Government proposes driving licence fee reduction

The proposals are contained in a public consultation on driver licensing fees. The consultation sets out a proposed reduction in driving licence fees of 32 per cent for digital transactions and 15 per cent for paper applications.

As part of the proposals, drivers who apply online for their first driving licence would see the fee drop from £50 to £34. Drivers who renew their licence after 10 years would see the fee drop from £20 to £14. All driver tachograph cards would fall from £38 to £32.

Chief secretary to the Treasury, Danny Alexander said: “I have been working hard to drive savings across the whole public sector and it’s great to see the benefit of these efficiencies feed through to drivers and businesses pockets. What the DVLA have shown today is that you can do more for less.”

Transport minister Claire Perry said: “The cost of driving can be significant, especially for new drivers. I’m pleased to say that we are planning to save drivers £18m a year by cutting licence fees, thanks to the DVLA making significant savings to their running costs.”

The proposals are set to save drivers nearly £18 million and the industry around £2 million every year.