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The majority of new car buyers will feel the brunt of the new VED (vehicle excise duty) charges that come into force on April 1st.  Two-thirds of new vehicles in the three most popular tax

bands will leave their owners having to pay more tax, the RAC has claimed.  The breakdown rescue firm believes the new tax rules will discourage people from buying some of the least

polluting cars. Under the new laws, you will have to pay the same standard rate of annual tax from the second year onwards. This will not apply to those who drive a fully-electric or a very

low emissions vehicle. Car tax charges depend on the vehicle's engine size, fuel type, year of registration – but mainly, on the CO2 emissions a car emits. Ultimately, the higher the

emissions, the higher the rate of tax. Some organisations have criticised the new tax law, saying that it should target other pollutants, such as NO2, which are predominately emitted by

diesel cars.  First year rates are viable starting at £0 for an electric car up to in excess of £2,000 for a highly polluting diesel.  After that, all cars will be subject to a standardised

second year rate of £140, unless you drive a PHEV (Plug-In Hybrid Engine Vehicle) or hybrid which will pay £130.  Under existing rules, cars emitting up to 100g CO2 per kilometre pay

nothing, while those emitting between 101 to 110g pay £20. RAC analysis into the new rates has found that owning a small family hatchback could leave owners up to £270 worse off over two

years and up to £680 out of pocket over a five-year period.  Over the period of 24 hours between the 31st of March and the 1st of April, those who purchased a Mitsubishi Outlander PHEV, one

of the cleanest hybrids on the market, would lose over £145 over two years. Nick Lyes, RAC roads policy spokesman, said: "From a vehicle tax perspective, drivers who opt for a car that

has very low emissions including hybrids will be worse off under the new system. "This surely runs counter to the Government's aim, which is to encourage more of us to switch to

newer, lower-emission vehicles. "The Government has been taking less in tax from drivers through Vehicle Excise Duty in recent years because new vehicles are emitting lower levels of

CO2, so it's perhaps not surprising that they would want to change things to stem the decline in tax revenue. "But what is surprising, in our view, is the confusing new system

unfairly and disproportionately disadvantages those buyers who seek to do the right thing, for both the environment and for their wallet, by opting for a small, efficient petrol or diesel

vehicle or one of the latest hybrids. "We are concerned therefore that the VED changes actually discourage drivers from purchasing some of the cleanest vehicles." HOW TAX FOR

PETROL AND DIESEL CARS COMPARE BEFORE AND AFTER APRIL 1ST 2017 PRE- APRIL 1ST 2017 CURRENT ANNUAL TAX RATE (BASED ON THE VEHICLE’S EMISSIONS) 120g/km - £30 150g/km - £145 170g/km - £210 Over

255g/km - £515 POST-APRIL 1ST 2017 FIRST YEAR ‘LICENCE RATE’ (BASED ON THE VEHICLE’S EMISSIONS) 120g/km - £160 150g/km - £200 170g/km - £500 Over 255g/km - £2,000 POST-APRIL 1ST 2017

STANDARD RATE AFTER THE FIRST YEAR (BASED ON THE VEHICLE’S FUEL-TYPE) 120g/km - £140 150g/km - £140 170g/km - £140 Over 255g/km - £140