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New Ved Rates: A Delayed Delivery Could Cost Your Customer A LotBack

Vehicles registered with the DVLA from 1 April 2017 will have new tax rates, which, in many cases, will be much higher than the ones currently in use. This is a complex issue and it is vital that dealerships are able to clearly communicate the changes to consumers. Dealers also need to be aware also of the potential consequences of a delay in supply for a vehicle due to be delivered prior to 1 April. If there is a delay until after 1 April 2017, the car will become subject to the new and more expensive tax rates.

Case Study

If a customer has a small car (CO2 emissions from 101-110), on order for delivery in March 2017, but it is delayed until April 2017, they will face a substantial increase in tax rates.

As the table below shows, in this specific scenario customers would see a £380 increase over three years if the delivery of the vehicle they had purchased is delayed by just one month.


The NFDA has been in constant dialogue with the DVLA to ensure that this complex reform is introduced and communicated as smoothly and accurately as possible. However, there appears to be some confusion amongst dealers with some of them still not familiar with the changes.

We continue to urge dealers to consult our guidance documents and contact us or the DVLA to ensure they have a good understanding of the changes.

For further guidance, please visit: or consult the DVLA website:

Posted by Sue Robinson on 03/02/2017