UK Drivers to Face New Road Tax, Safety, and EV Changes in 2025

The UK is preparing for major updates to driving regulations in 2025, which will affect everything from road taxes to vehicle safety and technological advancements.

These changes will impact the cost of driving and how vehicles are used on the road. Drivers must stay informed to ensure they are ready for the evolving rules that will shape the transportation landscape.

Electric Vehicles to Pay Road Tax (VED) Starting April 2025

Starting in April 2025, electric vehicles (EVs) will no longer be exempt from Vehicle Excise Duty (VED), also known as road tax. Currently, EV owners are not required to pay this tax, but a new system will charge them a first-year rate of £10. Additionally, any EV priced over £40,000 will face the Expensive Car Supplement, which is currently £410.

This measure is designed to generate additional government revenue as EV adoption increases. Other vehicles, such as diesel and petrol cars emitting over 76g/km of CO2, will also face higher taxes in 2025/26.

Fuel Duty Freeze Continues Until 2026

The UK government will continue its freeze on fuel duty until March 2026, maintaining the rate at 52.95 pence per litre. This freeze aims to alleviate the financial burden on drivers amid rising fuel costs. Alongside this, a Fuel Finder scheme will be introduced by the end of 2025. This service will allow drivers to track real-time fuel prices and availability at petrol stations, helping them find the best deals.

Benefit in Kind (BiK) Tax Rates to Increase

From April 2025, Benefit in Kind (BiK) tax rates, which apply to company cars, will increase by 1% across all tax brackets. Fully electric cars, for example, will face a BiK rate of 3% instead of the current 2%. This change is part of the government’s efforts to align tax policies with environmental goals, encouraging the adoption of low-emission vehicles.

Stricter Safety Requirements for Heavy Goods Vehicles (HGVs)

Heavy Goods Vehicles (HGVs) will be required to meet stricter safety standards starting in May 2025 under Transport for London’s (TfL) Direct Vision Standard (DVS). HGVs weighing over 12 tonnes must meet a minimum safety rating of three stars or install a Progressive Safe System. If these standards are not met, HGVs will be penalized with a charge.

This measure aims to improve road safety by ensuring that large vehicles have better visibility, especially to protect pedestrians and cyclists.

New Tachograph Rules for Commercial Vehicles

From December 2024, commercial vehicles engaged in international journeys must retrofit their vehicles with smart tachographs. These devices will monitor driving times, speeds, and mileage to ensure compliance with safety regulations. The tachographs will include advanced anti-tampering mechanisms and track border crossings, making it easier to monitor driving hours and safety standards.

Congestion Charge Exemption for Electric Vehicles Ends in 2025

Electric vehicles (EVs) currently benefit from an exemption from London’s congestion charge, but this exemption will end on December 25, 2025. Starting January 2, 2026, all vehicles, including EVs, will need to pay the £15 congestion charge to enter London's congestion zone.

This decision has sparked debate, with some businesses urging the Mayor of London to reconsider the removal of the exemption, particularly for electric vans, to support businesses transitioning to greener fleets.

AI-Powered Safety Cameras Trial to End in March 2025

The UK government’s trial of AI-powered safety cameras, which started in 2021, will conclude in March 2025. These cameras use artificial intelligence to detect drivers who are not wearing seatbelts or are using mobile phones while driving. The trial has involved 10 police forces, and the data collected will determine whether these cameras will be rolled out nationwide.

Drivers caught by these cameras could face fines and penalty points. The aim is to improve road safety by using technology to detect unsafe driving behaviors.

Vehicle Inspections for Cars Over Five Years Old in Guernsey

In 2025, Guernsey will implement a vehicle inspection scheme for cars older than five years. The inspections will ensure that vehicles remain safe and environmentally compliant. This initiative is part of Guernsey’s efforts to maintain road safety and meet post-Brexit European regulations. The inspections will occur every three years, ensuring vehicles are up to the necessary standards.

As these changes take effect in 2025, UK drivers will face new challenges and responsibilities.

From the introduction of road tax for EVs to updated safety requirements for commercial vehicles, these updates will shape the future of driving in the UK. Drivers should stay informed and prepared for these evolving regulations to avoid any unexpected disruptions or fines.