The policy also applies to petrol and diesel owners but there is some concern that the high price tag of EVs means almost everyone could be affected.

Ginny Buckley, the founder of EV experts Electrifying.com, has warned families requiring slightly larger and more expensive models could be first in the firing line.

She said: “Electric car buyers will go from paying no road tax to potentially having to pay thousands of pounds over the first six years of ownership. 

“The issue here is that £40,000 is not a level that indicates a ‘luxury’ car when it comes to EVs, as their list prices are generally higher than those of their petrol or diesel counterparts.

“This threshold would include many modest models, such as a mid-range Kia Niro EV or a Volkswagen ID.3. It will affect family drivers who need a larger car, or businesses that require a bigger battery with more range, potentially discouraging many from making the switch to electric.”

In a major blow, the expensive car supplement doesn’t only apply to the vehicle’s first owners. Responsibility to pay the hefty fee is carried over to future owners through second-hand car sales which could put many off making the transition.

The decision to charge electric vehicles VED for the first time was made by the previous Conservative Government. However, the DVLA confirmed the policy would be carried over and rake effect from next Spring. 

The DVLA explained: “New electric and zero-emission vehicles registered on or after 1 April 2025 with the list price exceeding £40,000 will attract the standard rate, plus the expensive car supplement for the first five years from the start of the second licence.”