A complete breakdown on tax free cars

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Image by Offenburg from Pixabay

Why are some cars free to tax?

In a bid to reduce greenhouse gas emissions, in 2001 Tony Blair’s Labour Government introduced a new road tax system (vehicle excise duty, to give its proper name) that was based on the tailpipe CO2 emissions. The lower the CO2, the cheaper the car would be to tax. 

This created opportunities for car owners to pay nothing for road tax, with a range of diesels and small capacity petrol engines producing less than 100g/km of CO2.

The CO2-based system would last until 1 April 2017 when it was replaced with a flat rate system due to the fact most cars in the UK qualified for little or no road tax. However, if your car is registered between 2001 – 2017, you can still get a tax free car.

VED road tax rates and bands for cars registered between 2001 and 2017

VED bandCO2 emissions (g/km)Petrol and Diesel carsAlternative fuel cars
AUp to 100£0£0
B101-110£20£10
C111-120£30£20
D121-130£135£125
E131-140£165£155
F141-150£180£170
G151-165£220£210
H166-175£265£255
I176-185£290£280
J186-200£330£320
K*201-225£360£350
L226-255£615£605
MOver 255£630£620

* Includes cars emitting over 225g/km registered before 23 March 2006

How can I check if a car for sale qualifies for free road tax VED?

The car’s V5C logbook will show the car’s official CO2 rating. Or you can use an online tool, like the HonestJohn.co.uk road tax checker

Which cars are free to tax? (must be registered between 1 March 2000 and 31 March 2017)

Fiat 500

Both the two-cylinder turbocharged TwinAir petrol and the 1.3-litre diesel engine were available with CO2 emissions lower than 100g/km.

Ford Mondeo

Selected versions of the 1.5-litre ‘eco’ diesel engine emit less than 100g/km, making this big Ford free tax 

Ford Fiesta

The 1.5-litre diesel and the 1.0-litre EcoBoost petrol engine were offered with CO2 below 100g/km.

Honda Civic

1.6-litre i-DTEC diesel Civic is plentiful on the used market and available with sub-100g/km CO2.

Renault Captur

Thanks to Renault’s efficient 1.5-litre diesel engine the Captur is a small SUV that’s available with zero VED.

SEAT Leon

Various versions of the Leon with the 1.6 diesel are available with sub 100g/km of CO2 and zero road tax.

Skoda Octavia

Both the Octavia hatchback and estate are free to tax with selected versions of the 1.6-litre diesel engine.

Toyota Prius 

If you buy a Prius that was registered before 1 April 2017 you will get a car that’s free to tax thanks to its efficient 1.8 petrol hybrid engine. 

Vauxhall Astra

The 1.6-litre CDTi diesel EcoFlex is one of the engines in the Astra range that offers low emissions and zero VED road tax. 

Volkswagen Golf 

The Golf BlueMotion was designed to deliver low running costs and zero road tax with sub-100g/km of CO2 for the 1.0 TSI petrol and 1.6 diesel.


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