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PERMITS, SERVICE AREAS, VEHICLE TYPES: Government begins to set out next phase for driverless taxi and private hire services



A Department for Transport (DfT) Minister has confirmed that driverless taxis and private hire services could be operating on UK roads as early as spring 2026, under new plans to trial automated passenger services.


Responding to a question in the House of Lords, Lord Hendy said that while there are currently no fully driverless vehicles on the road, trials involving safety drivers are ongoing under a formal Code of Practice. These trials have included Government-funded projects in Cambridge and at the National Exhibition Centre, with a completed shuttle service also tested in Sunderland.

The next phase focuses on introducing driverless services that resemble taxi and private hire operations. These services would be made possible under the Automated Vehicles Act 2024, which provides a legal framework for the commercial use of automated transport.


The Government aims to launch early pilots of automated passenger services from spring 2026. These pilots could include point-to-point services ‘similar’ to taxis and PHVs, subject to technical and safety approvals and local licensing authority consent.

Permits will be required before any deployment. These permits will include terms on vehicle type, service area, duration, and number of vehicles. Any failure to meet the conditions could result in a suspension or withdrawal of permission.


The Department also confirmed that local taxi licensing authorities will play a key role in assessing and approving any automated service that operates in their area. This ensures that new driverless models will be introduced alongside existing regulatory frameworks.


The permitting process will allow controlled trials to inform the final regulatory model, which the Government intends to finalise by the second half of 2027.

Lord Hendy said: “Currently there are no automated vehicles on UK roads operating without a safety driver. There are, however, several organisations who have tested, or are at present testing, vehicles with a safety driver under our existing ‘Code of Practice: automated vehicle trialling’. The Code of Practice is available to support those planning to undertake a trial of automated vehicle technology with a safety driver and sets out their legal responsibilities.


“Some of these trials have been, and currently are, Government funded including projects operating at the National Exhibition Centre and in Cambridge from park & ride sites to the Biomedical Campus. A recently completed CCAV funded project also saw a shuttle service operating in Sunderland, linking the city to the hospital.

“The Government announced on 10 June that it will accelerate the timeline for the introduction of Automated Passenger Services (APS) regulations, as set out in part 5 of the Automated Vehicles (AV) Act 2024, subject to the outcome of a consultation later this summer. These regulations will help facilitate early commercial pilots of automated passenger services, which could include those that are taxi-and private hire-like in England and bus-like in GB from spring 2026. These pilots will drive innovation, attract investment, and help shape the final automated vehicles framework, which we aim to have in place by the second half of 2027.


“APS pilots will be subject to the vehicle passing all relevant technical and safety approvals and local licensing authority (including taxi licensing authority for taxi like services) or bus franchising body consent being secured before any deployment can take place. Permits issued to enable deployments will include conditions for the service, which could include, for example: the number of vehicles, the type of vehicles, and the period for which the permit is granted for. If these conditions are not adhered to, the permit may be suspended or withdrawn.


“The Secretary of State must also consider whether and to what extent granting a permit for an automated passenger service is likely to help improve understanding of how these services should best be designed for and provided to disabled and older passengers. Accessibility considerations will be set out in non-statutory guidance and related permit conditions can be enforced through the permitting process.”


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