Confirm the obligations that apply to your motor trade business are in place. Start with section 1, which applies to everyone, then complete every section that describes what you do — you may need more than one. Where a duty differs by nation, the item says so — check the position for where you operate.
Section 1 — Every motor trade business
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Pay the ICO data protection fee
Unless exempt, register and pay the ICO fee, and handle customer, finance and keeper data under the UK GDPR. Applies UK-wide.
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Avoid discrimination
Make sure your sales, service and employment policies comply with the Equality Act 2010 (Great Britain) or Northern Ireland equality law.
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Hold employers' liability insurance
At least £5 million cover from an authorised insurer if you employ anyone (Great Britain, with equivalent rules in Northern Ireland).
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Manage health and safety
Control the above-average risks of motor work — lifts and jacks, brake dust, spray paints, fuel and battery handling, tyre inflation. Health and Safety at Work etc. Act 1974 (Great Britain, with an equivalent in Northern Ireland).
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Assess fire safety
Carry out and maintain a fire risk assessment of workshops, showrooms, paint shops and parts stores (Fire Safety Order in England and Wales, with separate regimes in Scotland and Northern Ireland).
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Trade fairly
Sell goods and services that are of satisfactory quality, as described and fit for purpose, and never mislead customers. Consumer Rights Act 2015 and the DMCC Act 2024, enforced by Trading Standards. UK-wide.
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Meet your waste duty of care
Store controlled waste securely and transfer it only to an authorised carrier with a transfer note. Devolved regulators (EA, NRW, SEPA, NIEA).
Section 2 — Selling vehicles
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Do not mislead buyers
Be accurate about mileage, write-off/Cat S/N status, outstanding finance, keepers and accident history. The 30-day short-term right to reject applies to faulty vehicles. Cars and motorcycles alike.
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Display fuel and CO2 information on new cars
Show a fuel economy and CO2 label on or near each new passenger car and in promotional material.
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Get FCA authorisation if you arrange finance
Hire purchase, PCP, conditional sale or add-on insurance such as GAP is a regulated activity — be FCA-authorised or an appointed representative, and meet the Consumer Duty on commission disclosure. UK-wide.
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Type-approve vehicles you import or first-register
Each new vehicle needs GB type approval (or IVA) and a Certificate of Conformity before registration. Keep and produce the certificate. VCA is the GB approval authority.
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Supply heavy vehicles to construction-and-use standards
Lorries, buses, coaches and vans over 3.5t you supply must meet construction-and-use and type-approval standards. Operating them needs the buyer's own DVSA / Traffic Commissioner operator's licence — a downstream duty on the purchaser, not on you as the seller.
Section 3 — Repair and MOT
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Get DVSA approval before MOT testing
Only DVSA-approved Vehicle Testing Stations with an Authorised Examiner and Nominated Testers may test and issue certificates. Great Britain only — in Northern Ireland testing is run by the state DVA, so a garage cannot become a test station.
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Use F-gas certified technicians for air-conditioning
Recovering or recharging vehicle air-conditioning refrigerant requires the relevant F-gas qualification. EA enforces in GB. The F-gas Regulations (Northern Ireland) 2015 apply in Northern Ireland.
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Consign your hazardous waste correctly
Store waste oils, filters, brake fluid, batteries and airbags separately and move them by a registered carrier on a hazardous waste consignment note. Hazardous Waste (E&W) Regulations 2005, Special Waste Regulations / SEPA in Scotland, and Hazardous Waste Regulations (NI) 2005.
Section 4 — Parts and accessories
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Supply only compliant safety-critical parts
Brakes, tyres, lighting, towing components and glass must meet the relevant approval marks and standards. Do not place non-compliant or counterfeit parts on the market. OPSS and Trading Standards enforce. UK-wide.
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Take back waste batteries and electrical items
Offer in-store take-back of waste batteries and, depending on size, WEEE take-back of electrical items, passing them to authorised treatment.
Section 5 — Dismantling, salvage and scrap
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Hold an environmental permit and ATF status
Depolluting and scrapping end-of-life vehicles needs an environmental permit and Authorised Treatment Facility status. Only an ATF can issue the Certificate of Destruction. Devolved (EA, NRW, SEPA, NIEA).
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Get a scrap metal dealer licence
A site or collector's licence from the local authority, verifying seller identity, with no cash purchases. Scrap Metal Dealers Act 2013 in England and Wales, and Civic Government (Scotland) Act 1982 in Scotland.
Legal basis
Primary legislation and key regulations
Browse UK legislation (opens in a new tab) legislation.gov.ukOfficial guidance
Which motor trade rules apply to your business (opens in a new tab)
Run a compliant motor trade business (opens in a new tab)
Sell vehicles: rules for dealers (opens in a new tab)
Run a vehicle repair garage or MOT station (opens in a new tab)
Sell vehicle parts and accessories (opens in a new tab)
Run a vehicle dismantler or salvage business (opens in a new tab)