- The overhaul will reduce the cost of a full licence, but make it take longer to achieve.
- Zero-alcohol limit will apply to all drivers on learner and restricted licences, regardless of age.
- The new system kicks in on the 25th of January next year.
The New Zealand Government has confirmed a significant overhaul of the driver licensing system set to take effect on January 25, 2027, with the primary change being the total removal of the second practical test for those seeking a full licence.
Transport Minister Chris Bishop said that the changes are designed to make it significantly cheaper and easier to progress to a full licence while ensuring drivers demonstrate safe behaviour. The removal of the second practical test will reduce the overall cost of obtaining a class one car licence from $362.50 to $282.50.
While costs are decreasing, the requirements for younger drivers will become more stringent, with drivers under 25 being required to spend 12 months on their learner licence, double the previous six-month requirement, though this can still be reduced by recording supervised practice hours or completing approved courses.
Additionally, the restricted licence period will be set at 12 months for those under 25 and six months for older drivers, but completing a defensive driving course will no longer shorten this period. Restricted drivers who receive demerit points will also have their restricted period extended by six months.
Other safety and administrative updates include extending the zero-alcohol limit to all learner and restricted licence holders, regardless of age, while the hazard perception test will move from the full licence assessment to the restricted licence test, and eyesight checks will be streamlined to occur only during initial applications and renewals.
"These will be the first major changes to the driver licensing system since 2011, when the learner licence age was increased from 15 to 16," said Bishop of the changes.
"Driver licences are essential for helping people access jobs, education, and healthcare. For many young Kiwis, gaining a licence is a rite of passage, but the current system is expensive, outdated and no longer works as well as it should.
"Internationally, New Zealand is an outlier in requiring a second practical driving test when moving from a restricted licence to a full licence. We’re making practical, common-sense improvements to the driver licensing system to ensure it is accessible, efficient, and affordable, while keeping road safety front and centre."
Bishop says that the changes were informed by public consultation in 2025 and refined to ensure the system "strikes the right balance between access and safety".
More than 4100 submissions were received during that consultation, and Bishop says that he Government considered the feedback from submitters, agreeing 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.
"Our young people and new drivers deserve a licensing system that is fair, accessible, and keeps them and others safe on the road," he said.
More information is on the NZTA website: www.nzta.govt.nz/car-licence-changes