- 18 major UK businesses call for primary legislation for automated vehicles
- AXA, Wayve, Ocado and Virgin Group signatories to the letter which has been sent to Boris Johnson, Prime Minister
Major organisations from a broad range of industries have today signed a letter to the Prime Minister, urging the government to announce primary legislation for automated vehicles (AVs) in the upcoming Queen’s Speech.
AXA UK&I, Wayve, Ocado and Virgin Group are amongst the 18 businesses calling for a comprehensive legal framework for the safe and sustainable deployment of AVs. With economic and societal benefits, such as improved road safety and reduced emissions, creating a legal and regulatory framework is fundamental to ensuring the UK remains a leader in the development and introduction of AVs
Letter to the Prime Minister
Rt Hon Boris Johnson MP
Prime Minister
10 Downing Street
London
SW1A 2AA
cc: Grant Shapps, Secretary of State for Transport, Trudy Harrison MP, Parliamentary Under Secretary of State, Kwasi Kwarteng, Secretary for State for BEIS
21 April 2022
Primary Legislation for Automated Vehicles
Dear Prime Minister,
We write from across industry to highlight the benefits of automated vehicles (AVs) to the UK and call on the Government to announce primary legislation for Automated Vehicles in the upcoming Queen’s Speech. We welcome the extensive work of the Law Commissions of England and Wales, and Scotland, who have collaborated with industry to propose a comprehensive legal framework for the safe and sustainable deployment ofAVs.
The UK has a unique opportunity to be a global leader in the development and deployment of AVs, or self-driving vehicles. This technology is the most exciting innovation for transport in decades and has the potential to level-up every corner of the UK, improve the country’s productivity, create jobs, reduce emissions, improve road safety, and bolster opportunities everywhere.
The industry has the potential to unleash economic growth across the whole of the UK. The global market for AVs is predicted to be worth £650bn by 2035, of which the UK is estimated to gain £41.7bn, creating 49,000 highly skilled green jobs in 2035, and a further 23,000 jobs from AV technologies. There is also an export potential worth £10.9bn by 2035.1
Beyond the significant economic opportunity, this transition is essential to meet the Government’s Net Zero target. Self-driving electric vehicles could greatly reduce congestion, pollution and fuel consumption. In addition, they offer huge opportunities for an increase in safety and reduction in road deaths. Research shows that a shift to AVs could bring a 93% reduction in accidents by 2040. And since road accidents are the leading cause of death among those aged 15-29, many thousands of lives are likely to be saved.
We urge the Government to consider the benefit this can bring to people’s everyday lives across the country too. Automated mobility has the potential to better connect rural communities and provide people with better access to opportunities. For example, a visually impaired person who can’t drive or navigate public transport easily will be able to stay connected to their friends and family via a self-driving mobility service. AVs also mean goods, like our everyday groceries, can be moved around the country more efficiently and safely, supporting the green transition of the last-mile delivery market which is predicted to be worth £44bn by 2025.
It is crucial that we unlock this technology and create a safe regulatory framework for people across the UK. This is a critical year in the development of this technology, as we see more examples of AVs moving closer to deployment. The Government needs to introduce legislation this year, to ensure the UK remains a world leader in AVs, and continues attracting investment to the UK. We are aware that other countries are looking to legislate this year and we strongly recommend that the UK maintains its global stance in this industry.
We would be pleased to discuss any of the above and look forward to continued engagement with the Government as the regulatory framework for the safe use of self-driving technology evolves.
Yours Sincerely,
Claudio Gienal, CEO, AXA UK&I
Alex Kendall, Co-founder and CEO, Wayve
Josh Bayliss, CEO, Virgin Group
Prof. David Keene, CEO, Aurrigo
Cristina Nestares, UK CEO, Admiral
Matthew Avery, CEO, Thatcham Research
Julian Turner, CEO, Westfield Technology Group
Don Dhaliwal, CEO, Conigital Limited
Dom Hallas, Executive Director, Coadec
Tim Steiner OBE, CEO, Ocado Group
Brent Hoberman, Co-founder & Executive Chairman, firstminute capital
Sten Saar, CEO, Zego
Seth Winterroth, Partner, Eclipse Ventures
Andy Barker, COO, AECOM
Julian David, CEO, techUK
James Dalton, Director of General Insurance Policy, Association of British Insurers
Simon Gregg, Senior Vice President - E-Commerce, ASDA
Peter Singlehurst, head of private companies at Baillie Gifford
1 Connected Places Catapult market forecast for connected and autonomous vehicles
As one of the largest motor insurers, AXA is keen to support, promote and enable the take-up of automated technology on UK roads. Automated Vehicles would provide significant societal benefits, including safer, cleaner and more accessible roads and, via the development of the technology, would support SMEs scaling up and subsequently levelling-up throughout the UK.
However, the development of self-driving technology needs to be underpinned by a robust legal and regulatory framework, which prioritises the safety of all road users. With this letter, we are urging the Government to announce primary legislation for Automated Vehicles, ensuring safety remains at the heart of their development and deployment as well as advancing the benefits they bring to society.
Having been involved in this space for over eight years, AXA plans to continue to support the development of automated vehicles through their APPG on Connected and Automated Mobility as well as through work across various government-backed automated vehicle projects with the ABI and by providing advice on safety, regulation, liability and data.