Car Tax Changes 2017

We explain why now is the best time to make the most of a Spire business lease

On 1st April 2017, the car tax rules are changing, and with it will come increased tax charges for the majority of cars. However, if you register your new BMW before this cut-off date, it will be taxed according to the more favourable taxation structure currently in place. To find out exactly how the new system works and what it means for the specific BMW model you’re considering, speak to our expert business team.

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These car tax changes for April 2017 have been introduced as a direct result of manufacturers like BMW producing ever more efficient cars, with EfficientDynamics technology giving considerable improvements in engine efficiency and emissions, attracting low tax charges as a result. There will be an additional charge of £310 on any car costing £40,000 or more including options; cars emitting over 190g/km CO2 will pay a larger penalty as well. However, even extremely clean cars are affected, with many models emitting under 100g/km CO2 that are currently free of tax, now attracting taxation. If you’re considering a new BMW for your business, minimise the costs by getting in touch with Spire today.

First year road tax after 1st April 2017

CO2 emissions (g/km) Petrol (TC48) and diesel cars (TC49) Alternative fuel cars (TC59)
0 £0 £0
1 - 50 £10 £0
51 75 £25 £15
76 - 90 £100 £90
91 - 100 £120 £110
101 - 110 £140 £130
111 - 130 £160 £150
131 - 150 £200 £190
151 - 170 £500 £490
171 - 190 £800 £790
191 - 225 £1,200 £1,190
226 - 255 £1,700 £1,690
Over 255 £2,000 £1,990

After the first year, you will then pay:

Electric vehicle Alternative fuel Petrol or diesel
£0 £130 £140

New vehicles that cost more than £40,000

For cars costing over £40,000 (including options and before discounts), after the first year there will be a supplementary charge on top of the standard CO2 emissions-based rate. This £310 charge will be applied for the first five years.

Fuel type Standard annual rate Additional rate Total annual payment
Electric £0 £310 £310
Alternative £130 £310 £440
Petrol or diesel £140 £310 £450


Find your next BMW before 1st April 2017:

BMW 1 Series lease deals

1 Series Lease Deals

Sportiness and style combine in the 1 Series Sports Hatch.

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2 Series Lease Deals

Wild, rebellious and unique, explore the BMW 2 Series.

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BMW 3 Series Lease Deals

3 Series Lease Deals

Breathtaking dynamics, unmistakable design and advanced technology.

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BMW 5 Series Lease Deals

5 Series Lease Deals

Driver-focused in nature, the BMW 5 Series makes driving a pleasure.

Find out more »
BMW X3 business lease deals

BMW X Series Lease Deals

Be ready for anything with the robust BMW X Series.

Find out more »

BMW business lease: business costs lowered

To find out more about the changes and the effects on specific BMW models, please call or send us an enquiry