VED, often called road tax, is rising with the retail prices index measure of inflation next April, although the government has not yet confirmed the new rates

Changes to road tax are set to come into effect in 2022

New tax changes are set to have a big impact on drivers in 2022.

Road tax is set to rise in line with inflation this year – when a whole set of new laws and increases will take effect.

VED, often called road tax, is rising with the retail prices index measure of inflation next April, although the government has not yet confirmed the new rates.

As before, the amount of tax you’ll pay will likely depend on your new car’s CO2 emissions.

Those that emit zero grams per kilometre of CO2 are expected to continue paying zero, while petrol- and most diesel-powered drivers (including hybrids) that emit between 1g and 50g per kilometre will pay £10 for the first 12 months.







The amount you pay will be based on emissions
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Cars that emit between 51g and 5g per kilometre currently pay £25 for the first year.

Cars that emit between 76g and 150g per kilometre of CO2 saw their VED rates rise by £5 this year – to £220.

The more CO2 a car emits per kilometre, the more you are likely to pay next year.

Cars that emit more than 255g per kilometre of CO2 are usually the worst affected. These currently set you back £2,245 a year in tax – it then rises each April.

You can find out how much you’re currently paying, here.

The standard rate – the amount you pay after the second year – for cars registered on or after 1 April 2017 is currently £155 a year for anything other than zero-emissions vehicles.

The 2021Budgetconfirmed another freeze on fuel duty – the tax you pay per-litre of petrol and diesel.

Instead, fuel duty will remain at the same level – 57.95p per litre – that it has been for the past decade.

However, petrol prices are continuing to rise to record levels – see our guide on how to control the cost, here.

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