Four policy actions to support the UK’s Automated Vehicles sector
We are pleased to have collaborated with The Society of Motor Manufacturers and Traders (SMMT) to develop four policy actions that the new Government should undertake to support and drive forward to the UK’s AV sector.
In a joint policy paper, we explain the potential for AVs to enhance road safety, drive economic growth, and contribute to environmental sustainability. According to the SMMT research, AVs are projected to save 3,900 lives and prevent 60,000 serious accidents by 2040, while supporting the transition to a clean energy superpower by improving traffic efficiency, air quality, and reducing carbon emissions.
Download the full paper here or read our summary below.
The Automated Vehicles Act, developed with extensive input from various sectors and stakeholders, provides a foundational legislative framework for AVs. This legislation promises to revolutionise transportation and industrial operations, potentially delivering annual economic benefits of up to £66 billion by 2040 and creating an estimated 342,000 additional jobs. To realise these benefits, four key policy actions for the new Government have emerged as critical next steps.
Key Actions for the New Government
Action 1: Establish a Full Regulatory System through Secondary Legislation
The Automated Vehicles Act outlines the basic legislative framework, but secondary legislation is essential for realising the benefits of AVs. The new government should prioritise the development and consultation of these regulations to ensure the commercial deployment of AVs by 2026. This involves extensive engagement with industry, road user groups, and the public, as well as collaboration with local authorities for specific use cases. Timely development of secondary legislation is crucial to maintain the UK's competitiveness in the global AV market.
Next Step:
Launch public consultations to develop secondary legislation and statutory guidance.
Action 2: Develop a Mechanism for Legal Certainty and Guidance for Advanced Trials
Advanced trials of AVs, which are necessary for progressing towards full commercial deployment, are currently not feasible under existing laws. The Government should explore legal mechanisms, including utilising the Automated Vehicles Act, amending the Code of Practice for AV Trialling, or introducing special regulations to enable these trials. This will allow businesses to explore commercial models and advance towards deployment by 2026.
Next Step:
Convene industry representatives to develop an optimal legal mechanism for advanced trialling.
Action 3: Position the UK as an International Leader in Harmonised AV Regulation
The Automated Vehicles Act is recognised globally as an innovative approach to AV regulation. The Department for Transport should leverage this reputation to influence international frameworks, ensuring they align with the UK’s regulatory approach. Harmonising technical regulations internationally will reduce costs, enhance market speed, and promote cross-border trade, preventing the drawbacks of divergent national regulations.
Next Step:
Use the UK’s international leadership to align technical regulations at global forums like the UN’s Working Party on Automated/Autonomous and Connected Vehicles (GRVA).
Action 4: Unlock the Potential of the UK’s AV Manufacturing Sector
To remove obstacles to the commercial deployment of AVs, the Government should financially support the development of a British AV supply chain. Specifically, funding should be directed towards developing native drive-by-wire electric vehicle platforms, which are crucial for scaling AV technology. Government support can mitigate the high risks associated with this development, fostering significant growth in the AV manufacturing sector, potentially creating up to 12,250 jobs by 2040.
Next Step:
Allocate a substantial portion of the ‘CAM Pathfinder’ funding (up to £150 million) for developing and manufacturing native drive-by-wire electric vehicle platforms.
Conclusion
By taking these strategic actions, the new government can ensure the UK remains at the forefront of AV development and deployment, setting a global standard and reaping the associated economic, safety, and environmental benefits. Collaboration with industry, stakeholders, and international bodies will be key to achieving these goals and maintaining the UK’s leadership in this transformative sector.
Through our Self-Driving Vehicles Working Group, techUK will continue to be a vocal advocate for the potential for AVs to deliver significant benefits for the UK and work closely with partners across the sector in set the optimal regulatory and commercial conditions for the industry to scale.
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