Self-driving vehicles could be on British roads by 2026, after the Government’s Automated Vehicles (AV) Act entered the statue books today.

Announced in the King’s Speech, the AV Act enables advanced technology to safely drive vehicles on British roads – and is predicted to have major benefits to road safety. Automated vehicles are expected to improve road safety by reducing human error, which contributes to 88% of road collisions.

The law will require self-driving vehicles to achieve a level of safety at least as high as careful and competent human drivers, as well as meeting rigorous safety checks before being allowed onto roads. Therefore, in the future deaths and injuries from drink driving, speeding, tiredness and inattention could be drastically reduced.

It could also deliver a major boost to the economy. According to the Society of Motor Manufacturers and Traders (SMMT), autonomous vehicles, which reduce the risk of human error, could save an additional 3,200 lives and prevent 53,000 serious accidents, from now until 2040, while providing a £38bn economic boost to Britain.

The Government said the passage of the Act bolsters the Britain’s position as a world leader in emerging industries, with both the self-driving vehicle and AI sectors bringing huge potential for economic growth as they develop. Self-driving vehicles could also support areas previously impacted by driver shortages, such as haulage, and where work can be dangerous, such as mining.

And self-driving vehicles could also improve mobility and access to services, reducing isolation and better connecting rural communities, boosting transport accessibility across the country.

Transport Secretary Mark Harper said: “Britain stands at the threshold of an automotive revolution, and this new law is a milestone moment for our self-driving industry which has the potential to change the way we travel forever.

“While this doesn’t take away people’s ability to choose to drive themselves, our landmark legislation means self-driving vehicles can be rolled out on British roads as soon as 2026, in a real boost to both safety and our economy.”

The AV Act follows self-driving trials already taking place across the country. For example, British businesses Wayve and Oxa are trialling self-driving cars in London and Oxford. Earlier this month, Wayve announced that it had secured more than $1bn in investment to develop its AI technology further in the UK – and said its technological advancements have been supported by the UK’s Code of Practice: Automated Vehicle Trialling, which sets out a clear framework to support and promote the safe trailing of self-driving vehicle technology.

The Government said the new act delivers the most comprehensive legal framework of its kind worldwide, setting out who is liable for AVs, meaning that drivers can be assured that while their vehicle is in self-driving mode, they will not be held responsible for how the vehicle drives. For the first time, corporations such as insurance providers, software developers and automotive manufacturers can assume this responsibility.

To ensure these vehicles are safe for British roads, the vehicle approval system will be supported by a completely independent incident investigation function – which the Government said would promote the same culture of learning and continuous improvement that has made the UK aviation industry one of the safest in the world. Companies will have ongoing obligations to keep their vehicles safe and ensure that they continue to drive in accordance with British laws.

Mike Hawes, chief executive of the SMMT, said: “This is a watershed moment for UK automotive innovation and road safety in the UK. Self-driving vehicles will revolutionise our society, and this new law will help turn ambition into reality, putting the UK alongside a handful of other global markets that already have their regulatory frameworks in place.

“The industry will continue its close collaboration with government and other stakeholders to develop the necessary secondary legislation that will enable the safe and responsible commercial rollout of self-driving vehicles and the significant social and economic benefits they will afford the UK.”

Richard Cuerden, director at the Transport Research Laboratory – a global centre for innovation in surface transport and mobility – welcomed the new Act.

“The automated technology, software and sensors, and the business models to deliver new services, are developing fast. By setting a regulatory framework, the Government is providing the industry with confidence and motivation to continue to, and we expect to increase investment in the UK, in this growing sector.”

And Brian Wong, partner at independent UK law firm Burges Salmon, also greeted the new law and also spotlighted the changes made since the introduction of the Automated Vehicles Bill to the House of Lords in November 2023.

“The main changes to the (now) Act relate to the Statement of Safety Principles, which now must be ‘framed with a view to securing that authorised automated vehicles will achieve a level of safety equivalent to, or higher than, that of careful and competent human drivers’. The Secretary of State must now also consult organisations that appear to them to represent the interests of AV manufacturers, road users, and road safety.”

He added: “Whilst it has now entered the statute books, much of the effect that we are anticipating the Act to have will have to wait for secondary legislation to take effect. The House of Lords noted that this raft of secondary legislation would be launched in ‘the coming months’, building the new regulatory framework ‘piece by piece’. This operation is likely to take well over 18 months to consult on and implement.”

Wong continued: “It will be of some assurance in an election year that the Act was passed with broad cross-party consensus and that there was alignment on the need to swiftly follow with work on secondary legislation.

“Overall, the passing of the Act is much-welcomed by the industry – largely due to it providing for the much-called for certainty that industry requires to press forward with their AV rollout plans in the UK with confidence.”