DVLA to retain services at local Post Offices


Post Office has signed a new contract with DVLA
This good news was released by the Post Office on 11th July 2023. News


FBHVC update
A detailed update was posted on the FBHVC on 27th February 2024. Update


Posted: 230315
DVLA to retain services at local Post Offices
DVLA reported on February 2024
that after protracted negotiations a new contract has been awarded by DVLA to the Post Office to continue providing certain DVLA services. The news is especially welcome for the historic vehicle community as two services - declaring a vehicle MOT exempt and applying to change the tax class to (free) Historic Vehicle status – can only be done at a Post Office, with no online or postal alternative.

The DVLA had previously said that it was not planning to renew its contract. The dispute is understood to have been around the price that Post Office Ltd wanted to charge for the service, and the amount that DVLA was willing to pay. Says Owen Woodley, Deputy CEO at the Post Office: "The negotiations haven’t been easy. Our aim throughout has been to ensure that Postmasters receive fair remuneration for DVLA transactions and that Post Office’s associated costs for providing the services are covered. I’m pleased that we have been able to achieve this." The new contract will start from 1st April 2024 and is for one year, with an option for a potential further two, one-year extentions.

The news is especially welcome for the Historic vehicle community as two services - declaring a vehicle MOT exempt and applying to change the tax class to the free Historic Vehicle status can only be done at a Post Office, with no online or postal alternative.

Under the new contract, customers can choose to visit relevant branches of the Post Office to tax a vehicle or renew a 10-year photo card driving licence. Unfortunately, International Driving Permits (IDP) are not included in the new contract and are subject to a separate ongoing procurement exercise, the outcome of which is expected in January 2024.

A spokesperson from the National Federation of Sub-Postmasters commented: "Vital services such as the DVLA need to remain within the Post Office network, and we have to thank everybody who has helped this decision come to fruition. More than 6 million people use Post Office network for accessing DVLA services each year, and essential local and central Government services need to be available to the general public. The Post Office network is the only infrastructure able to provide that and government needs to ensure these services are always available."

For more details, please see the link: https://www.gov.uk/guidance/dvla-services


Historic Vehicle Tax and MOT - the '40-year rule'
Please see the FBHVC guidance below - but note that once your vehicle passes '40 years old' you need to take specific actions to make changes for both the vehicle road tax (Vehicle Excise Duty - VED) and MOT, as they do not 'automatically' change. If you do nothing, you will continue to need to pay VED and obtain an annual MOT certificate, irrespective of the vehicle's age.

Also, note that there is not a direct connection between the criteria for registration in the ‘Historic’ tax class and hence exemption from VED, and the criteria to be considered as a Vehicle of Historic Interest (VHI) and thus qualify for MOT exemption. In fact, they are separate situations with no commonality other than '40 years' and even that is applied differently!

Is my vehicle exempt from vehicle tax?
A vehicle which has attained 40 years age, whilst being test exempt, will need to continue to pay vehicle excise duty in the 'private light goods' or other relevant tax class until April of the following year. You can tax your vehicle in the 'Historic vehicle' tax class from 1st April if your vehicle is recorded on the V5C registration certificate (log book) as "first registered" more than 40 years ago (i.e. 1983) and is one of the qualifying vehicles listed in the DVLA leaflet INF34. See INF34

The DVLA allows a few days grace at the year end for "first registered" dates up to and including 7th January 1984, to qualify to be tax exempt. Currently, a vehicle "first registered" on or prior to 7th January 1984, will be classed by the DVLA as having been built in 1983, therefore it is tax exempt from 1st April 2024.
DVLA leaflet INF34 gives further information

How do I apply for vehicle tax exemption?
Apply at a Post Office that deals with vehicle tax
You need to take:

> Log book (V5C) in your name.
> Your vehicle tax reminder letter (V11), if you have one.
> MOT certificate that’s valid when the tax starts, or the completed declaration form if your vehicle is exempt from an MOT test using DVLA form V112 or V112G (goods)
> Insurance certificate or cover note (only in Northern Ireland).

While most Post Office branches are familiar with the process, sometimes newer staff are not. If so, simply tell the counter clerk that you wish to change the tax class to 'Historic Vehicle'. They go into their system, select 'change tax class' and the system guides them through the process. They will keep the V5C you hand to them (you will be sent a replacement showing the new Historic tax class) and they should date-stamp your V112 and attach the receipt to it and return it to you as evidence, should you get stopped at the roadside.

In subsequent years a vehicle which is already in the Historic VED class can be taxed either online or at a post office.

Certain vehicles (principally former commercial vehicles which are in obsolete tax classes) seem to present a problem for post offices. In the case of these vehicles it may be necessary to send the V5C together with forms V10 and V112/V112G/or a MOT test certificate to the DVLA.

What happens next?

The Post Office sends your log book to DVLA.
You’ll get a confirmation from DVLA within 10 working days that the change has been made.
DVLA will send you an updated log book (V5C) within 4 weeks. You can still use your vehicle while your application is being processed. You will get a refund (by cheque) of any remaining full months of unexpired tax on a pro rata basis.

Is my vehicle exempt from MOT?
Vehicles generally become eligible for MOT exemption from the date they become 40 years old. If your vehicle (car/motorcycle/bus) has not been substantially altered according to the Department for Transport Guidance, it will be exempt from MOT. However, it is your responsibility to ensure it is kept fully roadworthy.

How do I exempt my vehicle from MOT? (cars/motorcycles/buses)
This is a self-declaration process to be carried out as part of annual licensing by DVLA by a keeper of a qualifying vehicle who does not wish to submit the vehicle to an MOT test. By making this simple declaration you are confirming that your vehicle is at least 40 years old and has not been substantially changed.

If your vehicle is eligible for MOT exemption you do not have to self declare it if you wish to continue having an annual MOT test. Many classic car owners feel it is prudent to continue having an annual test to ensure the vehicle is checked to be roadworthy. More

If your previous MOT has expired, you only need to declare your vehicle as MOT exempt at the point of taxation in one of the following two ways:

> Visit your Post Office with a completed V112 or V112G (for goods vehicles) form
or
> Tax your vehicle online using the number on the renewal notice mailed to you by DVLA. https://www.gov.uk/vehicle-tax