The new Labour government is facing calls to change the rules on classic car taxation, with a fresh petition urging ministers to lower the age threshold for exemption from vehicle excise duty.
Campaign for 'Modern Classics'
A petition now live on the official UK Parliament website is pushing for a significant shift in policy. It argues that the current rule, which exempts vehicles built before 1 January 1985 from paying road tax, is outdated. The campaign wants the qualifying age for historic vehicle tax status to be reduced from 40 years to 35 years.
The petition's creator states that classic car enthusiasts are no longer focused solely on vehicles from the 1950s and 1960s. They highlight the growing interest in 'modern classics', including specialist imports, which are now regular features at classic car shows. Despite their cultural and heritage value, owners of these younger vehicles often face high rates of vehicle excise duty.
Proposed New Rules and Application Process
The proposal is twofold. Firstly, it seeks an automatic adjustment for UK domestic vehicles, changing the age restriction from 40 to 35 years old. Secondly, it recommends creating a formal application process for historic imports to gain the same tax and MOT exemption.
This application could assess a vehicle's rarity and its use for shows and public events. The petition argues that many owners enjoy displaying their cars, which in turn generates revenue for event organisers, stallholders, and small businesses in the classic car sector.
Under the current system, owners can apply to stop paying vehicle tax from 1 April 2025 if their vehicle was built before 1 January 1985. The DVLA clarifies that even exempt vehicles must be taxed, albeit with a nil fee. If the build date is unknown, a vehicle first registered before 8 January 1985 may also qualify.
What Happens Next?
The petition follows the standard Parliamentary process. If it reaches 10,000 signatures, the government is obliged to issue an official response. Should it achieve 100,000 signatures, the topic will be considered for a full debate in the House of Commons.
It is important to note that the tax exemption does not apply to vehicles used for hire or reward, like taxis, or those used commercially for a trade or business. The DVLA advises owners who are unsure about their vehicle's status to contact them directly for clarification.
The campaign reflects a growing sentiment among motoring enthusiasts that the definition of a 'classic' car needs to evolve with the times, recognising the heritage of vehicles from the late 1980s and early 1990s.
