Car number plates: What they mean and why they matter on our roads

What does everything mean on UK number plates?

They’re something we see everyday. Walking around, they’ll be on every vehicle you see.

Most take on the same structure – two letters, followed by two numbers, a gap, then three letters.

All of which have a meaning. No, they’re not just random!

If you see any in a different structure, they’re most likely personalised. Some that look normal are also personalised though, so do keep this in mind.

Some also have a green strip on the left-hand side. And others will have a GB or EU symbol.

But what does everything mean? Often, it seems a bit like a secret code.

So, let’s get decoding and explain what everything means on a British number plate.

Why are number plates important?

Ultimately, number plates are the means of identifying a car and linking it to its owner.

This ensures responsibility in the case of minor misdemeanours right up to convictable crimes, assurance for damage responsibility at a collision site, and proof of car insurance, tax and MOT where applicable.

Without them, our roads would be a lawless and dangerous place.

The current number plate system

The UK’s number plate system has undergone a number of changes but has been in place in its current form since September 2001.

Northern Ireland does have its own system in place, so the below is relevant to vehicles registered in England, Scotland and Wales only.

Number plates are compiled of six characters in the aforementioned format.

Memory tag

The first two letters are known by the DVLA as the ‘memory tag’ and simply identify where the car was first registered.

Each region has its own letter code: Welsh regions start with a C (for Cymru), Birmingham with a B and London regions are indicated with an L.

Vehicles registered in the West of England, where the Carparison head office is, will have number plates that start with a W.

Age identifier

The subsequent two numbers are the car’s ‘age identifier’. This signifies which six-month period the car was first registered within.

The numbers used change every six months – in the plate change months March and September.

Vehicles registered between March and August have an age identifier reflective of the year in question: 25 for this year (2025), 26 for next year (2026) etc.

For those registered in September – February it is the year plus 50: 75 for this year (25 + 50), 76 for next year (26 + 50) etc.

Without unanticipated legislation changes, this system is expected to remain in place until February 2051.

The final three letters

The last three numbers on a number plate are simply random.

This excludes the use of ‘I’ and ‘Q’ through confusion with ‘1’, ‘0’ or ‘O’. The DVLA also withholds word combinations on number plates that could be considered rude or offensive.

The letter ‘o’ can also only be found in the final three random letters as it can be mistaken for the number ‘0’ elsewhere.

Did UK number plates change after Brexit?

There was only one change to British number plates in the aftermath of the conclusion to the Brexit transition period back in December 2020.

This was the removal of the EU symbol above the national identifier in the left section of new plates.

This could be replaced by a Union flag, St George’s Cross, Scottish Saltire or Welsh Dragon.

As one of the rule changes for driving in the EU after Brexit, this change means that drivers will now have to display a GB sticker on their vehicle if travelling in EU territories.

According to Government guidance, only number plates with the GB identifier and Union Jack flag will not have to display an additional GB sticker.

You will therefore need to clearly display a GB sticker when travelling in Europe if your number plate has:

• A Euro symbol
• A national flag of England, Wales or Scotland
• No flag or identifier

What are green number plates?

Green number plates were introduced in the UK in December 2020. 

Essentially, the green tab on the left-hand side of a number plate signifies that the vehicle is fully electric and produces zero emissions.

The introduction of green number plates is an initiative by HM Government to raise awareness of the number of electric vehicles on our roads and reward these drivers with reduced parking fees and use of restricted lanes.

They claim it will support the transition to electric vehicles for more of us, helping us along the road to being net-zero by 2050.

It also builds on plans to ban all new petrol and diesel cars by 2030.

Green number plates can be retrofitted to electric vehicles that were registered before the change took place.

All newly registered electric vehicles will receive a green number plate as standard.

Does a car’s number plate affect its residual value?

You can tell a lot from a car’s number plate. Age, history and number of owners – just to name a few.

All these factors link to a vehicle’s value. So looking at a number plate can reveal a lot about the vehicles value too.

That’s why many used car buying tools can provide a provisional value for your car using the number plate alone.

The number plate can affect your car's value too. Many car buyers wait until March and September for the new plate releases – and it's not just about showing off the latest reg.

Since the number plate is the clearest way to spot a new car, vehicles with the newest age identifier tend to cost more upfront. But they also hold their value better than older cars with previous plates.

What is a pre-reg lease vehicle?

Choosing a pre-reg vehicle is a great way to lease a brand-new car at a much lower price.

Why? Because some cars will be registered by the dealership before being leased to hit registration targets; earning more from those bonuses than they lose in the value of their assets.

They’ll still be completely new cars, but their new price will reflect the fact they have a previous registered owner - the dealership.

There are pros and cons of a pre-reg vehicle, but as a car lease customer a pre-reg car can be a fantastic way to get behind the wheel of in-stock cars at a fraction of the cost.

Depending on when the car was registered, it may mean your lease car does not have the latest age identifier on its number plate.

However, you will be driving away a new car at a cut cost.

Number plate laws

There are a few laws surrounding number plates you must follow, or you could end up with  some hefty fines.

Ultimately, our number plates must be clear and legible at all times. If they can't be read by eye, speed or parking cameras, CCTV or other recognition software, then they’re not fit for purpose. 

You could be fined up to £1000 if your number plate is obscured - this includes by mud (unavoidable in the muddy British country lanes).

Your vehicle will also fail its MOT if your vehicle's number plate is incorrectly displayed.  

If you’re pulling a trailer, it must display the same number plate as the vehicle pulling it.

And if you’re pulling multiple trailers, this additional plate should be displayed on the last trailer of the pack and must be clear. 

There are also strict rules for those manufacturing number plates to ensure their consistency and readability.

How do you transfer a personalised plate onto a leased car?                             

Yes, you can have your beloved personalised plate on your shiny new lease car.

But it does require a bit of planning, annoyingly.

A private or cherished plate is a unique and personalised number plate chosen by the driver.

Private plates can be hugely sentimental and can come with quite a price tag. So, keeping these plates long term, despite vehicle changes, is an important factor for their owners.

The biggest difference for cherished plate owners who wish to transfer their plate to their lease car is that you will be required to organise this through your funder – as they’re the vehicle owners.

They will ask you to complete the relevant forms that they will need to submit to the DVLA on your behalf. Because of this, there may be a fee involved.

Here’s what to do:

Firstly, you will need to ensure the funder of your lease deal is named as a Nominee of Entitlement (V750). This can be completed by post but is easiest online by creating a DVLA personalised registration account.

This essentially gives the funder permission to process the registration on your behalf.

The funders will need to receive the certificate of entitlement created as a result of the application above.

They’ll also likely require settlement of their administration fee before proceeding any further. Contact them as early on in the process as you can to ensure the smoothest transition, and to ensure they have what they need at the right time.

Once received, they will transfer the required documents to the DVLA to process the transferral of your personalised plate to the new lease vehicle.

Upon approval, all documentation will be returned to you and you can fit your plates to your new lease car.

Note that doing so before you’ve completed these steps will leave you liable to a fine. 

The DVLA advise that it can take up to six weeks to complete a personalised plate transferal, once they have received all documentation.

It’s recommended to start this process after the delivery of your lease vehicle. Doing so beforehand could considerably delay the delivery of your lease car.

You must inform your insurance company of your new registration and update any automatic payment accounts.

For instance, those that link to congestions charges, low emission zone charges or Ultra-Low emission zone charges. 

Removing your personalised plate at the end of your lease

At the end of your lease, you must remove your personalised plates and reattach the original ones before the car is returned.

You will need to start this process at least six weeks ahead of the end of your contract. And again, this will need to be through contact with the lease funder.

Funders can work in different ways around this, so we would recommend giving them a call early on to understand their exact requirements.

However, steps will generally include:

• Sending the funder a cover letter detailing the owner of the personalised plate and the desire to change it back to the original registration, and when. They will need to apply for the V778 retention document on your behalf.
• Include a cheque of £105 payable to the DVLA
• Pay the funder’s administration charge

The funder will then process the relevant documentation on your behalf once again. Relevant paperwork will be returned to you, including consent to transfer the number plates back.

The DVLA will send the retention certificate for your cherished plate to you around two weeks after the transfer is complete.

Car number plates

For many motorists, a number plate isn't something that affords much attention. For others, it is a source of great pride and personality.

Either way, there are strict rules about number plate form and upkeep, whether driving home or abroad.

And, for those hoping to keep hold of personalised plates, there are extra considerations to make when leasing.