What qualifications must a self-employed HGV driver hold in Great Britain?

A self-employed HGV driver in Great Britain must hold several mandatory qualifications and documents. First, a valid UK driving licence with the appropriate entitlement: Category C for rigid HGVs over 3.5 tonnes, Category C+E for articulated lorries or draw-bar combinations, or Category C1 for medium goods vehicles between 3.5 and 7.5 tonnes. The licence is issued by the Driver and Vehicle Licensing Agency (DVLA). Second, a current Driver Certificate of Professional Competence (Driver CPC), which is required for commercial goods vehicle drivers under the Road Transport (Driver Qualification) Regulations 2014 (implementing the EU Driver CPC Directive as retained in UK law). Drivers must complete 35 hours of approved periodic training every five years to maintain their CPC. Third, a valid digital tachograph driver card, which is required under EU Regulation 165/2014 as retained in UK law. Drivers must insert their personal tachograph card when operating a tachograph-equipped vehicle and must not tamper with or misuse the equipment.

What are the UK drivers’ hours rules for HGV drivers?

The primary drivers’ hours rules for HGV drivers in Great Britain are set out in EC Regulation 561/2006 as retained in UK law. The key limits are: a daily driving limit of 9 hours (which may be extended to 10 hours no more than twice per week); a weekly driving limit of 56 hours; a fortnightly driving limit of 90 hours; a minimum daily rest period of 11 hours (which may be reduced to 9 hours no more than three times between weekly rests); and a minimum weekly rest period of 45 hours (which may be reduced to 24 hours in alternate weeks, provided the reduction is compensated within three weeks). Drivers must also take a break of at least 45 minutes after 4.5 hours of driving (which may be split into two breaks of 15 and 30 minutes). The Road Transport (Working Time) Regulations 2005 additionally limit the average working week for mobile workers (including self-employed drivers who opt in) to 48 hours, calculated over a 17-week reference period. Breaches of drivers’ hours rules are a criminal offence and can result in prosecution of both the driver and the operator.

Does a self-employed HGV driver fall inside or outside IR35?

The IR35 status of a self-employed HGV driver depends on the factual circumstances of the engagement, assessed against three key indicators: control (does the operator dictate exactly how, where, and when the driver works?), substitution (does the driver have a genuine right to send a qualified substitute?), and mutuality of obligation (is the operator obliged to offer work and the driver obliged to accept it?). Many genuine self-employed HGV drivers operate outside IR35 because they have multiple clients, provide their own vehicle, set their own hours subject to regulatory limits, and have a genuine right of substitution. Since April 2021, medium and large private-sector operators (those meeting two of: 50+ employees, £10m+ turnover, £5m+ balance sheet) are responsible for making the IR35 determination. Small operators remain exempt, and the driver’s intermediary (if any) retains responsibility. The written contractor agreement is evidence of the parties’ intentions but HMRC and tribunals will also examine the actual working practices.

What insurance must a self-employed HGV contractor hold?

A self-employed HGV contractor in England and Wales should maintain several types of insurance. Where the contractor provides their own vehicle, they must hold third-party motor vehicle insurance under the Road Traffic Act 1988, which requires that any motor vehicle used on a road or other public place is insured against liability for death or bodily injury to third parties. In practice, most owner-operator HGV drivers hold comprehensive fleet or goods vehicle insurance. The contractor should also hold public liability insurance to cover claims arising from personal injury to third parties or damage to third-party property caused by the contractor’s operations. Where the operator provides the vehicle, the operator is responsible for the fleet insurance, but the driver may still be required to hold employer’s liability insurance if they themselves employ any staff. Goods in transit insurance covers the loss of or damage to goods being carried; this is typically maintained by the haulage operator but the contractor agreement should clarify responsibility. Professional indemnity insurance may also be appropriate for contractors providing logistics consultancy services.

What is an Operator’s Licence (O-licence) and who needs one?

An Operator’s Licence (O-licence) is required for any business that uses goods vehicles with a maximum authorised mass (MAM) exceeding 3.5 tonnes on public roads in Great Britain. The requirement is imposed by the Goods Vehicles (Licensing of Operators) Act 1995, administered by the Traffic Commissioners. There are three types of O-licence: a Restricted licence (own goods only), a Standard National licence (hire or reward, domestic operations), and a Standard International licence (hire or reward, including international operations). A self-employed HGV driver who operates their own vehicle under contract with hauliers does not necessarily need their own O-licence if the vehicle is operated under the haulier’s licence. However, if the driver uses their own vehicle to carry goods for hire or reward (including on behalf of multiple clients), they will generally need their own Standard National or International O-licence. Operating without a required O-licence is a criminal offence. The O-licence number should be referenced in any haulage contractor agreement.

HGV / Haulage Trucking Contractor Agreement (UK) — United Kingdom

Create a comprehensive UK HGV / Haulage Trucking Contractor Agreement for England and Wales. This template covers HGV licence categories, Driver CPC and tachograph obligations, drivers’ hours compliance (EC Regulation 561/2006), O-licence requirements, IR35 employment status determination, fee structure in GBP, goods in transit insurance, and termination provisions. Suitable for haulage operators, logistics companies, and self-employed truck drivers. Download as PDF or Word.

What Is a HGV / Haulage Trucking Contractor Agreement (UK)?

A UK HGV / Haulage Trucking Contractor Agreement is a legally binding contract between a haulage operator or logistics company and a self-employed truck driver, setting out the terms on which HGV driving and haulage services will be provided. Governed by the laws of England and Wales, this agreement addresses the scope of haulage services, the driver’s qualifications and licensing obligations, drivers’ hours compliance, vehicle details, the fee structure in pounds sterling (GBP), IR35 employment status, insurance requirements, and termination provisions.

The UK road haulage sector is one of the most heavily regulated industries in England and Wales. Self-employed HGV drivers must hold a valid Category C, C+E, C1, or C1+E driving licence issued by the DVLA, a current Driver Certificate of Professional Competence (Driver CPC) under the Road Transport (Driver Qualification) Regulations 2014, and a valid digital tachograph driver card under EU Regulation 165/2014 as retained in UK law. Haulage operators must hold a valid Operator’s Licence (O-licence) under the Goods Vehicles (Licensing of Operators) Act 1995 and comply with all maintenance, inspection, and roadworthiness requirements.

Drivers’ hours rules are a central feature of any HGV contractor agreement. EC Regulation 561/2006 as retained in UK law sets maximum daily driving times, weekly driving limits, and mandatory rest periods. The Road Transport (Working Time) Regulations 2005 impose additional restrictions on the working time of mobile road transport workers. A breach of these rules is a criminal offence for both the driver and the operator, and a well-drafted contractor agreement must address each party’s obligations in this area.

IR35 off-payroll working rules under the Income Tax (Earnings and Pensions) Act 2003 are also relevant. Since April 2021, medium and large private-sector operators are responsible for determining whether a HGV contractor falls inside or outside IR35. A genuinely self-employed driver with multiple clients, a right of substitution, and their own vehicle is more likely to fall outside IR35.

When Do You Need a HGV / Haulage Trucking Contractor Agreement (UK)?

A HGV trucking contractor agreement is needed whenever a haulage operator or logistics company engages a self-employed truck driver to provide HGV driving services. The most common situations in England and Wales include:

An owner-operator truck driver who provides their own HGV and drives for multiple hauliers on a subcontract basis. In this arrangement, the owner-operator is a self-employed contractor with their own O-licence, and the agreement governs the relationship between the owner-operator and each haulier engaging their services.

A haulage company that engages self-employed drivers to supplement its employed workforce during peak periods, seasonal demand, or to cover driver shortages. Rather than taking on permanent employees, the operator uses contractor drivers on an as-and-when-required basis, reducing fixed labour costs while meeting delivery commitments.

A specialist haulier operating in a niche sector — such as temperature-controlled logistics, hazardous materials transport, abnormal loads, or car transporter operations — that requires contractors with specific qualifications or experience. The agreement should specify the relevant specialist licence categories, ADR certificates, or other qualifications required.

A logistics company that uses agency drivers supplied by a driver agency. While the primary contract will be between the logistics company and the agency, many operators also require individual driver contractors to sign a direct agreement setting out their obligations regarding vehicle care, drivers’ hours compliance, and conduct.

A small haulage business or sole trader that engages a self-employed driver to cover for illness, holidays, or a specific contract. Even short-term engagements should be documented in a written contractor agreement to protect both parties and to support the driver’s self-employed status for IR35 and tax purposes.

What to Include in Your HGV / Haulage Trucking Contractor Agreement (UK)

A well-drafted UK HGV / Haulage Trucking Contractor Agreement for England and Wales should contain the following key provisions:

Parties and Status — Clear identification of the haulage operator and the self-employed driver, with an express statement that the relationship is one of independent contractor and not employer and employee. The agreement should address the three key IR35 indicators: control, substitution, and mutuality of obligation.

HGV Licence and Qualifications — A warranty by the driver that they hold and will maintain a valid DVLA driving licence with the appropriate HGV category entitlement, a current Driver CPC card, and a valid digital tachograph driver card. The agreement should include an obligation on the driver to notify the operator immediately of any licence endorsements, suspensions, or revocations.

O-Licence Compliance — A reference to the operator’s O-licence number and the driver’s obligation to comply with all conditions attached to the O-licence, including vehicle maintenance, roadworthiness, and documentation requirements.

Drivers’ Hours and Working Time — The driver’s obligation to comply with EC Regulation 561/2006 as retained in UK law (maximum daily and weekly driving times) and the Road Transport (Working Time) Regulations 2005. The agreement should also address tachograph compliance, including the prohibition on tampering with or misusing tachograph equipment.

Vehicle and Pre-Use Inspection — Specification of whether the operator or the driver provides the vehicle, the vehicle’s registration mark and description, and the driver’s obligation to carry out a pre-use inspection before each shift and report defects in writing.

Fees and Payment — The fee rate (hourly, daily, mileage-based, or per assignment), invoicing frequency, payment terms, and the right to charge statutory interest under the Late Payment of Commercial Debts (Interest) Act 1998.

Insurance — The driver’s obligation to maintain public liability insurance and any other required cover, and the operator’s obligations regarding fleet insurance, goods in transit cover, and motor vehicle third-party liability insurance under the Road Traffic Act 1988.

Termination — Notice periods, grounds for immediate termination (including licence revocation and serious road traffic offences), and post-termination obligations.

What Is a HGV / Haulage Trucking Contractor Agreement (UK)?

When Do You Need a HGV / Haulage Trucking Contractor Agreement (UK)?

What to Include in Your HGV / Haulage Trucking Contractor Agreement (UK)

Frequently Asked Questions

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