Blue Badge holders across the UK are being urged to check their eligibility for a £195 road tax exemption before a new rule change takes effect on April 1, 2025. According to Daily Record, disabled drivers who fail to apply in time could end up paying hundreds of pounds in unnecessary road tax.
Currently, Blue Badge holders can claim vehicle tax exemptions if they receive certain disability benefits, such as Personal Independence Payment (PIP) or Disability Living Allowance (DLA). However, with new road tax rules coming into force, many eligible drivers risk missing out on these savings unless they confirm their exemption status.
Who Qualifies for the Road Tax Exemption?
Blue Badge holders may be eligible for full or partial vehicle tax relief, depending on the type of disability benefit they receive. Those who can claim full exemption include individuals receiving:
- The Higher Rate Mobility Component of DLA
- The Enhanced Rate Mobility Component of PIP
- The Enhanced Rate Mobility Component of Adult Disability Payment (ADP)
- The Higher Rate Mobility Component of Child Disability Payment (CDP)
- The War Pensioners’ Mobility Supplement
- The Armed Forces Independence Payment
Additionally, a 50% reduction in vehicle tax is available for those receiving the Standard Rate Mobility Component of PIP or ADP.
How to Claim the Exemption
To claim vehicle tax exemption, the vehicle must be registered in the name of the disabled person or their nominated driver and must be used exclusively for the disabled person’s needs. A nominated driver cannot use the vehicle for personal purposes.
If applying for the exemption for the first time, Blue Badge holders must visit a Post Office that handles vehicle tax applications. They will need to provide:
- A V5C logbook (vehicle registration certificate)
- Proof of eligibility for the exemption
- A completed Vehicle Tax Exemption application form
For those already receiving an exemption, it is crucial to check that their details are up to date to avoid unexpected tax charges after April.
The Impact of Upcoming Road Tax Changes
From April 1, the standard rate of road tax for cars registered after 2017 will increase to £195 per year, and electric vehicles (EVs) will no longer be exempt from road tax. Experts warn that around 1.35 million disabled drivers could mistakenly pay up to £250 million in unnecessary road tax if they do not update their exemption status.
With these changes on the horizon, disability rights groups and motoring experts are urging eligible Blue Badge holders to act now to ensure they do not miss out on vital savings.
