Top storiesNew ZealandPoliticsBusinessEntertainmentSportsWorld

Full licence test to be scrapped under major NZ driving law changes

Tuesday, 3 February 2026

Drivers will soon no longer need to sit a practical test to move from a restricted to full licence, under changes being made to the Graduated Driver Licensing System.

Drivers will soon no longer need to sit a practical test to move from a restricted to full licence, under changes being made to the Graduated Driver Licensing System.

“Internationally, New Zealand is an outlier in requiring a second practical driving test when moving from a restricted licence to a full licence,” Transport Minister Chris Bishop said in a statement announcing the change that would take effect from 25 January, 2027.

“Removing the second practical test reduces costs and makes it easier to progress to a full licence, provided drivers demonstrate safe driving behaviour while on their restricted licence,” Bishop said.

“Changes to the learner and restricted periods will support young drivers to gain more experience early on, without extending the overall time they spend in the system.”

The AA was broadly supportive of the changes, saying in a statement they “hoped the changes will be a positive and balanced step forward for road safety, placing greater emphasis on experience, skill development and safer driving habits before young people begin driving solo”.

“The Government wanted to make it cheaper and easier for people to get to a full licence, and the removal of the full test will achieve that – and they have listened to the sector to introduce other changes which will hopefully lead to better prepared, safer young drivers as well,” AA road safety spokesperson Dylan Thomsen said.

“The overall package of changes strike a good balance in the AA’s view.”

Roadmap showing the process to get a car licence from 25 January 2027.
Roadmap showing the process to get a car licence from 25 January 2027.

The changes being made were:

Minister of Transport Chris Bishop and Minister of Social Development and Employment Louise Upston at the announcement for the abolition of the practical test for a full driver
Minister of Transport Chris Bishop and Minister of Social Development and Employment Louise Upston at the announcement for the abolition of the practical test for a full driver's licence, at On Demand Training in Auckland, on 3 February, 2026.

Cost savings when learning to drive

In its announcement of the driver licensing rule changes, the Government emphasised value for money for the community, explaining acquiring a licence would cost less.

“Under the current system, the total cost of getting a Class 1 car licence is $362.50. Under the new system, the total cost will be $282.50, a saving of $80,” Bishop said.

“These changes strike the right balance between cost, efficiency, and road safety.

“Drivers are still expected to prove they can drive safely and responsibly, including maintaining a clean demerit record, before progressing to a full licence.

Minister of Social Development and Employment Louise Upston, and Minister of Transport Chris Bishop (right), sit with a young person studying to pass their learner licence test, at On Demand Training, in Auckland, on 3 February, 2026.
Minister of Social Development and Employment Louise Upston, and Minister of Transport Chris Bishop (right), sit with a young person studying to pass their learner licence test, at On Demand Training, in Auckland, on 3 February, 2026.

“The new system will take effect from 25 January 2027. Until then, people will continue to follow the current licensing requirements.”

Road to law change

Bishop said in a statement the changes to the Graduated Driver Licensing System were “informed by public consultation in 2025 and refined to ensure the system strikes the right balance between access and safety”.

“Over 4100 submissions were received during that consultation, showing overall support for the proposed changes,” Bishop said in the statement.

“The Government carefully considered the feedback from submitters and agreed to a number of refinements to the original proposals, including extending the learner period, extending the restricted period by six months for drivers who get demerit points rather than resetting it entirely, and keeping the existing demerit threshold for licence suspension for restricted drivers.

“These changes strike the right balance between cost, efficiency, and road safety,” Bishop said.

“Drivers are still expected to prove they can drive safely and responsibly, including maintaining a clean demerit record, before progressing to a full licence.”

Bishop said at the announcement it was the “most significant change to the system since 2011”.

“This affects many, many millions of New Zealanders. Obviously, we wanted to take the time to get it right, and it's not something that you do every year.

“I think this strikes the right balance between cost efficiency and safety.”

A recent AA Research Foundation survey found around half of drivers under 25 had less than 40 hours of practice before sitting their restricted test, with nearly one in five reporting fewer than 15 hours, a statement from the organisation said.

“Most comparable countries have automatic progression to a full licence but require learner drivers to log a minimum number of supervised hours, complete professional training, or both. Bringing New Zealand more into line with these proven approaches is a sensible move,” AA road safety spokesperson Dylan Thomsen said.

Driver Licence Support ‘changing lives’

As part of the announcement on Tuesday, Minister of Social Development and Employment Louise Upston explained the benefit of the Driver Licence Support programme.

“Around 70% of jobs require a person to have a driver licence, reinforcing the importance of the Government’s investment in driver licence training,” Upston said in a statment.

“In the last year, MSD’s Driver Licence Support programme has secured 21,063 enrolments, ahead of the 19,000 placement target.

“We know getting a driver’s licence can change a life, as it has in the case of a young Auckland woman on Jobseeker Support. The case manager suggested she consider applying for a job in traffic management, but that relied on her having a driver licence.

“The woman started driving lessons with the support of the programme and soon after was able to sit and pass her restricted licence, then starting a job as a traffic controller with Fulton Hogan.

“The driver licence was the key to her getting the job and starting an independent life. In other examples, people have been able to get jobs with shift work because of having a driver licence or take a rurally-based job on a farm because they can now drive there.

“We know that a challenging employment environment has made things difficult for job seekers.

“We hear many successful stories of how a driver licence has been a turning point in contributing to a change in circumstances – getting a job, being able to care for and support family, and driving legally.”