The number of people taking their driving test has dropped by 200,000 in the last five years. Fewer people who have passed their test have access to cars and those that do have access to a car are driving fewer miles. The problem is not only confined to the UK, young people are also driving less in other developed countries such as the US, Germany, and Japan. The high cost of taking a driving test has surely deterred some from taking their test, as well as the expense of running a car. Other factors could be young people’s changing relationship with cars, the increasing number of employment options that facilitate the working from home and the availability of public transport. Dr Tobias Kuhnimhof, an academic at the Institute for Mobility Research concluded that “More recently, there has been a strong indication of profound changes in the travel behaviour among young adults in industrialized countries with signs of decreasing car orientation and reduced overall travel”. The economic crisis has also had an effect on the number of young people learning to drive, as fewer jobs mean fewer teenagers and young adults have the financial means to run a car.
However, the cost to take a car or motorcycle theory test has dropped from £31 to £25 in October 2014 and is set to further reduce to £23 by October 2015. With the falling prices it is hoped that this will be an incentive for more young people to begin learning to drive, especially as fuel prices are also rapidly decreasing. Petrol and diesel prices in the UK are at their lowest levels in five years and supermarkets have been under pressure to pass savings onto drivers, with Asda claiming that since September of last year they have slashed the price of fuel fifteen times.
We’re interested to see how the impact of fewer young drivers will affect the motor trade industry. Tradex has been specialising in motor trade insurance for over 30 years.
If you are thinking of taking up private hire taxi driving as a full-time occupation, or even just part-time to generate some additional income, you will need private hire taxi insurance to protect both you and your business.
Car dealership has always been a lucrative sector of the UK motor trade and if you are looking to establish yourself as a new or second-hand seller of cars and vans, then it’s important that you know the rules and regulations regarding setting up and running your business.