Are drivers taking cars off the road to save money during the cost-of-living crisis?

Will drivers take cars off the road to save money during the cost of living crisis? October sees a huge jump in SORN filings – the same month inflation hit a 41-year high

  • In 2022, approximately 2.7 million vehicles were officially declared as SORN in the UK
  • October – the month in which inflation rose to a four-decade high of 11.1% – saw the biggest increase in requests to take cars off the road

A new report has linked the rising cost of living to a huge rise in the number of drivers taking their cars off the road.

In 2022, approximately 2.7 million vehicles were officially declared as SORN in the UK.

By doing this, owners cannot drive their vehicles and must park them on private property, in turn avoiding having to pay car insurance and taxes.

And data shows that October — the month in which inflation rose to its highest point in 41 years — saw a massive 77 percent increase in SORN filings, with experts believing Britons were choosing to take cars off the road to raise money. savings, as household finances came under pressure intensified.

SORN to save money: DVLA figures show there was a huge increase in the number of vehicles declared off the road in October. It was also the month in which inflation reached 11.1% – the highest level in 41 years

SORN stands for Statutory Off Road Notification and is a legal process between a driver and the Driver and Vehicle Licensing Agency (DVLA).

Rules stipulate that by requesting a motorcycle from SORN you undertake not to keep or use it on public roads.

This means keeping it in a garage, driveway or private property to avoid paying insurance premiums, road tax or MOT certificate.

The last time there was a significant increase in SORN applications was at the start of the pandemic in early 2020, when drivers chose to take their cars off the road while travel restrictions were in place to prevent the spread of Covid-19 .

However, new DVLA data obtained by comparison website Confused.com shows that there was a big surge in SORN applications in October, with some 297,770 registered in the month.

That compared to just 167,383 in July — a 77 percent monthly increase.

This is the largest increase ever seen in the past four years, according to historical data from the DVLA.

It came in the same month that UK inflation rose to a 41-year high of 11.1 per cent, beating expectations as food, transport and energy prices continued to weigh on households and businesses.

While declaring a car off the road can save motorists up to £400 a month (according to Confused.com), if you're caught using the vehicle you could be prosecuted and fined up to £2,500

While declaring a car off the road can save motorists up to £400 a month (according to Confused.com), if you’re caught using the vehicle you could be prosecuted and fined up to £2,500

Of course, Confused says the link between the rise in SORN applicants and the rise in the cost of living is more than a coincidence and it surveyed 2,000 UK drivers about their attitudes about taking their cars off the road to save money.

According to the survey, one in 10 motorists said they have considered declaring their car as a SORN, the main reason – accounting for 53 percent of the vote – being to save money.

This was followed by not being able to make payments (34 percent) and not driving enough to justify using the car (30 percent).

When you need to SORN a vehicle

You must create a SORN in one of the following situations:

  • your vehicle is not taxed your vehicle is not insured (not even for a short time, for example because there is a delay in renewing your policy)
  • you want to break down a vehicle for parts before scrapping it
  • you buy or acquire a vehicle and want to keep it off the road (you cannot transfer a SORN from the previous holder)

The poll also found that more than one in five (23 percent) have previously declared their car off-road.

The data suggests that financial uncertainty may have been the biggest driver for job applications in recent years, particularly in the wake of Britons job losses and furloughs during the Covid pandemic.

About 43 percent of those who said they applied for a vehicle from SORN had it processed between 2020 and 2023.

The comparison website said the savings from taking a car off the road could be as much as £400 a month – a huge sum for those struggling financially.

However, for those who try to cheat the system and think they can get away with driving a SORN engine, if caught they could be prosecuted and fined up to £2,500.

Commenting on the link between the increase in the number of vehicles taken off the road in October and cost-of-living pressures, Confused.com auto insurance expert Louise Thomas said: “The number of SORN applications has reached record numbers since the Covid-19 pandemic. And with 2.7 million applications registered last year, it is clear that some drivers are getting into financial difficulties due to the cost of living.’

She adds that a SORN application should be a “last resort” to save money, especially for those who rely on a vehicle for chores and commutes.

‘Although declaring your vehicle off-road seems like a cheaper alternative, it’s not always the best solution.

“Once a car is registered as SORN, you are not allowed to drive it, and the consequences can be costly. That is why drivers must weigh all options before going through the legal process with the DVLA.’