Drivers of popular vehicles have been warned they could be hit with higher car insurance bills, pushing thousands into unaffordable conditions.
New research found that car insurance costs for drivers with automatic driving licences are 84 per cent higher than those with manual licences.
Research covering more than 100,000 policies found that automatic licence holders pay an average of £1,296 per year, compared with £696 for manual drivers.
The cost gap follows a surge in automatic licences, with learner drivers choosing automatic gearboxes, which has caused a 123 per cent increase over the past year.
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Automatic licence owners could face unaffordable car insurance costs
|GETTY/PA
The trend reflects the UK's wider motoring shift as the country prepares for the Zero Emission Vehicle mandate, which will end the sale of new petrol and diesel cars from 2030.
The mandate has caused an accelerated transition to electric cars, all of which feature automatic transmissions.
Experts explained that the popularity of automatic vehicles is driven by convenience in urban areas, easier handling in congested cities, and the growing adoption of electric and hybrid cars.
Modern automatics also offer improved fuel efficiency, while environmental incentives and potential Congestion Charge exemptions further encourage the switch.
Manual licence holders could face costs of more than £1,000 on average
| GETTYMarket share figures showed the dramatic change in consumer preferences with manual gearboxes dominating 83.7 per cent of vehicles in 2014, but by late 2024, automatics accounted for 29 per cent of the UK market.
Analysis from Quotezone, covering April to June 2025, highlighted that insurance premiums for automatic licence holders consistently carried a significant surcharge.
In April, the gap peaked at 91 per cent, with automatic drivers paying £1,358 annually versus £711 for manual drivers.
May saw a slight reduction to 83 per cent, and June held at 78 per cent, giving an average premium difference of 84 per cent across the quarter.
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Insurers defend the higher costs by pointing to the complex technology in automatic vehicles, which includes sophisticated gearboxes and integrated electronics that are more expensive to repair after accidents.
Replacement parts often require specialist expertise, driving up repair bills and, in turn, insurance premiums.
Greg Wilson, chief executive of Quotezone, said: "Insurers see automatic vehicles as a greater financial risk. The mechanical systems are intricate and costly to fix compared to traditional manual gearboxes. That directly translates into the 84 per cent higher premiums motorists face.
"While automatics are convenient, especially in cities, drivers must factor in these insurance costs."
As more electric vehicles are purchased, drivers are likely to see manual cars slowly disappear from roads
| PAMr Wilson urged motorists to shop around for policies, compare premiums, and consider variable factors such as parking, mileage, and named driver arrangements.
He also suggested exploring specialised products, including telematics-based insurance or multi-car discounts for households.
Despite the higher insurance costs, the move towards automatic vehicles is expected to continue as the UK looks to move forward with its all-electric strategy.