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Thursday, October 22, 2026

Drivers are warned of an 'SUV tax' as Chancellor takes aim at family cars

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Families with large cars could be hit with a new tax at the Budget, it is feared.

The Tories have warned that Chancellor John Healey may impose a levy on heavier vehicles, possibly adding more than £1,000 to the price of popular models.

Treasury officials admit they have been lobbied to bring in the road-tax supplement by clean energy group Transport & Environment (T&E), which described the meetings as 'productive'.

T&E has called for a 'large vehicle levy', arguing SUVs pose an increased danger to other drivers, damage roads and are responsible for higher emissions.

But there are concerns that, as well as adding to the burden hard-pressed motorists face, the tax could also deter those wanting to buy a heavier electric car. 

Councils across the country already impose extra charges for parking SUVs.

Tory transport spokesman Richard Holden told the Daily Mail on Wednesday: 'It seems like Labour is preparing to hit drivers with yet another tax at the Budget by measuring the width of people's wing mirrors and sending them a bill for the size.

'Left-wing councils have declared open season on the family car, and now ministers are looking at how to make drivers pay more for the cars they own. Families deserve answers before Labour uses the Budget to hit them with yet another bill.'

The Tories have warned that Chancellor John Healey (pictured) may impose a levy on heavier vehicles

In a briefing published last year, T&E called for a charge of £10 per kilogram on new petrol cars weighing more than 1,600kg (1.5 tons) and electric models weighing more than 2,000kg.

This would be paid to the Treasury in the form of a one-off supplement to Vehicle Excise Duty when a new car is purchased.

In one example, its document said the charge would add £1,120 to the price of a petrol Ford Kuga. Eloise Sacares, of T&E, claimed the levy would 'make oversized SUVs pay their fair share'.

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