Drivers born in these years who have popular cars warned over tax rise
Drivers between 25 and 39 years old have been looking to take out car insurance on classic vehicles as younger drivers are tempted by classic car purchases. But motorists born between 1999 and 1985 have also been warned to expect tax hikes.
So far this year, there has been a 16 per cent rise in drivers insuring a single classic car, compared to the same period in 2023. The DVLA allows a few days grace at the year end, for "first registered" dates up to and including 7 January 1984, to qualify to be tax exempt.
Currently, a vehicle "first registered" on/prior to 7 January 1984, will be classed by the DVLA as having been built in 1983, therefore it is tax exempt from 1 April 2024. If your vehicle was 'first registered' after this date, up to 31 December 1984, you will need to wait until 1 April 2025.
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Younger vehicles become eligible in the April after the year in which they become 40 years old. The Federation of British Historic Vehicle Clubs said: “Currently, a vehicle ‘first registered’ on/prior to January 7, 1984, will be classed by the DVLA as having been built in 1983, therefore it is tax exempt from April 1, 2024.
“If your vehicle was 'first registered' after this date, up to December 31, 1984, you will need to wait until April 1, 2025. Younger vehicles become eligible in April after the year in which they become 40 years old.”
Mitchell Brown, automotive photographer and organiser of the annual Mini’s and Milkshakes Car Show, said: “It’s exciting to see what the future holds for both classic cars and the younger generation. I’ve noticed from the many shows I attend that more younger people do take a liking to classic cars.”
Mark Wilkinson, managing director at Heritage Car Insurance, added that it's “brilliant to see” more and more young people “developing a passion for classic cars”. He said: “This interest ensures that the industry will continue to thrive, evolve, and inspire future generations—making the world of classic cars more inclusive, dynamic, and enduring than ever before.”