Mindset Carbon Effort 2040 🌍♻️🚗

At Mindset, we are committed to sustainability and smart financial choices. As part of our Carbon Effort 2040, we encourage staff to make eco-friendly vehicle decisions, reduce emissions, and stay ahead of regulatory changes. Every informed choice brings us closer to a cleaner, more sustainable future.

VED Tax Changes from 1 April 2025 – Be Smart When Taxing and Buying a Car

As we approach 1 April 2025, significant changes to Vehicle Excise Duty (VED) will come into effect, impacting both new and existing car owners. These changes will particularly affect electric vehicles (EVs), hybrids, and traditional petrol and diesel cars.

Electric Vehicles Will No Longer Be Exempt

From April 2025, EVs will be subject to VED for the first time. While they previously benefited from zero road tax, they will now pay the same standard rate as petrol and diesel cars—around £190 per year.

Higher Road Tax for Expensive Cars

Vehicles registered after 1 April 2025 with a list price over £40,000 will face an additional £390 per year for five years. This includes many premium EVs, hybrids, and luxury petrol/diesel models.

Changes for Petrol and Diesel Cars

Higher CO₂ emissions will still result in higher VED. First-year rates remain high to discourage polluting vehicles. Older vehicles (pre-2017) may face additional surcharges.

Lessons & Best Practices for Staff

Be Careful When Taxing Your Car

• Check the new rates before renewing VED.
• Set reminders to avoid late fines.

Be Wise When Buying a Car

• Factor in VED, insurance, and maintenance—not just the purchase price.
• Keep below the £40,000 threshold to avoid extra charges.
• Weigh EV vs. hybrid vs. petrol based on total long-term costs.

Sustainability & Financial Planning

• Lower-emission vehicles remain smart long-term choices.
• Consider pre-2025 models with lower tax implications.
• Explore salary sacrifice or company car schemes if available.

Car Share Initiative (Coming Soon)

Join a car share scheme to promote cost-effective, eco-friendly commuting. Reduce costs, emissions, and enjoy a shared journey with colleagues while contributing to sustainability.

Action Steps for Staff ✅

• Check your car’s tax category on the DVLA website.
• Compare VED costs before buying a car.
• Set up annual renewal reminders.
• Talk to a financial advisor if unsure.

Final Thoughts

The VED changes underline the importance of making smart and sustainable vehicle decisions. Whether renewing tax or buying new, informed choices help reduce long-term costs and environmental impact.

🚗 Drive smart, tax wisely, and stay ahead of the changes! 🚗