The organisation has been campaigning for the Department for Transport to axe the tax disc and said that it is obsolete now that vehicle tax records can be instantly be confirmed by accessing DVLA computers. The BVRLA added that the move brings the tax disc into line with insurance, which does not need to be displayed in the vehicle.

‘It is great that the Red Tape Challenge we participated in is continuing to bring results,’ said BVRLA chief executive, Gerry Keaney.

‘We estimate that removing this pointless piece of paper would save the government around £3m a year, and save fleet operators £10m as well.’

The BVRLA adds that since the DVLA closed down regional offices, the process for getting a tax disc had become quite difficult. Motorists and businesses were waiting weeks for the paper tax disc to arrive in the post – but now this process can be completed online.

The tax disc proposals were originally contained within a Department for Transport consultation on the future direction of the Driving Standards Agency, Driver and Vehicle Licensing Agency, Vehicle and Operator Services Agency and the Vehicle Certification Agency.

The BVRLA also welcomed the confirmation of the fuel duty freeze that had been announced in March’s Budget. This will save businesses and fleets an extra 3p per litre on petrol and diesel.