Drivers’ protests against steep road taxes for cars between 20 and 39 years old have grown louder, as the UK Treasury issues a firm response to calls for a reduction. The debate over Vehicle Excise Duty (VED) has gained momentum, with concerns that high tax rates are forcing functional, environmentally friendly vehicles into the scrapheap.
In recent weeks, a petition calling for a 50% reduction in VED for cars aged 20 to 39 years has gained significant traction, gathering over 39,000 signatures. The initiative argues that many cars from this era, often low-mileage and well-maintained, are being prematurely scrapped due to the rising tax burden. This trend, critics say, contradicts environmental goals and leads to a “disposable car culture.” With the petition nearing the threshold for parliamentary discussion, pressure is mounting on the government to act.
Treasury Responds to Growing Calls for VED Reduction
The UK Treasury has firmly rejected proposals to reduce VED for cars between 20 and 39 years old. In a statement released on 23 February 2026, officials clarified that the government had “no plans” to change current tax liabilities for these vehicles. Although acknowledging the rising concerns, the Treasury added that it routinely reviews all tax policies, with any adjustments made during fiscal events. Currently, cars older than 40 years are exempt from VED, as they are classified as “classic” vehicles, a policy set to be extended to cars built before January 1986 starting in April 2026.
Despite the government’s firm stance, advocates of the tax reduction, including petition organiser Heitor Mazzotti, continue to push for change. According to Mazzotti, the high taxes are forcing vehicles, some of which could be seen as modern classics, to be scrapped prematurely. He claims that keeping these cars on the road is more environmentally sound than producing new vehicles, as it preserves the embedded carbon already spent during manufacturing.
The Environmental and Economic Impact of High Car Taxes
The issue of rising VED is not just a matter of personal finance but also one of environmental concern. According to reports, many drivers are opting to scrap cars, even though keeping older, functional cars on the road could be more sustainable than purchasing a new vehicle. The production of new cars creates significant carbon emissions, with a medium-sized petrol or diesel car contributing up to 17 tonnes of CO2e, equivalent to the carbon emissions of three years of average UK household energy consumption. This issue is particularly relevant as some vehicles, such as the Ford Mondeo, Audi TT, and Vauxhall Zafira, which fall into the highest VED tax bands, are increasingly seen as worthless due to the prohibitively high taxes.
Industry experts warn that this “tax trap” is pushing a range of once-popular models to the brink of being scrapped. According to motoring specialists, certain cars from the late 1990s and early 2000s, including the Saab 900 Convertible and Land Rover Freelander, are among the most affected, with annual tax bills that rival or exceed the market value of the vehicle itself. This financial burden is leading to a loss in resale value and, in some cases, forcing cars into foreign markets where buyers are still willing to purchase these older models at lower prices.
The situation highlights a significant discrepancy in the UK’s vehicle taxation system, where high CO2-emitting vehicles, regardless of their condition, are hit with steep road taxes, which many argue is counterproductive to the goal of reducing carbon footprints. The Treasury’s reluctance to alter the current system signals a continued focus on emission-based taxation, yet it risks undermining efforts to promote sustainable car ownership practices.
