Self-driving vehicles could be on the roads of the UK in as little as two years, according to the former Transport Secretary, Mark Harper, following the passing of the Automated Vehicles Act 2024. This new legislation provides a comprehensive roadmap (pardon the pun) for automated vehicles (AVs) to be introduced on mass to the UK's road network within a short timeframe. Importantly, it is a framework piece of legislation focussed on establishing the key principles, powers and standards for regulating AVs, whilst leaving the majority of the finer details to secondary legislation.
The purpose of the Automated Vehicles Act 2024 is to improve road safety across the UK, whilst at the same time unlocking the economic potential of this new automative technology.
So what does the Automated Vehicles Act 2024 cover?
The Automated Vehicles Act 2024 (the "Act") builds upon Law Commission proposals and previous legislation, such as the Automated and Electric Vehicles Act 2018, to create a more detailed and modern legal framework.
The Act narrates the key principles, expectations and framework underpinning the future licensing of self-driving vehicles in the UK. There will be a strict licensing regime and all AVs will be required to demonstrate adherence to certain safety standards, before being allowed on the roads. There is also a focus on enforcement and sanctions that will be undertaken or imposed on the entities responsible for AV failures to comply with relevant regulations.
The Act introduces new legal concepts detailing: (i) the point at which a human is no longer in charge of their vehicle and (ii) those entities who are ultimately responsible for the actions of an AV when it is in "autonomous" mode. Companies, likely the car manufacturers themselves or in some scenarios software developers, will be responsible for how the AV drives and for paying damages in the event of an accident. Each AV will be required to undertake a self-driving test and demonstrate that it can adhere to the required safety standard, equivalent to that of a careful and competent human driver.
The Act expands on previous insurance mandates by requiring all AVs to carry insurance policies that cover both the vehicle and its autonomous functions. This ensures that in the event of an accident, victims are compensated regardless of whether the vehicle was in autonomous or manual mode. The Act further provides for the modification of road traffic offences, so that they apply in the context of self-driving vehicles as they would apply where a human was driving. There will be new sanctions and penalties, including fines, requirements to take corrective action, suspension of operation and criminal offences in serious cases.
Finally, strict rules on how vehicles may be advertised in relation to automation are incorporated within the Act. It will be an offence to use certain words, expressions, symbols, or marks, likely terms including "self-driving", "autonomous" etc., for vehicles that have not yet been authorised or licensed as such. There are also restrictions on the overall presentation of marketing communications to limit confusion regarding the varying degrees of autonomous capabilities.
The Act provides the powers for "the appropriate national authority" to grant permits for Automated Passenger Services (APS) e.g. automated bus and taxi services. For bus and taxi APS, secondary consent is required from the local licensing authority responsible for local transport, within the particular area in which the APS intends to operate.
What is the significance for stakeholders?
The Act has wide-ranging implications for various stakeholders, including manufacturers, suppliers, insurers, the general public and local authorities.
Manufacturers will need to have an in-depth understanding of the future authorisation process facilitated by the Act and the safety standards that they must adhere to in the development of their AVs. In the short term, it is paramount for them to engage in the government's consultations on the principles of safety for AVs. Their unique perspective of the technology will be invaluable in determining how safety standards should be applied to real world scenarios. Furthermore, Manufacturers will need to understand and comply with the new marketing regulations for AVs.
Suppliers of component parts will need to understand the flow down of liability in their contracts to ensure they are comfortable with their risk exposure when engaging with car manufacturers.
Insurers will need to develop a whole new range of liability coverage for AVs. Furthermore, they will need new models of risk assessment and procedures specific to handling insurance claims relating to AVs.
The general public will need to have a basic understanding of the proposed licensing regime and the new road traffic offences created by the Act.
Local Authorities should understand their statutory powers in respect of Automated Passenger Services.
What does this mean in Scotland?
Scotland cemented its position as one of the leading jurisdictions for self-driving vehicles when CAVForth introduced their self-driving bus service across the Forth Road Bridge in 2023. This service was one of the first of its kind in the world, requiring significant investment in related infrastructure and cross-sector support. Scotland's Secretary for Transport commented that the service had, "helped establish Scotland’s credentials in autonomous vehicle technology on the global stage".
Currently, although the automated features do the majority of the heavy lifting these buses still require drivers to be behind the wheel in order to take control in the event of an emergency, because the existing legal framework does not allow for self-driving entities to take responsibility in the event of an accident.
This is set to change following the passing of the Act and the secondary legislation which it will help bring in the not too distant future. The Act applies across England, Wales and Scotland, with the exception of certain road traffic offences and traffic authority reporting duties which do not extend to Scotland. It is likely that Scotland may soon become a hub for AVs, taking advantage of its existing investments into and trials of the technology.
What's next?
The new government has confirmed that it will issue a number of consultations on AVs throughout 2024 and 2025. It is anticipated that the aim of getting self-driving vehicles on the UK's roads by 2026 will be an ambitious timescale. Whilst the passing of the Act is a significant milestone, there remains a lot of work to be done before we encounter AVs on our morning commute.
If you are a stakeholder within the industry who would like to discuss the Automated Vehicles Act 2024 or AVs more generally, please get in touch with the contacts below or your usual Brodies contact.
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