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Tax Update: Changes to Double Cab Pick-Up Rules from April 2025

December 9, 2024

What’s Changing?

From April 2025, double cab pick-ups (DCPUs) will no longer be treated as vans for tax purposes. Instead, they’ll be classed as **company cars** for benefit-in-kind (BIK) tax and capital allowances. This means higher BIK tax for employees and employers alike.

Transitional Rules for Existing Pick-Ups

Good news if you already have a double cab pick-up (or plan to get one soon): if you buy, lease, or order your vehicle before April 6, 2025, you can stick with the current tax treatment. These transitional rules will apply until:

  • You sell the vehicle,
  • The lease runs out, or
  • April 5, 2029 (whichever comes first).

This gives businesses a bit of breathing room to adjust.

What Does This Mean for Businesses?

  1. Plan Ahead: Think about how these changes will affect your fleet decisions, especially if you’re considering buying or leasing pick-ups.
  2. Act Before April 2025: Getting a vehicle before the deadline means you can take advantage of the old rules until 2029.
  3. Reassess Your Fleet: With more focus on emissions, now might be a good time to explore greener options.

By staying on top of these changes, businesses can avoid surprises and make smarter choices for the future.

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Hilton Jones is the trading name of Hilton Jones Limited, a company registered in England & Wales. Company Registration No: 7201503.

Registered Office: Hollinwood Business Centre, Albert Street, Oldham, Lancashire. OL8 3QL.

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