Tests of driverless cars can go ahead on public roads, the UK government has said, following a regulatory review that also recommends the establishment of a code of conduct and a review of liability issues around automated vehicles.
People that wish to conduct tests of driverless vehicles do not need to obtain certificates or permits, as long as there is a driver in the vehicle at all times.
During the next few months the government also plans to develop and publish a code of practice for the testing of driverless vehicles, which it hopes will be more flexible and less onerous than the regulatory approach being undertaken in the US.
However, it will be summer 2017 before domestic regulations are reviewed and amended to accommodate the new technology. And it will not be until the end of 2018 that international regulations are likely to be amended.
The regulatory review was launched today by ministers at the site of an autonomous shuttle trial in Greenwich, London.
Greenwich is one of three driverless car project centres being funded by £19 million of government money. The other projects are at Bristol, where a BAE Systems Wildcat vehicle will be trialled and in the Midlands where teams at Coventry and Milton Keynes are jointly involved in trials.
Transport minister Claire Perry, who is attending the first trials, admitted the Greenwich project was "still in the early days" but said the new technology had the potential to be "a real game-changer".
Perry said: "Driverless cars are the future. I want Britain to be at the forefront of this exciting new development, to embrace a technology that could transform our roads and open up a brand new route for global investment.
"These are still early days but today is an important step. The trials present a fantastic opportunity for this country to take a lead internationally in the development of this new technology."
The domestic changes could see alterations to the MOT test and also a possible revision of the Highway Code.
The government also said there needs to be greater certainty around criminal and civil liability in the event of a driverless vehicle being in a collision.
In addition, the government will consider whether a higher standard of "driving" should be demanded of automated vehicles than would be expected of a conventional driver.
Motoring and safety groups, including the RAC and AA, have generally welcomed the beginning of trials for driverless cars. However, a survey showed that 48% of consumers would be unwilling to be a passenger in an autonomous vehicle.
The poll by price comparison site uSwitch.com found that 16% were "horrified" by the idea of driverless cars, while 35% believed the project would drive up insurance premiums.
James Dalton, director of general insurance at the Association of British Insurers, said: "Human error accounts for 90% of road crashes, so the insurance industry supports the development of vehicle technology that improves road safety, such as autonomous emergency braking.
"Driverless car technology has the potential to revolutionise motoring and the insurance industry is working with the government, technology providers and vehicle manufacturers to consider whether the current regulatory framework needs to be adapted to deal with vehicles of the future, as well as the insurance industry-specific issues that are likely to arise as technology rapidly advances."
The concept was also welcomed by the Parliamentary Advisory Council for Transport Safety. Its executive director David Davies said: "I am pleased to see the regulations for driverless cars clarified and for these projects to get under way.
"Humans are unlikely to improve much as drivers whereas safety technology - driverless or driver assist - is advancing rapidly."
Meanwhile, driverless car tests continue in the US with blue-chip firms, including Tesla and Apple, testing autonomous driving technology. Google has been testing its own driverless technology for several years on the streets close to its headquarters in Mountain View, California, and in December unveiled its first full prototype car. Previously the technology had been applied to existing production cars.
Google says it has already clocked up over 300,000 miles in testing its vehicles, and would like to have the technology in the mainstream and on the roads by 2020.
Car-sharing service Uber is also experimenting with driverless cars after confirming the opening of a new research centre in the US that will look at the technology surrounding it. The centre was described as a place to look at "research and development, primarily in the areas of mapping and vehicle safety and autonomy technology."