Under plans announced by Business Secretary Vince Cable, UK cities can now bid for a share of a £10m competition to host a driverless cars trial,

Up to three cities will be selected to host the trials from next year and each project is expected to last between 18 and 36 months and start in January 2015.

Ministers have also launched a review to look at current road regulations and ensure there is an appropriate regime for testing driverless cars in the UK. 

In response, BVRLA chief executive Gerry Keaney said: ‘This is welcome news, as driverless cars have the potential to reduce congestion, lower emissions and improve road safety. These are some of the biggest transport challenges facing the UK, so it’s great that the government is taking a lead in this area. The BVRLA is confident that the UK rental and leasing industry will play a vital role in delivering the benefits of these advancements to businesses and consumers.’ 

Keaney added: ‘It’s clearly very early days, but the right legislation and incentives could help our members add driverless vehicles to their fleets, enabling many people to have greater access to this technology.’