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<p>The Driver and Vehicle Licensing Agency (DVLA) forecasts the full Agency costs
required to complete its activities and volumes stated in its Business Plan forecasts,
taking into account efficiency plans. Over time the costs of individual DVLA services
will change for many reasons including movement in volumes, digital channel take up
and mandatory legislative changes. For this reason it is not possible to forecast
the individual transaction costs for a year’s time in October 2018. However, in 2016/17,
the cost per digital driving licence renewal and provisional driving licence application
was £5.87 and £7.74 respectively.</p><p> </p><p>The fees received for DVLA’s Vehicle
Registration and Driver Licensing services are combined allowing the DVLA to recover
the full costs of its activities. This approach is provided for in legislation and
allows a range of both paper and digital transactions to be processed free of charge
for customers. For example, the DVLA does not charge customers to change their address
on its records as doing so may discourage people from informing of such changes which
could impact on the accuracy of the DVLA’s records.</p>
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