Older drivers born in these dates hit with major car tax change

Major new road tax changes are set to leave older drivers facing significantly higher .

The has overhauled vehicle tax rules from April 1, 2025, affecting how much drivers are charged, with new car buyers and (EV) owners in line for a substantial increase in costs. Price comparison website has warned that 'baby boomers' - people born between 1946 and 1964 - will be most impacted by the changes as they tend to drive older, highly polluting petrol or which are now subject to higher rates.

According to Go.Compare, this generation faces a collective additional cost of £40.5 million in (VED) from April 1.

It said: "Baby boomers will be the most impacted of any generation. Drivers from this generation who buy a new car during this period will pay an additional £40.5 million in VED compared to last year if buying habits remain the same."

Go.Compare's research also revealed a generational gap in eco-friendly driving, with baby boomers more likely to drive highly polluting petrol or diesel cars.

It added: "Just six percent of baby boomers drive either a battery electric or hybrid electric car, Go.Compare's survey found, compared to 11 percent of millennials and nine percent of Gen X."

The tax exemption on all electric vehicles in the UK has also been scrapped from April 1 as part of the changes, meaning EV drivers now pay the same flat rate of £195 per year as petrol, diesel or hybrid car owners.

New EV buyers will also need to pay for their road tax as all zero-emission models are now subject to a £10 charge for the first year it's registered on the UK's roads.

But if the new electric model has a retail price of more than £40,000, owners will also be subject to the expensive car supplement of £425 from years two to six, increasing the total charge to £620.

The DVLA changes aren't just limited to electric cars though, as new car buyers of any model are now likely to pay more for their tax.

The vehicle excise duty (VED) charge applied to new models is based on the amount of carbon dioxide the model produces, with all rates increasing to try and encourage more drivers to choose a greener car. Plug-in hybrid models now face a £100 tax increase from April 1, with the rate buyers are charged rising to £110 for the first year.

Petrol and diesel car buyers are the most likely to be impacted by the changes as many of the tax bands have doubled. This is where older drivers will be most affected as older generations are more likely to be driving a petrol or diesel car, which are now subject to higher tax rates.

Drivers interested in buying a new petrol-powered supermini that produces between 111 and 130g/km of carbon dioxide, such as a Vauxhall Corsa or Toyota Aygo X, will need to pay £440, rather than £220.

But models producing more than 255g/km of carbon dioxide are the worst affected by the tax changes as the charge applied to vehicles such as supercars and luxury SUVs has doubled to £5,490 - an increase of £2,745.