The Government is to consult on plans to extend the first MoT test to four years from the current three in a move that would mean most fleet cars can be run without the requirement for the annual test.

The chancellor claimed a move, which is subject to public consultation and cost-benefit analysis, would save motorists more than £100m per year.

The speech specifically indentified “cars and motorbikes”, with no word on vans or heavier vehicles at this stage.