Overview
- Official DVLA figures show a 1,400% surge in early renewals in February–March 2025, covering nearly a quarter of UK zero‑emission cars.
- Drivers renewed before 1 April under existing rules that allow taxing at any time, which delayed their first £195 VED payment by up to a year.
- The National Audit Office said the DVLA failed to anticipate this behaviour, criticising planning that overlooked the likely rush to renew.
- From 1 April 2025, EVs registered after April 2017 became liable for a standard £195 annual VED as the long‑standing exemption ended.
- Reports say the November 26 Budget will outline a consultation on a mileage‑based 'VED+' of about 3p per mile from 2028, with ministers citing falling fuel duty receipts and motoring groups warning the move could slow EV uptake.