Peugeot 107 Road Tax Explained

Understanding Peugeot 107 Road Tax

The Peugeot 107, a charming and economical city car, has been a popular choice for drivers seeking a compact and frugal mode of transport since its introduction in 2005. Often seen alongside its siblings, the Toyota Aygo and Citroën C1, the 107 was born from a joint venture aimed at creating the ultimate urban runabout. Beyond its city-friendly dimensions and lively performance, understanding the associated running costs, particularly road tax, is crucial for any owner or prospective buyer. This article delves into the specifics of road tax for the Peugeot 107, providing a comprehensive guide to the charges you can expect.

The average annual road tax for a Peugeot 107 is a modest £20. This figure, however, can vary depending on the specific variant, engine size, and crucially, the vehicle's CO2 emissions. To provide a clearer picture, we will explore the different tax bands and how they apply to the various models within the Peugeot 107 range.

Peugeot 107: A Brief Overview

Before diving into the tax specifics, it’s worth recapping why the Peugeot 107 remains a compelling used car option. Launched as a joint venture with Toyota and Citroën, the 107 was designed with efficiency and urban agility at its core. Its compact size makes it exceptionally easy to manoeuvre and park in tight city streets, while its peppy engines offer a surprisingly fun driving experience for its class. These attributes, combined with low insurance premiums and excellent fuel economy, also make the 107 an ideal choice for first-time car buyers.

Key characteristics that contribute to the 107's appeal include:

• Compact Dimensions: Perfect for navigating busy urban environments.
• Frugal Fuel Consumption: Keeping running costs down.
• Ideal First Car: Low power, low insurance, and easy to handle.
• Affordable to Run: Combining fuel efficiency and reasonable maintenance.
• Fun to Drive: Offering an engaging experience for its size.

How Road Tax Works in the UK

In the United Kingdom, vehicle tax (often referred to as road tax or car tax) is based on a vehicle's CO2 emissions and its list price at the time of registration. The system is designed to encourage the purchase of lower-emission vehicles. The tax bands are set by the government, and they change periodically, so it's important to be aware of the regulations applicable to the year your Peugeot 107 was registered.

For cars registered after 1 April 2017, the system is slightly different. There is a standard rate for most cars, with a supplement for cars with a list price over £40,000. However, for the Peugeot 107, which was typically registered before this date and falls into a lower price bracket, the older emission-based system is generally more relevant.

Peugeot 107 Road Tax Bands (Pre-April 2017 Registration)

The majority of Peugeot 107 models will fall under the pre-April 2017 tax system, which is based on CO2 emissions. Here's a breakdown of the common tax bands and how they apply:

It's important to note that the six-month tax rate is typically half of the annual rate, rounded up to the nearest pound. However, for the lower emission bands (A and B), the rate is the same for both 12 and 6 months.

Peugeot 107 CO2 Emissions and Tax Rates

The Peugeot 107 is renowned for its low CO2 emissions, which contributes significantly to its low running costs. Most Peugeot 107 models, particularly those with the 1.0-litre petrol engine, fall into the lower tax bands. For instance, many variants emit less than 110g/km of CO2, placing them in Band B, which carries an annual tax of £20.

Let's look at some typical CO2 emissions for popular Peugeot 107 models:

• Peugeot 107 1.0 (12v) 5 Door: Often emits around 106g/km, placing it in Band B (£20 annual tax).
• Peugeot 107 1.0 Urban Lite 5 Door: Similar CO2 emissions, typically in Band B (£20 annual tax).
• Peugeot 107 1.0 Sportium 3 Door: Again, usually falls within the Band B emissions range (£20 annual tax).

While the vast majority of 107 models will be in Band B, it’s always advisable to check the specific CO2 emissions for your vehicle. You can usually find this information on your vehicle's V5C registration document (logbook) or by using online vehicle tax checkers provided by the DVLA.

First-Year Road Tax (VED) for Peugeot 107

The first-year rate of Vehicle Excise Duty (VED) is also based on CO2 emissions. For cars registered between 1 March 2001 and 31 March 2017, the first-year rate is determined by the same CO2 bands as the standard annual tax. As most Peugeot 107s fall into Band B, the first-year tax would also be £20.

However, it's worth noting that if a Peugeot 107 variant had CO2 emissions below 100g/km (Band A), its first-year tax would have been £0. Conversely, if a less common variant had slightly higher emissions, it would fall into a higher band with a corresponding higher first-year tax.

Premium Tax Rate and the Peugeot 107

The premium tax rate, also known as the "expensive car supplement," applies to cars with a list price of over £40,000 when they were first registered (applicable to cars registered from 1 April 2017 onwards). Given that the Peugeot 107 was a budget-friendly city car with a considerably lower list price, it is highly unlikely that any Peugeot 107 model would ever qualify for the premium tax rate.

Is the Peugeot 107 a Good Used Car?

As mentioned earlier, the Peugeot 107 is widely considered a good used car, particularly for city driving and as a first vehicle. Its compact size, excellent fuel economy, and low running costs, including its affordable road tax, make it a sensible choice for many drivers. The joint venture with Toyota and Citroën meant that the car benefited from shared engineering expertise, contributing to its reliability and efficiency.

Owners often praise the 107 for its:

• Agility in urban environments.
• Low fuel consumption.
• Affordable insurance group.
• Ease of parking.
• Low maintenance costs.

When purchasing a used Peugeot 107, it’s always recommended to check its service history. Independent garages can certainly carry out services for a Peugeot 107, and it's a cost-effective way to maintain the vehicle. Services typically include checks on essential components like brakes, fluids, filters, and tyres, ensuring the car remains in good running order.

Frequently Asked Questions about Peugeot 107 Road Tax

Q1: How do I find out the exact road tax for my Peugeot 107?
You can find the exact road tax for your Peugeot 107 by checking your V5C registration document or by using the official 'Check if a vehicle is taxed' service on the GOV.UK website. You will need your vehicle's registration number.

Q2: Can I pay my road tax by direct debit?
Yes, you can pay your vehicle tax by direct debit, either annually or every six months. This is a convenient way to manage your car tax payments.

Q3: What if I bought a Peugeot 107 registered after April 2017?
For Peugeot 107s registered on or after 1 April 2017, the tax system is different. Most will fall into the standard rate, which was £150 per year as of early 2024. However, the 107's low CO2 emissions would likely mean it remains in a lower tax bracket if specific rules for low-emission vehicles under the new system apply. It's best to check the specific rules for vehicles registered in that year.

Q4: Does the CO2 emissions figure change over time?
The official CO2 emissions figure for your car is set at the time of its manufacture and does not change unless the vehicle undergoes significant modifications that affect its emissions. The tax bands, however, can be reviewed and changed by the government over time.

Q5: Is road tax the same as MOT?
No, road tax (Vehicle Excise Duty) is a tax payable to the government to allow you to use a vehicle on public roads. An MOT (Ministry of Transport) test is an annual inspection to ensure your vehicle meets road safety and environmental standards. They are separate requirements.

Conclusion

The Peugeot 107 stands out as an economical and practical choice, and its road tax costs are a testament to this. With most models falling into the lowest taxable bands, the annual cost is typically a very affordable £20. This, combined with its low fuel consumption and insurance costs, makes the 107 a financially sensible option for many drivers, especially those looking for a reliable and inexpensive city car or a first vehicle. Always ensure you have the correct and up-to-date information for your specific vehicle by checking official sources, but rest assured, taxing your Peugeot 107 is unlikely to be a significant financial burden.

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