Here is a more detailed break down of the new motoring taxes announced in today’s (12 March 2008) Budget.

Car tax rates and VED bandings

This years budget announced the reform of the car tax structure. New bands will be introduced from 2009, to reward drivers of the cleanest cars. There will also be higher first-year rates in 2010, to influence car buying choices.

Changes to VED rates will take effect from 13 March 2008

Pre-graduated VED (registered before March 2001)

Graduated VED for Private Vehicles (registered from March 2001)

Fuel duty - increase delayed

The planned fuel duty increase of 2 pence per litre in April 2008 will be delayed until 01 October 2008. Main road fuel duty rates will rise by 1.84 pence per litre on 01 April 2009, and will increase by 0.5 pence per litre above inflation on 01 April 2010.