Understanding Your Restricted Licence Obligations

If you hold a Restricted Operator Licence, you may feel that your responsibilities are lighter than those of Standard Licence holders. While it’s true that some rules don’t apply, the obligations you do have are serious and legally binding.

Understanding your obligations fully is key to keeping your licence safe and running a compliant, safe operation.

This post breaks down your core duties as a Restricted Licence holder — so you know exactly what’s expected of you.

🚦 What Is a Restricted Operator Licence?

A Restricted Licence allows you to operate goods vehicles only for your own business purposes — not for hire or reward.

This licence is typically used by:

• Builders, plumbers, electricians, and other tradespeople

• Farmers and agricultural businesses

• Companies moving their own goods between sites

• Businesses running small fleets of vehicles for internal use

It’s a simplified licence but still carries significant legal responsibilities.

✅ Your Key Obligations as a Restricted Licence Holder

1. Operate Vehicles Only for Your Own Business

You must use the vehicles solely for transporting your own goods related to your business activities. You cannot carry goods for third parties for payment.

2. Maintain Vehicles in a Safe and Roadworthy Condition

You’re required to:

• Keep vehicles regularly maintained and inspected

• Follow a planned maintenance schedule (e.g., PMIs every 6–10 weeks)

• Keep records of maintenance, repairs, and inspections for at least 15 months

• Ensure vehicles pass MOTs and brake tests on time

3. Carry Out Daily Walkaround Checks

Before each use, a walkaround safety check must be performed and recorded, noting any defects.

4. Keep Accurate Records

You must keep and retain:

• Maintenance records

• Driver licence checks

• Tachograph data (if applicable)

• Financial standing evidence

• Correspondence with DVSA and the Traffic Commissioner

5. Comply With Tachograph and Driver Hours Rules (If In Scope)

If your vehicle or journey falls within tachograph regulations, you must:

• Use tachographs correctly

• Download and keep driver data for 12 months

• Monitor and address driver hours infringements

6. Use Only Approved Operating Centres

Your operating centre(s) must be declared on your licence, have permission from the landowner, and meet the Traffic Commissioner’s standards.

7. Demonstrate Financial Standing

You must be able to prove you have sufficient funds available to maintain your operation and vehicles — minimum £3,100 for your first vehicle plus £1,700 for each additional.

8. Notify the Traffic Commissioner of Relevant Changes

If anything changes — such as your operating centre, ownership, vehicles, or financial position — you must notify the OTC promptly.

⚠️ What You Must Not Do

• Operate vehicles for hire or reward without a Standard Licence

• Use vehicles in an unsafe condition

• Ignore DVSA or Traffic Commissioner communications

• Fail to keep required records

• Allow unlicensed or unqualified drivers to operate your vehicles

🧠 Why These Obligations Matter

Failing to meet your Restricted Licence obligations can result in:

• Traffic Commissioner enforcement action

• Licence curtailment or revocation

• Financial penalties

• DVSA prohibitions at roadside

• Damage to your business reputation

✅ Summary Checklist

Obligation	Your Responsibility
Own goods only use	Vehicles carry only your company’s goods
Maintenance	Regular PMIs, repairs, MOTs, records
Daily checks	Conduct and record walkaround checks
Records	Keep driver, vehicle, tachograph, and financial files
Tachographs (if applicable)	Use and maintain correctly
Operating Centre	Use approved, declared sites
Financial Standing	Maintain minimum required funds
Notifications	Inform OTC of changes promptly

🧠 Final Thoughts

A Restricted Operator Licence is a powerful tool for small businesses — but it comes with clear responsibilities.

By understanding and meeting these obligations, you’ll protect your licence, stay legal, and keep your vehicles and drivers safe.

Stay organised, keep records, and act proactively. The Traffic Commissioner expects nothing less.

Next in the series:👉 Can a Restricted Licence Holder Be Called to Public Inquiry?