Self-driving vehicles: A reality not too far in the future
The UK’s Transport Secretary, Heidi Alexander, has confirmed that the UK government will fast-track the introduction of commercial level 4 self-driving cars on England’s roads to spring 2026 (the “Initiative”, details of which can be found here). Firms will be able to pilot small scale ‘taxi-and bus-like’ services without a human driver for the first time, which customers will be able to book via an app.
Background
The UK is already home to a flourishing self-driving sector. Our Law-Now last July covered the important milestone of the granting of Royal Assent for the Automated Vehicles Act 2024 (the “AVA”), which provides a legal framework for the safe deployment and operation of self-driving vehicles on public roads in Great Britain (this Act is expected to be fully implemented in 2027).
Self-driving trials have been underway since 2015, with British companies Wayve and Oxa leading the way. Wayve has secured over $1 billion in investment and has recently partnered with Nissan and Uber. Meanwhile, Oxa has supported 'bus-like' services in the US and has begun deploying self-driving vehicles at Heathrow Airport to enhance baggage handling operations.
Launched during London Tech Week, the Initiative is part of the Department for Transport's (the “DfT”) Transport AI Action Plan (the “Action Plan”). The Action Plan outlines how the government is leveraging AI to drive economic growth, reduce traffic congestion, and enhance transport for everyone. To achieve this objective, the DfT and the transport sector aim to collaborate with one another to strengthen DfT’s digital capabilities by embedding AI across its policy and delivery functions, and using AI for smarter railway timetabling, predictive maintenance and inspection of railway infrastructure. Since the Initiative’s announcement, suppliers of self-driving cars have expressed their support for the Initiative. Sarfraz Maredia, Head of Autonomous Mobility and Delivery at Uber, stated: “We welcome the UK government’s continued legislation on AV regulation, and today’s announcement marks a significant step towards bringing autonomous services to the UK.”
Initiative’s aims
Innovation, world-leading regulation, and road safety are the core focuses of the Initiative. It is expected that the timeline for the Automated Vehicles (Permits for Automated Passenger Services) Regulations 2026 (a statutory instrument passed pursuant to the AVA) will be accelerated, subject to the outcome of the open consultation, which runs until 28 September 2025. The Automated Passenger Services (“APS”) permitting scheme will provide a clear legal roadmap to the deployment of commercial automated passenger services, paving the way for operators to enter the UK market (Automated passenger services (APS) permitting scheme consultation). Alongside the open consultation on the Automated Passenger Services Regulation, the DfT has published a call for evidence on the Statement of Safety Principles, which outlines the expected safety performance of self-driving vehicles, thereby underpinning the AVA. The call for evidence on the Statement of Safety Principles runs until 1 September 2025.
Alongside the acceleration of the regulations, the Initiative will support the government in achieving its Plan for Change by creating 38,000 jobs, attracting investment into British engineering, and establishing an industry valued at £42 billion by 2035. In her statement introducing the Initiative, Heidi Alexander mentioned that “the future of transport is arriving. Self-driving cars could bring jobs, investment, and the opportunity for the UK to be among the world leaders in new technology.”
To further enhance public confidence in self-driving vehicles, the Initiative aims to promote road safety. With faster reaction times than humans and training on numerous driving scenarios, self-driving vehicles can help reduce accidents. For instance, research from the University of Central Florida has shown that self-driving vehicles are involved in fewer accidents than human-driven cars (Sky News). Additionally, the AVA will require self-driving vehicles to “achieve a level of safety equivalent to, or higher than, that of careful and competent human drivers” (Part 1, Chapter 1, paragraph 2 of the Automated Vehicles Act 2024).
Opportunities for businesses
The Initiative presents numerous opportunities for businesses, particularly the suppliers of self-driving vehicles. It has the potential to create jobs across various sectors, including technology, manufacturing, and software development. In addition to these growth opportunities, the Initiative encourages collaboration among various stakeholders within the self-driving vehicle supply chain. For instance, Waymo and Toyota Motor Corporation have reached a preliminary agreement to expedite the development and deployment of autonomous driving technologies. Further details on the agreement can be found here. Since the Initiative’s announcement, an increase in such partnership agreements is anticipated as preparations for the piloting of self-driving vehicles on English roads continue.
CMS has extensive experience of supporting clients with their public policy advocacy, including advising on draft legislation, contributing to public consultations, and responding to calls for evidence.
In addition, as a full-service international law firm, CMS is well-equipped to advise industry stakeholders on their assessment of how the Initiative will impact their operations. This includes advising on the establishment of strategic partnerships with other commercial parties to maximise the business opportunities presented by this rapidly growing industry.
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