The government has announced changes to Vehicle Excise Duty which will require electric vehicle owners to start paying car tax from April 1, but a loophole states you can avoid the tax by acting now
A clever hack has been shared by budgeting expert Beth Turbutt-Rogers for electric vehicle owners to dodge road tax starting from 2025.
Come April 1, EV drivers are set to take a hit as they’ll be obliged to pay for the tax, but Beth disclosed a nifty loophole that could bag them an additional cost-free year. She dropped this nugget in a TikTok clip, assuring her audience it’s a completely above-board move and encouraging: “Go on to the government’s website and renew your car tax – even if you’re not due to do this until the end of the year.”
By being a bit savvy with timing, she notes, you lock in another stretch of “totally free” tax. Telling her own tale, she said: “Mine isn’t due until November, but I’ve just been online and taxed my car for another year from today and it means I won’t have to pay any tax until February 2026,” revealing her personal triumph.
The Government website explains: “From 1 April 2025, registered keepers of electric, zero or low emission cars, vans and motorcycles will need to pay vehicle tax in the same way as registered keepers of petrol and diesel vehicles. This change will apply to both new and existing vehicles.”
It further detailed that for those eco-friendly vehicles first registered post-1 April 2025, an introductory first year rate of vehicle tax is priced at just £10 from then on. However, as standard practice from the second payment onward, they’ll have to pay the usual rate of £195, reports the Express.
Motorists who registered their vehicles between 1 April 2017 and 31 March 2025 will be hit with a standard rate of £195 for vehicle excise duty (VED). Those with vehicles registered from 1 March 2001 to 31 March 2017 will move to the first band that has a VED value, starting at £20.
The loophole allowing electric vehicle (EV) owners to dodge car tax has sparked a fiery debate among drivers. One motorist snapped back: “Great hack, but you should be paying,” adding, “You use the roads like the rest of us.”
Another vented: “Why shouldn’t EV car users pay any car tax? You use the exact same roads I use and many do more than my 5-6000 per year and I have to pay for this.”
A third shared their vexation: “Another reason NEVER TO GET AN electric car! Can’t wait for mine to go back! ” Meanwhile, some TikTok users questioned Beth’s timing of her advice, wondering if it would be wiser to hold off until late March for maximum savings.
“Thanks for the tip but wouldn’t it be better to wait until March/April to renew it or did I miss something? ” one user asked. Another suggested: “In March there’s a risk you will miss the cut off – do it in February.”
Martin Lewis, the go-to guru for money-saving tips, has shared a clever trick on ITV’s Money Show Live, advising: “If you re-tax now on gov.uk it’s free. So you get a year from the date that you re-tax. So, you might want to leave it until the last day of March and then it would be perfect but if you just wanna do it, do it now and you get a year longer.”
He further clarified: “Now the crucial thing of this is, you can re-tax at any time, even if you only did it two months ago. You can do it again now. You have to pay each time, but it’s currently free so there’s nothing to pay. So effectively this is a loophole that says, just go and do your retaxing as near to that deadline as possible and you get an extra year for free.”