Car Tax Bands Changes 2026: What They Mean for You

As we write this in the early part of April, many of you may have already seen a change in how much car tax you have to pay.

From April 1st 2026, car tax, or road tax, as many of us call it, increased. Most drivers are affected, but some remain exempt, and others pay different rates. So, in this blog, we look at the 2026 car tax bands and show you what you may owe, and whether you may be free from the burden of this expense.

What is car tax?

Car tax, road tax or Vehicle Excise Duty is an annual fee most drivers must pay to keep their car on the road. The amount owed depends on several factors:

  • The type of fuel used
  • The date your vehicle was first registered
  • Its CO2 emissions

Rates change with inflation each year, and owners of cars worth more than £40,000 must pay a higher rate than other drivers.

How much will my car tax be in 2026?

  • £200 from April 1st for most drivers
  • Additional luxury car tax of £440 applies to cars with a list price of £40,000+ (£50,000+ if electric)
  • Cars registered before April 1st, 2017, will pay different amounts

For many drivers, the road tax rate rose to £200 from April 1st, 2026. This applies to all petrol, diesel, and hybrid cars registered after April 1st, 2017. Cars registered before this date have different rates, which we will cover further down the page.

For those who own a car with a list price exceeding £40,000 (which means most Land Rover drivers), when it was first sold, a luxury car tax of £440 may also be added, increasing the total tax amount to £640. This applies for five years from the second year of registration.

Electric vehicles

Electric vehicles get some relief. The luxury car threshold for EVs is increased to £50,000, effective from 1st April 2025. EVs registered after this date with a list price below £50,000 do not pay the luxury car tax.

Do electric cars pay road tax?

Yes. There is no longer a free road tax for electric cars, and as of April 2026, EVs that are less than one year old will be liable for the standard £200 rate from year two, with a £10 charge in year one. From April 2028, plans are in place to introduce an eVED. This tax applies only to electric and hybrid vehicles, with a per-mile rate added to the standard vehicle excise duty. As of yet, there is no official confirmation on its implementation.

It has been estimated that this could see owners of electric vehicles pay a further £240 on top of the standard road tax, but at the time of writing, there is still some clarification required for how the pay-per-mile tax will be applied. It is thought that mileage checks at MOT test centres may be implemented, but for now, it is not clear.

2026 Car tax bands explained

For most drivers, their car tax is a flat fee. However, if the vehicle was first registered before 1st April 2017, various factors, such as the date of registration, fuel type, emissions and value, are all considered to determine how much is due. Further confusion can be added to the mix when cars registered before 1st March 2001 are included, as these are charged differently to cars registered after March 1st and before April 2017.

For those buying a new car, a “first year” rate is applied based on emissions and fuel type before the tax reverts to a standard rate that applies to most vehicles.

Car tax bands for cars registered before March 1st 2001

Cars registered before March 1st, 2001, fall within the category of PLG, or Private Light Goods vehicles. Within this category, there are two rates with tax applied based on engine size.

  • Engine size of less than 1549CC: Road tax £230 for 12 months or £126.50 for 6 months
  • Engine size exceeding 1549CC: Road tax £375 for 12 months or £206.25 for 6 months

Car tax bands for cars registered after 1st March 2001 and before 1st April 2017

For cars in these age groups, road tax is applied differently, with the core focus being CO2 emissions. The higher the emissions, the higher the tax; the lower the emissions, the lower the tax. So, for Land Rover owners, it can get quite expensive.  The older generation Defender, for example, could set you back £790 in tax each year!

Band Emissions Car Tax
A Up to 100g/km £20
B 101-110g/km £20
C 111-120g/km £35
D 121-130g/km £170
E 131-140g/km £200
F 141-150g/km £225
G 151-165g/km £275
H 166-175g/km £325
I 176-185g/km £360
J 186-200g/km £410
K 201-225g/km £445
L 226-255g/km £760
M 255g/km+ £790

 

2026 Car tax bands for cars registered after 1st April 2017

If you own a car that was first registered after 1st April 2017, you’ll pay your road tax based on the current system, where a flat rate is applied after the first year regardless of CO2 emissions. For 2026, this is £200. You’ll only pay more if your car exceeds a £40,000 (£50,000 if electric) list price, or if you purchase the car brand new, in which case a higher first-year rate will apply. This first-year rate only applies when the car is new and does not affect used car purchases, which instead follow the standard annual rate.

For many Land Rover owners, there will be a high first-year rate, and the luxury car rate to consider.

CO2 Emissions (g/km) First-year rate Standard rate Luxury car rate (years 2-6)
0 £10 £200 £640
1-50 £115 £200 £640
51-75 £135 £200 £640
76-90 £280 £200 £640
91-100 £365 £200 £640
101-110 £405 £200 £640
111-130 £455 £200 £640
131-150 £560 £200 £640
151-170 £1410 £200 £640
171-190 £2270 £200 £640
191-225 £3420 £200 £640
226-255 £4850 £200 £640
255+ £5690 £200 £640

 

If you own a car with a list price of more than £40,000, or £50,000 if it’s electric, you’ll pay an additional £440 on top of your standard rate for five years starting from the second year the car is first registered. It then reverts to the standard rate as set by the government.

How much will the car tax be for my Land Rover in 2026?

Perhaps one of the main reasons you are here is to learn just how much your Land Rover may set you back in road tax in 2026. Based on typical CO2 emissions and average prices for new models, you can expect to pay the following amounts for some of the most popular Land Rover vehicles.

Model Typical CO2 Year 1 Tax Luxury car tax (years 2-6) Standard rate* (after year 6)
Range Rover (petrol) 220-270g/km £3,420-£5,690 £640 £200
Land Rover Defender 230-260+g/km £4,850-£5,690 £640 £200
Range Rover Evoque 160-220g/km £1,410-£3,420 £640 £200
Any Land Rover PHEV 15-40g/km £10-£135 £640 £200

 

*Standard rates are based on 2026 rates and may have increased or decreased by year six, depending on government rulings or new initiatives.

When do I pay my car tax?

You can tax your car for six or twelve months. You’ll always receive a reminder when it is about to expire, and you should aim to pay before the previous month ends. If, for example, you have taxed your car for 6 months from January to June, you’ll need to organise a renewal at the end of May for your car to be taxed for June onwards.

You can pay it online as long as you have either:

  • Your vehicle logbook
  • A new keeper supplement (V5C/2)
  • A reminder to renew your tax from the DVLA

Either of these will contain a reference number that you can use on the online system to pay your road tax. You can also visit a post office or call the DVLA on 0300 123 4321.

What happens if I don’t tax my Land Rover?

If you fail to tax your Land Rover and are listed as the registered keeper, you’ll be issued an £80 penalty. Swift payment can reduce this by 50%, but failing to pay can see the debt passed to an agency, which may see the total owed rise significantly after interest, handling fees, and any other charges are applied.

If your Land Rover is not SORN and you are found to be driving it, you’ll be issued with a £30 fine, with one and a half times the outstanding tax rate added to it.

Failing to pay this could result in a fine of £1,000 or a penalty of five times the amount chargeable.

You’ll see the penalty rise to £2,500 if you are caught using or keeping an untaxed vehicle on the road with a SORN in place.

Are there any exemptions to the car tax?

Yes. Some vehicles do not have road tax applied to them. As of 2026, these are:

  • Vehicles used by disabled people
  • Disabled passenger vehicles
  • Vehicles used for agriculture, horticulture or forestry
  • Historic vehicles built more than 40 years before 1st January of the current year

 

Tax isn’t the only thing that keeps your Land Rover on the road legally. That’s why many owners trust RCV as their Land Rover specialist. With more than 40 years of experience in Land Rover servicing and Land Rover MOTs, we are the reliable option to help keep your Land Rover safe and roadworthy. Contact us today to explore our range of services and affordable prices.