km CO2
Aston Martin Vantage 6.0 V12 S Coupe: £142,170 – 343 g/km CO2
Rolls Royce Dawn 6.6 V12 Black Badge: £312,535 – 337 g/km CO2
Maserati GranCabrio 4.7 V8 Sport: £108,340 – 337 g/km CO2
Bentley Flying Spur 6.0: £158,075 – 335 g/km CO2
Aston Martin DB9 GT 6.0 V12 GT: £143,055 – 333 g/km CO2
Alex Buttle, director of car buying comparison website Motorway.co.uk comments: “It’s quite shocking that the most polluting new supercars in our research emit nearly 400g of CO2 per km, which to put that in context is four times that of an average family car like the new Volvo XC40 which emits around 130g/km.
“But let’s face it, no-one buys one of these beefy gas guzzlers for their fuel efficiency or environmental credentials.
“And with the worst polluters being Lambos, Bentleys and Ferraris which are most popular amongst the super-rich, the government’s highest road tax fee of £2,070 is unlikely to put any kind of dent in their owner’s wallet.
“Which does beg the question, when the average purchase price of these cars is more than £160,000, why isn’t the VED rate at the top level even higher?
“With some of these cars costing more than a small house in some parts of the UK, could VED be means tested?”