Ford Pickups Exploit Loophole to Dodge Car Tax Hike

Metro Loud
2 Min Read

Owners of pickup trucks, particularly Ford models, stand to benefit from a classification loophole as new Vehicle Excise Duty (VED) changes take effect on April 1. These updates will raise costs for most drivers of petrol, diesel, and electric vehicles.

Key VED Increases Ahead

Higher tax bands launch next month, lifting the standard VED rate for cars registered after 2017 from £195 to £200 annually. New high-emission petrol and diesel cars face the steepest first-year charges, climbing from £5,490 to £5,690 for vehicles emitting over 255g/km of CO2.

Affected models span luxury options like the Ferrari Purosangue and certain Porsche Cayenne variants, alongside performance vehicles such as the Ford Mustang 5.0 V8 and some Ford Ranger 2.0 TD EcoBlue configurations.

The Expensive Car Supplement, or luxury car tax, also rises from £420 to £435 per year.

Ford Pickup Trucks Gain Exemption

Ford confirms that many of its pickup trucks qualify as light goods vehicles (LGVs) for tax purposes. This status exempts them from standard car VED rules and the Expensive Car Supplement.

Instead, these vehicles attract a flat annual VED rate of £345 under the LGV system, applicable to models registered on or after March 1, 2001, including zero-emission variants. Official guidance verifies this classification.

Future Tax Shifts and First-Year Rates

From April 2026, the maximum first-year VED for top-emitting new cars reaches £5,690. A prior adjustment in April 2025 boosted the highest first-year rate from £2,745 to £5,490.

First-year rates scale with CO2 emissions, starting at £10 for the lowest and peaking at £5,690. Vehicles with just 1g/km CO2 incur £110, while average petrol cars (143g/km) face about £560 and diesels (164g/km) around £1,360.

Existing vehicle owners see milder annual increases to £200 from the second year. Electric vehicle drivers now pay VED, with a pay-per-mile scheme slated for April 2028.

These changes prompt drivers to weigh upfront taxes against fuel, insurance, and maintenance costs when buying new vehicles.

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