All driving records will be available online by mid-2015, according to a BBC News report.
The move could reduce the cost of car insurance for most people, and will do away with the need for the paper counterpart element of the current driving licence as all the information on it – including penalty points – will be available online.
The BBC News report says that anyone with a driving licence will be able to use the online database while there will be an assisted service for people who find it difficult to use the internet.
The system will also allow insurers to access the information using an individual’s licence number.
The Association of British Insurers says that under the present system premiums are pushed up because insurers have to take account of the risk that drivers either do not tell the truth about penalty points, or simply make a mistake. The ABI says that most of the UK’s 40 million drivers will see their premiums reduce.
Driver licencing is one of 25 public services set to go digital by 2015.