How licence plates work and why it could be worth getting a 2024 vehicle

If you’re looking to purchase a new vehicle, buying one with the newest licence plate could be more beneficial in the long-term. With March seeing the release of the new 2024 plates, and therefore a likely increase in car sales across the UK, it’s good to be prepared for the change – so you can benefit financially in the long-term and get the vehicle as soon as the new plate is released.  

Here’s our guide to new plates, how they can add value to your business, and how you can finance a brand new vehicle with us. 

How do license plates work? 

All number plates in the UK follow the same character format. First are two letters that reflect the region the car was registered in, followed by two numbers that show when the car was registered. Then, there will be three randomly generated letters added to create a unique number plate.

New number plates are released in March and September each year. The March release includes the numbers of the current year, while the September release is the year plus 50. 

For example, the most recent cars released onto the market come with a 73 plate, having been registered in September last year. However from 1 March this year, the plates on brand new cars will change to 24. 

What are the advantages of purchasing a vehicle with a brand new plate? 

While a vehicle with a new plate will cost more upfront, the resale price of this vehicle may be higher than a vehicle with an older number plate – even if it’s only a few days old. 

If you intend to sell your vehicle after 3 or 5 years, buying a newer vehicle to begin with could be a more attractive option. This is because a car with a more recent plate could depreciate less in the long term, which may allow you to negotiate a better deal.

Of course, the value is dependent on how far into the future you plan to sell. So make sure you weigh up all costs and potential profit and loss involved before you buy. 

How can I fund a new vehicle to benefit from the updated plates? 

If you want to purchase a new 2024 plate vehicle, our brand new asset finance service can make this more affordable, and help you get your new vehicle as soon as possible. 

With the support of our panel of trusted partners, we’ll do all the legwork to find you the best deals from across the market – so you can get the finance you need to purchase your vehicles up front. Find out more and get started here. 

20/02/24: While we want to help as much as we can, the information found here is provided solely for informational purposes and should not be considered financial or legal advice. To the extent permitted by law, Funding Circle does not accept any liability for any loss or damage which may arise directly or indirectly from the use of, or reliance on, the information contained here. If you have any questions, please speak to your professional adviser or seek independent legal advice.