Explanatory note

These Regulations make new provisions, to replace those contained in the Retention of Registration Marks Regulations 1992, for a person in whose name a vehicle is registered to be granted a right to have the registration mark which is assigned to the vehicle assigned to another vehicle which is registered in the name of that person or of that person’s nominee.

Under the new provisions, the fee payable in respect of an application for the grant of a right of retention will be £25 and a sum equal to the amount of the charge which could have been made under section 12(1) of the Finance Act 1976 on an assignment of a mark. That sum will be payable when the application for the grant of the right of retention is made and not, as under the present regulations, at the time when the registration mark is assigned to the vehicle. Provision is made for a refund of that sum where a right of retention is revoked or where the period in which the right could have been exercised has expired.

Under the new provisions the period in which the right of retention may be exercised (one year starting with the date on which the retention document is issued) may be extended on one or more occasions. Each extension will be for one year starting with the date on which the right would otherwise have ceased to be exercisable. A fee of £25 is prescribed in respect of an application for an extension of a right of retention.

Any sum of £25 mentioned above may be retained whether or not the application in respect of which it is paid is granted.