Driving law changes you missed in 2025 including car tax hikes, new licence rules and more

Many new car tax changes were introduced earlier this year
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Motorists are being warned of new driving law changes that have been introduced in the last 12 months, which could have a huge impact on millions of people.
Drivers across the UK have been exposed to new licence rules, car tax requirements and fresh new charges in 2025, with some potentially slipping under the radar.
GB News has rounded up the most important driving law changes introduced over the last 12 months that you may have missed.
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Car tax
Electric cars were required to pay Vehicle Excise Duty (VED) for the first time in April, with drivers being charged £195 for the standard rate.
Any new electric, zero or low emission cars registered on or after April 1, 2025, will pay £10 for the first year, before rising to £195 from the second tax payment onwards.
The Government also took the bold step to hike first year rates for all vehicles, with some drivers facing a staggering £5,490 tax hit if they have a heavily polluting petrol or diesel car.
VED rates for cars, vans and motorcycles were uprated in line with the Retail Price Index, while the Expensive Car Supplement was also hiked in line with inflation.

Many driving law changes were introduced this year, including vehicle tax rules and driving licence updates
|PA/GETTY
Driving licence
The Government gave the green light for drivers from Moldova to be able to exchange their licence for a British equivalent if the driver becomes a resident in Great Britain.
The DVLA judged that the current licensing and testing standards in Moldova are acceptable for the Driver and Vehicle Standards Agency (DVSA).
New rules were also introduced for Ukrainian drivers, with the Government extending the driving licence exchange programme for 54 months.
Labour also oversaw the announcement of the new digital driving licence, with drivers set to use the GOV.UK Wallet to prove their age without needing a physical card. This is set to launch nationwide in 2026.
LATEST DEVELOPMENTS
The six streets marked in green will be part of Oxford's congestion charge scheme | OXFORDSHIRE COUNTY COUNCIL Congestion charges
Oxford launched its congestion charge in October, with drivers being charged £5 to enter the city while National Rail continues to perform works.
The congestion charge has been installed to ensure congestion in Oxford is reduced. The council had planned to introduce a traffic filter trial on Botley Road, but cannot proceed until the National Rail works are completed.
Six charging locations will require drivers to pay the congestion charge, although a range of discounts is available to motorists.
London Mayor Sadiq Khan also announced plans to hike the price of the capital's Congestion Charge to £18, as he works to cut traffic rates across London.
Drivers could receive around £700 per agreement from the car finance scandal compensation scheme | PACar finance
The Supreme Court ruled in August that some drivers would not be able to claim compensation in the car finance scandal.
Since then, the Financial Conduct Authority (FCA) has set out proposals for a redress scheme that could cost lenders around £9billion.
On average, drivers are expected to receive around £700 per agreement if they were impacted by the misselling of car finance deals.
The FCA stated that first payments of compensation "should be made in 2026".
Delays on the Dartford Crossing have worsened since prices were hiked | PADartford Crossing
On September 1, the Government hiked the rate paid by drivers to use the Dartford Crossing from £2.50 to £3.50 for one-off payments.
Transport Minister Lillian Greenwood said this was necessary since the prices were last raised 11 years ago.
She said: "Current charging levels are no longer sufficient to achieve their stated aim of managing demand so that the crossing works well for users and local people.
"The need to increase the charges to manage traffic highlights the need for the additional capacity that Lower Thames Crossing, for which the Government confirmed new funding yesterday, will provide."
Number plates are updated in March and September each year | PANumber plate changes
In keeping with tradition, two new number plate identifiers were introduced in 2025, with drivers able to get their hands on the latest models.
The "25" identifier tag was launched on March 1, while the latest cars were emblazoned with the "75" tag on September 1.









