Punjab Proposes Major Hike in Vehicle Registration Fees

Vehicles and bike owners in Punjab could soon face heavier financial burdens, as the provincial government prepares to introduce substantial increases in vehicle registration charges in the upcoming budget for the fiscal year 2025–26.

According to insider sources, the Excise, Taxation, and Narcotics Control Department has submitted recommendations aimed at overhauling the existing fee structure. The proposed revisions are part of a broader effort to boost provincial revenue and enhance transparency in the registration process.

The proposed changes include:

• Cars up to 1000cc: Fee may rise from Rs. 1,200 to Rs. 5,000
• Cars from 1001cc to 1800cc: Proposed increase from Rs. 2,000 to Rs. 11,000
• Cars above 1800cc: Hike from Rs. 3,000 to Rs. 22,000
• Heavy Transport Vehicles (HTVs): Suggested jump from Rs. 4,000 to Rs. 11,000

Motorcycles are also on the radar for a fee hike, though specific figures will be disclosed once the budget is formally unveiled.

Public and Industry Reactions

The proposal has already stirred concern among the public. Many citizens believe that owning a vehicle in Pakistan is already costly, and such hikes will place further strain on household budgets.

Industry professionals are also wary, warning that higher fees could slow down vehicle sales and harm local car manufacturing, which is already under pressure from economic challenges.

Despite the backlash, government officials argue the changes are essential. They say the new measures are aimed at tightening financial discipline and reducing the incidence of fake vehicle registrations.

The final decision on the new fee structure will be taken during the Punjab cabinet meeting and budget session.