Explanatory Notes

Finance Act 2009

2009 CHAPTER 10

21 July 2009

Introduction

Section 120: Requirement to Destroy Registration Documents Which are Replaced

Summary

1.Section 120 amends Section 22(1) of the Vehicle Excise and Registration Act 1994 (VERA) and introduces a new subsection which allows the Secretary of State for Transport to make Regulations compelling the registered keeper of a vehicle to destroy an existing Vehicle Registration Certificate (V5C) once they have received an amended or updated document.

Details of the Section

2.The subsection introduces the amendments made to VERA by the section and inserts a new Section 22(1)(ha) into VERA which allows the Secretary of State for Transport to make Regulations requiring the destruction of a V5C where a new one is issued in place of it.

Background Note

3.Registered keepers of vehicles are issued with a V5C registration document by the Driver and Vehicle Licensing Agency (DVLA). The V5C contains vehicle information as well as the name and address of the person recorded as the registered keeper. Keepers are legally obliged to notify DVLA if any of the details on the V5C change. The only method currently available to motorists to notify such changes is to post the current V5C to DVLA. DVLA records the changes and issues a new V5C.

4.DVLA plans to increase the amount of services it offers electronically, in line with the general policy of modernising Government. This section will give DVLA the scope to develop a system for electronic notifications of changes in driver and vehicle details. Once these are in place motorists will be able to destroy a superseded V5C instead of having to return it to DVLA.

5.DVLA plans to consult with all interested parties, including the police, before the relevant regulations (The Road Vehicles (Registration and Licensing) Regulations 2002) are amended.