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The price of registration cards will explode in 2025, here's why

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The story begins in January 2025. In the middle of winter, the Joint Committee is preparing to vote on a reform that will radically change the pricing system for registration certificates. The project ? Simply remove the ceiling of 60 euros per tax horsepower. A decision that opens the way to potentially unlimited increases in all regions of France.

The decline in revenue from vehicle registration certificates is worrying the regions. Between 2019 and 2023, revenues fell by 300 million euros, from 2.3 to 2 billion euros. This financial haemorrhage is mainly explained by the growing success of electric vehicles. The latter, totally exempt from regional tax, now represent 17% of sales compared to barely 2% in 2019. Hybrid cars benefit from a reduced rate, further increasing the pressure on regional finances.

Faced with this situation, eight out of thirteen regions have already voted for an increase for 2025. But this is only the beginning. The removal of the cap planned by the government would give local authorities carte blanche to set their rates. “ It is the last fiscal lever of the Regions “, justifies a senator close to the file. A vision that makes some parliamentarians jump: ” We are walking on our heads. Without a ceiling, it is the open door to all kinds of tax bludgeoning for motorists. »

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A political debate that is raging

The reform deeply divides the political class. Philippe Tabarot, the new Minister of Transport, had himself proposed an increase in the ceiling when he was a senator for Les Républicains. His amendment aimed to establish a range between 60 and 70 euros. Other parliamentarians went further, suggesting a ceiling of 80 euros.

The government, for its part, remains cautious in its communication. ” Nothing has been decided “, assure several ministerial sources. However, the outlines of the reform are already taking shape. The text that will be presented on January 30, 2025 provides not only for the removal of the ceiling, but also for the establishment of a floor of 60 euros. A double constraint that guarantees mechanical increases.

Major consequences for motorists

The impact on household budgets could be considerable. For a vehicle with 7 tax horsepower, the cost of the registration certificate could easily exceed 500 euros in certain regions. Owners of more powerful vehicles risk seeing their bill soar.

This reform is part of a broader context of transformation of automobile taxation. The government is already planning to strengthen control of local authority spending from 2026 through new contractualisation.

While electric vehicles remain exempt, owners of thermal vehicles will have to bear an increasing burden.

  • The government plans to remove the €60 per tax horsepower cap for registration certificates
  • Regional revenues have fallen by €300 million in 4 years due to the rise of electric vehicles
  • Motorists could see the price of their registration certificate increase significantly

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Teilor Stone

By Teilor Stone

Teilor Stone has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining Thesaxon , Teilor Stone worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my teilor@nizhtimes.com 1-800-268-7116