News

Government confirms subscription contracts regime

Published
07 Apr 26

The Department for Business and Trade (DBT) has published new measures that will impact subscription services, including models that offer access to vehicles. The publication is in response to a recent consultation on the implementation of a new subscription contracts regime, with new measures set to be introduced through secondary legislation.

The BVRLA engaged with the consultation, highlighting the complexity of vehicle subscription models and the nuances faced by rental providers. The government has confirmed that no sector-specific exemptions or carve-outs will be introduced for vehicle hire, although further guidance is expected to reflect the operational challenges identified.

The new regime is due to be introduced in Spring 2027 and will apply to businesses offering subscription-based services. Members offering vehicle subscriptions will need to ensure they are prepared to comply with the new requirements, while those operating rental models should review their agreements to ensure they do not fall within scope unintentionally.

The BVRLA will continue to engage with government as the framework develops and will provide further guidance to support members ahead of implementation.

Members with questions should email [email protected].

Consultation on the implementation of the new subscription contracts regime - GOV.UK