From April 1st 2017, VED First Year Rates apply to brand new vehicles. The price is based entirely on carbon emissions. The lower the emissions the lower the cost which, of course, encourages motorists to favour more environmentally friendly models. For subsequent years, there are Standard Rates to consider.

First year rates will vary from £0 to £2,000 based on vehicle carbon emissions, whilst the subsequent years standard rate for vehicles with greater than 0 emissions will be £140 per year.

It is also worth noting that all vehicles that have a new list price of £40,000+ are subject to the £310 Additional Rate from year 2 to 6 inclusive. It is on top of the Standard Rate which increases the cost for zero-emission models to £310 and for all others to £450. From year 7 onward, only Standard Rates apply.

Please see the table below to see what the impact could be on your choice of car and why it may be beneficial to buy before April 1st if you are considering purchasing a new car.

1st Year rate registered before 1st April 2017Road Fund License registered before 1st April1st Year rate registered after 1st April 2017Road Fund License registered after 1st April3 Year Ownership registered before April 20173 Year Ownership registered after April 2017Saving if bought before April 1st 2017
Aygo & Yaris 1.0£0£0£120£140£0£400£400
Yaris 1.4 D4D£0£20£140£140£40£420£380
Yaris 1.5 CVT Hybrid£0£0£120£140£0£400£400
Yaris 1.33 Man£0£30£160£140£60£440£380
Yaris 1.33 CVT £0£30£120£140£60£400£340
Auris 1.33£0£110£160£140£220£440£220
Auris 1.8CVT Hybrid£0£0£120£140£0£400£400
Auris 1.2T Man£0£0£160£140£0£440£440
Auris 1.2T CVT£0£20£140£140£40£420£380
Auris 1.6 D4D£0£20£140£140£40£420£380
Auris 1.4 D4D£0£20£140£140£40£420£380
Verso 1.6 & 1.8CVT£185£180£500£140£545£780£235
Verso 1.6D4D£0£30£160£140£60£440£380
Prius 15"£0£0£25£140£0£305£305
Prius 18"£0£0£100£140£0£380£380
Prius Plug In £0£0£0£0£0£0£0
Avensis 1.6D4D£0£20£140£140£40£420£380
Avensis 1.8 £130£130£200£140£390£480£90
Avensis 2.0 D4D£0£20£160£140£40£440£400
GT86 2.0 Man£355£225£800£140£805£1,080£275
GT86 2.0 Auto£185£180£500£140£545£780£235
CHR 1.2 £120£120£200£140£360£480£120
CHR 1.8 CVT Hybrid£0£0£100£140£0£380£380
RAV4 2.0D4D£0£110£160£140£220£440£220
RAV4 Hybrid£0£20£160£140£40£440£400
RAV4 2.0 CVT£185£180£500£140£545£780£235