Older drivers will be “hit hardest” by new Vehicle Excise Duty (VED) car tax updates introduced this April, according to leading experts. Andy Wood, International Tax Expert at Tax Natives warned the new fees would be a “strain on finances” with older petrol and diesel owners set to pay millions more to use the road.
The finance specialists warned that “baby boomers”, usually described as individuals born between 1946 and 1964, will feel the biggest sting. This would mean older road users between the ages of 61 and 79 fall into the category in a major blow. According to the experts, older drivers are “less likely” to own zero-emission vehicles or hybrid models with many relying on combustion models.
These are among the worst affected vehicles under the new tax rules with hefty hikes across the board.
Andy said: “As the tax rates for petrol and diesel vehicles increase, older drivers, who are more likely to be driving such cars, will face some of the highest increases.
“The change will hit baby boomers the hardest, who are also less likely to own newer, cleaner models like electric or hybrid cars.
“These drivers are set to pay an estimated £40.5 million more as a result of the new tax changes, which could further strain their finances, especially if they are unaware of the tax increases that could be applied to their vehicles.”
Older cars registered between 1985 and 2001 are also impacted with fees increasing regardless of motorists’ engine capacity,
Cars with engines above 1549cc will pay £36- from April 2025, up from the previous rate of £345.
Smaller cars below the 1549cc threshold will pay £220 this Spring, an increase of £10 on the £210 charge motorists were issued up until recently.