Britons are being warned of new driving law changes launching in August that could see them impacted by the car finance scandal or even save money on the price of a new electric vehicle.
Drivers can expect to see several rule changes being introduced over the coming weeks as the Supreme Court prepares to deliver a verdict that could impact millions of people.
With new rules being introduced over the coming weeks, GB News has rounded up the most important driving law changes in August 2025 that could impact you.
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Several vital driving law changes will be introduced over the coming weeks
Car finance
The Supreme Court is expected to make a bombshell announcement on Friday, August 1, regarding the future of a compensation scheme for people impacted by the car finance scandal.
The highest court in the UK will look at how lenders did not fully announce the terms of commission agreements, resulting in drivers paying more for their policies.
The verdict will decide whether a Court of Appeal ruling will be upheld or rejected, which could influence the future of a possible compensation scheme.
JUST IN: Drivers could lose billions in compensation from car finance scandal with verdict expected tomorrow
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The Supreme Court is expected to deliver a verdict on the car finance scandal on August 1
Analysts have recently slashed their predictions of how much a redress scheme could be worth, with original HSBC estimates suggesting it could cost lenders £44billion.
Martin Lewis said: “This decision could have ramifications across the economy, far beyond car finance.
“I suspect that’s why the Supreme Court has announced it’s working on it till the last possible minute to get this out before its ‘term closes’ (that and doing it once markets close).”
The Supreme Court will announce its decision at 4.35pm on August 1, with analysts suggesting the timing could be to avoid any turmoil in the financial markets.
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The Government is expected to publish a list of eligible vehicles for the Electric Car Grant in August
Electric cars
Following the announcement of the massive £650million Electric Car Grant in July, Labour is expected to announce which cars will be eligible for the scheme.
The ECG allows manufacturers to apply for the maximum discount of £3,750, which is passed on to drivers for EVs that cost less than £37,000.
While the move has generally been backed by the electric vehicle industry, there have been some concerns about the eligibility criteria and whether popular vehicles could be omitted.
BYD | BYD announced it would be opening its European HQ in Budapest, Hungary Future of Roads Minister Lilian Greenwood said it would be unlikely for Chinese brands to be eligible for the scheme amid environmental concerns.
She noted that since most Chinese factories rely on coal for power to produce electric vehicles, it would be counterintuitive to call the process environmentally friendly.
In response to the uncertainty, a number of brands have introduced their own EV grants, including Volvo, Hyundai, MG, Leapmotor, GWM and Smart.
Transport Secretary Heidi Alexander said: “This EV grant will not only allow people to keep more of their hard-earned money – it’ll help our automotive sector seize one of the biggest opportunities of the 21st century.”
READ MORE: BYD boss slams Labour’s electric car grant scheme as ‘stupid’ and warns UK car market will ‘suffer’
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The Congestion Charge consultation will end on August 4
Congestion Charge
Transport for London is expected to finalise its proposals to change the terms of the Congestion Charge, which could see the daily charge hiked to £18 from January next year.
Plans also include introducing a new Cleaner Vehicle Discount to offset charges added to electric cars when the current CVD expires on December 25, 2025.
TfL and the Mayor’s Office warn that an additional 2,200 vehicles would be seen across central London on an average weekday under a “no changes” scenario.
PA | Oxford’s Zero Emission Zone was launched in February 2022Zero Emission Zone
A planned increase in charges applied to Oxford’s Zero Emission Zone has been scrapped after councillors warned that drivers would be unfairly impacted amid “cost of living pressures”.
The move would have seen motorists charged at least £4 or as much as £20 per day for driving inside central Oxford had the changes gone ahead as planned in August.
Andrew Gant, cabinet member for transport, said: “There’s often a wider debate around transport policy and we are often accused [of] taking money off motorists and punishing motorists.”
