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Drivers face a hike in the threshold of the Expensive Car Supplement after the Labour Party Autumn Budget. The threshold of the ECS is set to be hiked from £40,000 to £50,000 in April 2026 at a cost of £500million in 2030-2031.

This charge is levied on motorists for five years once the vehicle is first registered, totalling £2,370 for a car purchased in 2025-2026. This takes into account a hike to the rate of the Expensive Car Supplement at an average cost of £474 a year for five years.

This is higher than the current rate of £425 for all vehicles which cost more than £40,000. The drivers of electric vehicles as well as hybrids will now be subject to a new pay-per-mile charge.

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The OBR

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