Vehicle Excise Duty is changing as of April 1st 2025

If you are considering purchasing a brand new BMW in the near future, it is important that you know of some significant changes to vehicle excise duty (VED), which are effective as of April 1st. These changes are only applicable to brand new cars, and will only affect the cost of your VED for the first year that the car is registered. That being said, there are some significant increases across all emissions tax bands that are worth being made aware of. By registering your vehicle by March 31st, you are ensuring that you will not be affected by these changes, and that you will pay the current first year VED rate.

The table below details the price for each emission band at the current rates, and the rates effective as of April 1st 2025:

CO2 emissions
(g/km)
First Year Rate
(Current)
First Year Rate from 01/04/2025
(From 01/04/2025)
Standard Rate
(Current)
Standard Rate
(From 01/04/2025)
0 £0 £10 £0 £195
1 to 50 £10 £110 £190 £195
51 to 75 £30 £130 £190 £195
76 to 90 £135 £270 £190 £195
91 to 100 £175 £350 £190 £195
101 to 110 £195 £390 £190 £195
111 to 130 £220 £440 £190 £195
131 to 150 £270 £540 £190 £195
151 to 170 £680 £1,360 £190 £195
171 to 190 £1,095 £2,190 £190 £195
191 to 225 £1,650 £3,300 £190 £195
226 to 255 £2,340 £4,680 £190 £195
Over 255 £2,745 £5,490 £190 £195

Key Changes

  • The most significant changes in Vehicle Excise Duty only affect the first year rates.
  • As of April 1st 2025, all vehicles with emissions that are 76 g/km or higher will see their first year VED rate double in price, whilst the lower emission bands will also see significant rises.
  • Electric vehicles will see a noticeable change in VED rates. Currently all EVs are exempt from paying road tax; both for the first year rate, and the standard rate that follows. From April 1 2025, the first year rate is £10, and electric vehicle owners will pay the same standard VED rate of £195 as owners of all other vehicles on the road.
  • Vehicles worth over £40,000 in list price will pay an additional £495 per year to the standard rate of £195, from years 2 to 6 of the car first being registered. Electric vehicles are currently exempt from this payment, but will no longer be as of the 1st of April. * Classed as ECS (Expensive Car Supplement).
  • Any vehicle registered by March 31st will avoid these price increases and pay the current rates.

Buying New From Williams

We understand the changes in Vehicle Excise Duty may influence your buying decisions. The table below highlights a selection of BMW models to help understand how the changes in VED rates take affect when choosing your next new BMW from Williams:

Vehicle CO2 Emissions
(g/km)
First Year Rate
(Current)
First Year Rate
(As of 01/04/2025)
1
BMW 120 Sport 121 £220 £440
BMW M135 xDrive 174 £1,095 £2,190
2
BMW 220i M Sport Coupe 146 £270 £540
BMW M240i xDrive Coupe 185 £1,095 £1,190
3
BMW 320i Sport Saloon 147 £270 £540
BMW M3 Competition xDrive Saloon 228 £2,340 £4,680
4
BMW 420i M Sport Coupe 144 £270 £540
BMW M440i xDrive Coupe 177 £1,095 £2,190
5
BMW 520i M Sport Touring 140 £270 £540
BMW M5 Saloon 38 £10 £110
7
BMW 750e xDrive M Sport 24 £10 £110
BMW M760e xDrive 25 £10 £110
X
BMW X1 sDrive20i Sport 128 £220 £440
BMW X3 157 £680 £1,360
BMW X5 xDrive30d xLine 189 £1,095 £2,190
BMW X5 M60i xDrive 262 £2,745 £5,490
i
All i products 0 £0 £10