Dealers selling re-plated vehicles will soon not need to prove the buyer's identity.

Re-plating is the process of physically exchanging the number plate so that the selling dealer's name is shown. Under the current Driver and Vehicle Licensing Agency (DVLA) regulations, dealers must obtain proof of identity for the buyer of a re-plated vehicle, and keep a record for three years for possible inspection by enforcement authorities.

The DVLA is expected to scrap the rule by September.

The new exemption does not apply when a motor dealer sells a number plate as a separate item. Dealers will still need to obtain and record purchaser details in this situation.

Alistair Manson, head of the Retail Motor Industry Federation's national franchised dealers’ association, says: “The RMI had called for the removal of the condition, as it unnecessarily hinders the sales process for dealers and consumers alike. We are delighted by the DVLA's decision.

“The list of documentation needed to prove entitlement and identification will be expanded, and will include documents which can be used for company identification.”