The New Year signals a fresh start for many, but for some drivers, it signals change.
Car tax is a charge that you have to pay on any car that is either registered in the UK and driven or kept on a public road.
If you aren’t keeping or driving your car on a public road, you won’t need to pay car tax.
In 2026, there are several changes coming in that drivers need to be aware of.
Does your car need a break? 🚗
Tell us online if you need to take it off the road: https://t.co/xa5nqzy6Wz #DVLADigital pic.twitter.com/ewfuz19BIi
— Driver and Vehicle Licensing Agency (@DVLAgovuk) December 30, 2025
Your car tax is an annual payment, but you don’t have to pay it all in one go. You can choose to:
Setting up a Direct Debit is the best way to make sure you don’t miss a payment.
You’ll have the option to set up a Direct Debit when you tax the vehicle online. You can also set one up at a Post Office.
If you have your car’s registration and V5C logbook, you can find out how much car tax you’ll pay each year on GOV.UK’s vehicle status checker
You can then use these to work out what tax band the car is in using the vehicle tax rate tables on GOV.UK.
If you’re registering a new car, you’ll need to pay the first 12 months up front. This amount will be based on:
Luxury car tax
If your car has a list price of over £40,000 you’ll have to pay an extra cost known as the luxury car tax.
From 1 April 2026, the list price at which you’ll pay the luxury car tax will increase to £50,000 for electric vehicles.
Recommended reading:
UK drivers warned of £2,500 fines over little known tax rule
DVLA £1,000 fine warning over driving licence mistake
DVLA warns drivers over 70 they risk being unable to drive
How much is car tax?
The amount of car tax you’ll pay depends on:
The only situation in which you’re allowed to drive a car without tax is if you’re taking it to a pre-booked MOT.
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