Starting April 1, 2025, the United Kingdom implemented a significant overhaul of its vehicle excise duty (VED) system. This reform particularly affects electric cars, especially those priced above £40,000. Previously exempt from VED, electric vehicles now face new charges. The first-year rate is set at £10, increasing to £195 from the second year onward. Additionally, a luxury car tax adds £425 annually for models exceeding the £40,000 threshold, applicable during years two through six. Car manufacturers like Vauxhall have responded by adjusting prices to avoid these higher taxes.
In a move that has sparked discussion across the automotive sector, electric vehicles are no longer entirely free from taxation. Under the new rules, owners of electric cars will need to pay an initial fee of £10 in their first year of ownership. From the second year forward, this rises to match the standard annual rate of £195. However, for more expensive electric vehicles—those with a price tag exceeding £40,000—an additional charge known as the luxury car tax comes into play. This brings the total annual cost up to £620 for five consecutive years following purchase.
This £40,000 limit considers not only the base price but also any optional extras added to the vehicle. For instance, a car priced just below £40,000 could still be subject to the luxury car tax if features such as metallic paint are included. British automaker Vauxhall was among the first to respond strategically to these changes. They adjusted the pricing of several models, ensuring they remain under the critical £40,000 mark. One example is the all-electric Grandland, which saw a reduction of £600, though this adjustment applies solely when opting for the standard color option.
Eurig Druce, managing director of Vauxhall, expressed concerns over the static nature of the £40,000 threshold since its introduction in 2017. He highlighted that inflation should have raised this figure closer to £52,000 by now. Given the average cost of an electric vehicle in the UK stands around £48,000, he argued that penalizing buyers of more affordable EVs contradicts efforts to accelerate the transition to electric mobility. Despite Vauxhall's proactive measures to keep customer costs below the new tax threshold, Druce urged reconsideration of this policy to better align with national goals of promoting electric vehicle adoption.
Older electric vehicles registered between March 1, 2001, and March 31, 2017, will now incur an annual charge of £20. Meanwhile, cars registered between March 31, 2017, and March 31, 2025, will face the same standard VED rate as combustion-engine vehicles. These adjustments reflect broader shifts in how the UK government views and regulates the burgeoning electric vehicle market.
In the past year, Mini has undergone a significant transformation of its lineup. The hatchback is now called Cooper, the Countryman SUV has grown larger, and the new Aceman fits perfectly in the middle. While both the Cooper and Countryman offer electric options, the Aceman stands out as exclusively fully electric. Over the next few months, I will be testing the Aceman to explore what it’s like to live with this compact crossover SUV.
A Closer Look at the Mini Aceman
In the golden hues of autumn, the Mini Aceman proves itself as an impressive contender in the electric vehicle market. This compact car measures 4,079mm, making it significantly longer than the classic Mini and slightly bigger than the current three-door Mini Cooper but still dwarfed by the larger Countryman. Recently, the Aceman successfully transported my family—including my 88-year-old father—to London's Union Jack Club for a weekend getaway. Despite its smaller size, there was ample room for everyone, including my wife who comfortably sat in the backseat under the panoramic glass roof, part of the pricey £6,500 Level 3 option pack.
The car's boot easily accommodated three cabin bags and additional items, while its sharp acceleration from the powerful 215bhp electric motor made navigating through London traffic effortless. As a zero-emission vehicle, I avoided paying London’s Congestion Charge. The Aceman’s crossover SUV design also facilitated easy entry and exit for my less agile father. Inside, the large 9.5-inch OLED screen captivated us all, although Apple CarPlay could benefit from a full-screen mode.
Driving around bustling London showcased the Aceman's efficiency and versatility. Although Mini claims a range of 244 miles, I've achieved up to 218 miles so far, primarily due to city driving conditions. Efficiency peaks above four miles per kWh, suggesting that reducing highway mileage could extend the range beyond 230 miles on a single charge.
However, the ride comfort presents a minor drawback. While I enjoy the 'go-kart handling' during solo drives, passengers find the rear seats firm, likely due to the optional 19-inch wheels. Nevertheless, the overall quality, style, and tech integration impress, including the ability to use my phone as a key instead of the traditional bulky one.
This initial experience with the Mini Aceman is promising. Future tests will involve other family members, providing a broader perspective on living with this innovative electric crossover.
From a journalist's standpoint, the Mini Aceman signifies a pivotal moment in the automotive industry's shift towards sustainable urban mobility solutions. Its blend of practicality, technology, and eco-friendly performance sets a benchmark for future vehicles. For readers considering an electric crossover, the Aceman exemplifies how such cars can seamlessly integrate into daily life, offering convenience, style, and environmental responsibility.
Many British drivers worry about the limited range of electric cars, fearing long charging sessions or running out of power on remote roads. However, advancements in battery technology have significantly increased the mileage capabilities of modern electric vehicles (EVs). The Mercedes-Benz EQS leads the pack with an extraordinary 481-mile range per charge, thanks to its aerodynamic design and a large 118kWh battery. Despite its impressive features, the high price tag makes it inaccessible for most buyers. Meanwhile, the Audi A6 E-tron offers a competitive 463-mile range and is set to launch in the UK market by 2025. Offering both sedan and estate options, this model promises comfort and performance at a more accessible price point. Another notable contender is the Polestar 3, which combines practicality with a 438-mile range, making it one of the best EVs for driving enthusiasts.
The Mercedes-Benz EQS: Luxury Redefined
This German luxury car sets new standards in electric vehicle technology. With a range of 481 miles per charge, the Mercedes-Benz EQS redefines what's possible in terms of mileage and convenience. Its sleek, aerodynamic design not only enhances its visual appeal but also contributes to its exceptional efficiency. The car’s massive battery ensures minimal time spent at charging stations, as it can recharge from 10% to 80% in just half an hour.
Despite its cutting-edge features, the Mercedes-Benz EQS comes with a hefty price tag starting at £99,785, making it a luxury item for many. This executive saloon isn't just about distance; it represents a new era of sustainable luxury travel. By focusing on aerodynamics and integrating a powerful battery, Mercedes-Benz has created a vehicle that balances style, performance, and sustainability. Although its cost may limit its accessibility, the EQS showcases the pinnacle of current EV technology.
Audi A6 E-tron and Polestar 3: Practicality Meets Performance
Beyond the luxurious EQS lies a spectrum of electric cars offering both practicality and impressive mileage. The Audi A6 E-tron stands out with a projected range of 463 miles, set to arrive in the UK by 2025. Available in both sedan and estate configurations, this model caters to diverse preferences while maintaining a balance between comfort and performance. Priced at £64,330, it offers a more affordable alternative without compromising quality.
In addition to the Audi, the Polestar 3 emerges as another compelling option. Manufactured by a Swedish-Chinese collaboration, this SUV boasts a 438-mile range, blending family-friendly practicality with advanced driving capabilities. The Polestar 3 allows users to customize their driving experience through adjustable suspension settings, steering heaviness, and power delivery choices. These features make it an ideal choice for those seeking a versatile, long-range electric vehicle. Together, the Audi A6 E-tron and Polestar 3 exemplify how practicality, affordability, and performance can coexist in today's EV market.