The charges are a little different if your new car costs more than £40,000. You’ll still be charged according to its emissions for the first year – as is the case for all cars. After that, the standard VED of £140 will apply but there’s an additional supplement of £310 for five years. So, for those five years the annual cost of the VED will be £450 (£140 plus £310). After that five year period has expired, the standard rate of £140 a year will apply.
Don't forget that zero emissions cars (electric vehicles) are now exempt from any VED charge unless they exceed the £40,000 value threshold, in which case they too will be eligible for a higher rate of £310 for five years. After the five years, their VED will revert to zero.
We hope that clears up a few queries but if you are in any doubt or have any questions, please do not hesitate to contact a member of the Westover team.