Company Car Tax & BiK
Benefit-in-Kind (BiK) tax on electric company cars is the lowest of any fuel type in the UK — and stays low through the end of the decade. This hub explains how BiK works, what salary sacrifice means and why the numbers matter for your pay slip.
BiK company car tax for electric vehicles: how it worksBiK rates for electric cars sit at 2–3% through to 2027–28, against 25–37% for petrol and diesel. Here is how the tax is calculated and what it means in practice.Read →Salary sacrifice for electric cars: how the scheme worksSalary sacrifice lets employees lease an EV from their gross salary, cutting income tax and National Insurance. With a low BiK rate, the numbers can be compelling.Read →EV road tax (VED) in the UK: what changes from April 2025From April 2025, zero-emission vehicles lost their VED exemption. Here is what the new rates mean and how the Expensive Car Supplement applies to EVs.Read →