IoTA_Logo(2).png

Institute of Transport Administration

Educating Transport Management since 1944

News

Temporary £1 vehicle tax for most heavy goods vehicles (HGV) – DVSA

2nd Jul 2026

Major Roads Network performance review

2nd Jul 2026

Environment Agency launches new electric workboat on Thames

1st Jul 2026

Drivers smartwatch use risk - law ‘unclear’

1st Jul 2026

Scottish Government starts process for HGV speed limit changes

1st Jul 2026

View all news »

Temporary £1 vehicle tax for most heavy goods vehicles (HGV) – DVSA

2 Jul 2026

Check if your HGV qualifies for the temporary £1 vehicle tax rate.

From 1 July 2026, most HGVs will qualify for a temporary reduced vehicle tax rate of £1 for 12 months.

If your vehicle is eligible, the reduced rate will be applied automatically when you tax your vehicle between 1 July 2026 and 30 June 2027.

Check if your HGV is eligible

The £1 rate applies to HGVs that are in the following tax classes:

  • 1 (HGV)
  • 2 (Trailer HGV)
  • 16 (Small Island)
  • 23 (Combined Transport)
  • 57 (Special Types)

When the £1 rate applies

The £1 rate applies to eligible vehicles taxed between 1 July 2026 and 30 June 2027.

If you tax your vehicle before 1 July 2026, you will pay the current (standard) rate and will not be entitled to a refund. You will be able to pay the £1 rate the next time you tax it during the reduced rate period.

HGV levy

If your vehicle is subject to the HGV levy, it will continue to be charged at the current levy rate alongside the £1 rate of VED. This will be applied automatically when you renew your vehicle tax.

Further information:

https://www.gov.uk/guidance/temporary-1-vehicle-tax-for-most-heavy-goods-vehicles-hgv