Previously , when private number plates were taken off a car and put on retention using form V778/1 , the applicant would be the registered keeper who would become the Grantee on the V778 retention certificate.The Grantee was able to nominate a third party as Nominee but this person only had one right and that was to assign the number to a vehicle registered in his name.The Grantee was the only person who could extend the certificate, change the nominee or importantly request a duplicate from DVLA.This created a potential fraud situation whereby a retention number could be sold by the grantee who could then request a duplicate ( which supercedes the original ) and the buyer would lose the registration number.Similarly a buyer could pay the seller to put the registration number on retention and never receive the V778 retention certificate as it would be posted out to the Grantee .

Under the new Bill the applicant ( registered keeper ) will be able to nominate a third party to be the Grantee on the V778/1 thereby giving full rights to the buyer including the most important fact that the DVLA will correspond only with them regarding that registration number.Note that registration numbers already on retention will not be able to transferred in this way purely new applications for registrations still on vehicles. Nevertheless this greatly improves the security of the scheme and cuts out a possible fraud situation.

Members of the public wishing to sell their private number plate would now be best advised to keep it on their vehicle until a buyer is found so they can take advantage of this new legislation , especially if they think they may be selling to a cherished number dealer.If they sell the number to someone who wished to put it straight onto a car ,they can still change the nominee to the buyer's name and the number can quickly be assigned to a vehicle , however if the purchaser wants to keep the number on retention he will be exposed to the potential problems which the old system has always suffered in that he can only assign it to a car regsitered in the Nominee's name , he cannot extend the certificate, he can't change the Nominee and the DVLA will not correspond with him.

It is considered a great success that the CNDA has been successful in having a Private Members Bill passed through Parliament with the help of Richard Ottaway MP.