Quick answer
- From 1 January 2027, individual residents in the UAE can register a maximum of five vehicles in their own name.
- The first two vehicles are registered at the standard rate. Each vehicle from the third to the fifth carries an additional fee at registration or renewal.
- The fee amount has not been announced, and the limit does not apply to companies.
- The same regulation also clarifies overtaking rules and confirms that a 75 per cent driving test score does not guarantee a pass.
The UAE five-vehicle limit is one of the biggest changes in the country’s new traffic executive regulation, which comes into force on 1 January 2027. Under the new rules, an individual resident can register no more than five vehicles in their own name, and every car beyond the second will cost extra to register and renew. The change matters most to households and car enthusiasts who keep several vehicles under one person’s name.
What the new rule says
The five-vehicle limit sits in Article 89 of the Executive Regulation of Federal Decree-Law No. 14 of 2024 on the Regulation of Traffic. The regulation was approved under Cabinet Decision No. 174 of 2026, published in the Federal Official Gazette on 6 October 2026, and takes effect on 1 January 2027.
Federal Decree-Law No. 14 of 2024 is the UAE traffic law that came into force on 29 March 2025 and lowered the minimum driving age to 17. The executive regulation is the detailed rulebook for applying that law. It replaces the previous regulation issued under Ministerial Decision No. 130 of 1997, which governed vehicle licensing and driving tests for nearly three decades.
Article 89 allows individual residents to hold up to five licensed vehicles. Two can be registered at the standard rate. For each additional vehicle, up to the maximum of five, an extra fee applies when the vehicle is registered or renewed.
UAE five-vehicle limit at a glance
| Vehicles in your name | Registration and renewal | Allowed from 1 January 2027 |
|---|---|---|
| 1 to 2 | Standard fee | Yes |
| 3 to 5 | Standard fee plus an additional fee per vehicle | Yes |
| 6 or more | Not applicable | No |
For a full list of UAE fines and black points, see our UAE traffic fines guide.
Who the limit applies to
The cap applies to individual residents only. Article 89 does not set a similar numerical limit for companies, so businesses registering vehicles under a trade licence, such as fleet operators, rental firms and dealerships, are not covered by the same rule.
Several details have not yet been published:
- The fee amount. The regulation confirms an additional fee for vehicles three to five but does not state how much it will be.
- Fees across emirates. It is not yet clear whether the fee will be the same nationwide or set by each licensing authority, such as the RTA in Dubai.
- Existing registrations. There is no word yet on what happens to residents who already have more than five vehicles registered in their name.
- Exemptions. No exemptions for collectors or classic car owners have been announced.
Other vehicle licensing rules in Article 89
The same article sets out three other conditions for licensing a vehicle:
- Applications go online. Owners, or their legally authorised representatives, must apply through the electronic channels or apps announced by the licensing authority.
- No right-hand-drive cars on the road. Right-hand-drive vehicles cannot be licensed for road use. They may only be used for display purposes.
- Safety comes first. Vehicles that do not meet the prescribed road safety requirements will not be licensed.
Overtaking rules from 2027
Articles 20 and 21 of the regulation spell out when overtaking is allowed. Most of these are not new rules, but the wording is now much clearer.
Overtaking must generally be done from the left. Overtaking from the right is only allowed when the vehicle ahead has moved left to turn into another road, its driver has signalled, and there is enough space to pass safely. After overtaking, drivers must move back to the right without obstructing the vehicle they passed. They can stay in the overtaking lane to pass another vehicle, as long as they do not hold up traffic coming from behind.
Overtaking is banned in these situations, even if a driver believes there is enough room:
- Poor visibility. When the view ahead or around the vehicle is unclear.
- Oncoming traffic. When the move cannot be completed safely.
- Junctions. At intersections, roundabouts and traffic squares.
- Stopped traffic. When a line of vehicles has stopped because of an obstruction or a stop signal.
- Risky road sections. On curves, inclines, slopes, slippery roads, near pedestrian crossings and across continuous lane lines.
- Signed areas. Anywhere signs, signals or instructions prohibit it.
Driving tests: 75 per cent is not a guaranteed pass
The regulation also updates driving test rules. The theory test is marked out of 100, and applicants need at least 75 per cent to move on to the practical test. The practical test has the same 75 per cent pass mark, but reaching it does not guarantee a licence.
Applicants can still fail if they create an actual or potential danger, or if the examiner has to step in to prevent one. The regulation lists six mistakes that can lead to a fail: touching barriers or boundaries, the car moving unintentionally at the start, gear change errors, failing to stop or park in the designated space, violating traffic signs or signals, and, for motorcycle tests, putting a foot on the ground while riding. Each licensing authority will set its own waiting period for a retest.
What it means for drivers
For most residents with one or two cars, nothing changes. The new limit is aimed at people who keep several vehicles registered in one name, and from 2027, each car beyond the second will cost more to keep on the road.
Anyone with six or more vehicles in their name is the group to watch most closely. Until authorities explain how existing registrations will be handled, those owners should check announcements from their licensing authority before their 2027 renewals fall due.
Practical tips before the rules take effect
- Count your vehicles. Include weekend cars, motorbikes and anything parked long term that is still registered in your name.
- Check your renewal dates. Renewals after 1 January 2027 are the ones expected to carry the additional fee.
- Review whose name each car is in. A vehicle mainly driven by a spouse or another family member may be better registered in their name.
- Watch for official guidance. The fee amount and treatment of existing registrations will come from the RTA or your emirate’s licensing authority.
Renewing soon? Read how the RTA Mahboub AI assistant can pay fines and renew registration.
FAQs
How many cars can I register in my name in the UAE from 2027?
Individual residents can register a maximum of five vehicles in their own name from 1 January 2027, under Article 89 of Cabinet Decision No. 174 of 2026.
Will I pay more to register a third car in the UAE?
Yes. The first two vehicles are registered at the standard rate, and an additional fee applies to each vehicle from the third to the fifth. The fee amount has not yet been announced.
Does the five-vehicle limit apply to companies?
No. Article 89 sets the limit for individual residents only and does not set a similar numerical cap for companies.
What happens if I already have more than five cars registered?
Authorities have not yet explained how existing registrations above five vehicles will be treated. Owners should watch for guidance from their emirate’s licensing authority before their 2027 renewals.
Can I overtake from the right in the UAE?
Only when the vehicle ahead has moved left to turn into another road, has signalled, and there is enough space to pass safely. In all other cases, overtaking must be done from the left.
Is 75 per cent enough to pass the UAE driving test?
You need at least 75 per cent in both the theory and practical tests, but a 75 per cent practical score does not guarantee a pass. You can still fail if you create danger or if the examiner has to intervene.
More for drivers: UAE Driving Guide
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