Why the change?
Car engines have drastically improved, with many cars emitting much lower CO2 levels, falling into brackets that were originally intended for electric, hybrid and niche low-emission cars. This new system is designed to push conventional cars back into their original tax brackets.
What about Zero emission vehicles?
Under the new system, zero emission vehicles will have a standard rate of £0, but if the list price is over £40,000 they will incur a supplement of £310 for the first 5 years that the standard rate is paid.