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Vehicle tax, or VED, is a mandatory charge for almost all vehicles used or kept on public roads in the United Kingdom. Its primary purpose is to contribute towards the upkeep and development of the national road network. For a new car, the taxation process begins almost immediately upon purchase. The amount you pay is largely determined by several key factors, which were updated significantly in 2017 and are subject to change based on government policies. These factors typically include the car's CO2 emissions, its fuel type (petrol, diesel, hybrid, electric), and in some cases, its list price.

Yes, electric cars still need to be "taxed" or registered for tax, even though they currently benefit from a ?0 Vehicle Excise Duty (VED) rate. This administrative step ensures the vehicle is properly registered with the DVLA and its details are up to date. You will still receive reminders and need to go through the online or offline process annually.