Quick Read
- New Zealand government confirms scrapping the second practical driver’s test for a full licence.
- The total cost of obtaining a Class 1 (car) licence will decrease by $80, from $362.50 to $282.50.
- For drivers under 25, the learner licence period will double from 6 to 12 months.
- The zero-alcohol limit will be extended to all learner and restricted licence holders, regardless of age.
- Most changes are set to take effect from January 25, 2027.
WELLINGTON (Azat TV) – The New Zealand government has confirmed a significant overhaul of its graduated driver licensing system, announcing that the full practical driving test will be scrapped and the overall cost of obtaining a full Class 1 (car) licence will decrease by $80. While these changes aim to make the process more accessible and affordable, they come with new requirements, particularly for younger drivers, including extended learner periods and an expanded zero-alcohol limit for all learner and restricted licence holders. These reforms, the first major updates to the system since 2011, are set to take effect from January 25, 2027, following extensive public consultation.
Significant Cost Reduction and Test Removal
Under the confirmed changes, the total cost for a Class 1 car licence will drop from $362.50 to $282.50. This reduction is primarily due to the full licence application fee falling from $98.90 to $25.90, reflecting the removal of the second practical test. Transport Minister Chris Bishop’s office confirmed that this move aligns New Zealand with most comparable countries that do not require an additional practical test for progression to a full licence, instead relying on supervised hours or professional training.
Minister Bishop stated that the decision to remove the second practical test reduces costs and simplifies the progression to a full licence, provided drivers maintain safe driving behaviour while on their restricted licence. The changes apply specifically to Class 1 (car) licences, with no alterations to processes for overseas or senior drivers.
Extended Learner Periods and Enhanced Safety Measures
While the full licence test is being removed, the new system introduces stricter conditions for younger drivers. Individuals under 25 will now be required to spend 12 months on their learner licence, double the current six-month period. This can be reduced, however, by logging supervised practice hours or completing an approved driving course. The restricted licence period for under-25s will also be set at 12 months, and completing a defensive driving course will no longer shorten this period. Furthermore, restricted licence holders who accrue demerit points will see their restricted period extended by an additional six months.
A significant safety enhancement is the extension of the zero-alcohol limit, which currently applies to drivers under 20, to all learner and restricted licence holders, regardless of age. This particular change will require legislative amendments and is expected to come into effect at a later, unspecified date. According to Minister Bishop, these adjustments to learner and restricted periods are designed to help young drivers gain more experience early on, without necessarily extending their overall time within the graduated licensing system.
Broader System Reforms for Driver Training and Oversight
Beyond the core licence progression changes, the overhaul includes several other systemic adjustments. Eyesight checks will be streamlined, required only at the initial licence application and subsequent renewals, rather than at each licence stage. This applies to both Class 1 (car) and Class 6 (motorcycle) licences. The hazard perception test, previously part of the full licence assessment, will now be incorporated into the restricted licence test.
Waka Kotahi NZTA, New Zealand’s transport agency, will also gain new powers to oversee and suspend driver training course providers, aiming to ensure quality and consistency across the sector. NZTA will also be tasked with reviewing the existing learner and restricted tests to ensure they remain ‘fit for purpose’ in the updated system.
Balancing Accessibility with Road Safety Goals
The changes follow a public consultation process in 2025 that generated over 4100 submissions. Minister Bishop emphasized that the refined proposals strike a critical balance between cost, efficiency, and road safety, stating that drivers are still expected to demonstrate safe and responsible behaviour, including maintaining a clean demerit record, before progressing to a full licence.
The Automobile Association (AA) welcomed the licensing overhaul, with AA road safety spokesperson Dylan Thomsen noting that the overall package ‘struck a good balance.’ Thomsen highlighted that extending the default learner period, combined with incentives for practical experience or professional training, offers young drivers a better chance to develop essential skills and judgment for road safety. He also noted that bringing New Zealand in line with international approaches that prioritize supervised hours and training over a second practical test is a sensible move.
The Ministry of Social Development also plays a role in driver licensing, with its Driver Licence Support programme helping jobseekers obtain licences, recognizing that approximately 70% of jobs require one. Social Development Minister Louise Upston underscored the importance of such investment, stating these programmes contribute to ‘safer and stronger families and communities.’ The Ministry of Transport is expected to review the impact of these changes on road safety and employment outcomes three years after implementation.
The government’s decision reflects a strategic pivot towards a more experience-based licensing model, aiming to alleviate financial burdens while simultaneously enhancing driver competency through extended foundational learning periods and stricter initial safety parameters.

