UAE Limits Individual Residents to Five Registered Vehicles Under 2027 Traffic Rules

Individual residents in the UAE will be subject to a cap of five licensed vehicles each under federal traffic regulations taking effect on January 1, 2027, Gulf News reported. The regulations will impose additional fees on the registration or renewal of any vehicles beyond the first two.

The rule is established under Cabinet Decision No. 174 of 2026, which approves the Executive Regulation of Federal Decree-Law No. 14 of 2024 on the Regulation of Traffic. The executive regulation was issued on October 6, 2026, replacing the previous executive regulation under Ministerial Decision No. 130 of 1997.

Under Article 89 of the decision, individual residents are permitted to own up to two vehicles under the standard provision. Those registering or renewing additional vehicles must pay an extra fee for each vehicle, provided their total licensed vehicles do not exceed five. The decision does not specify the amount of the extra fee or how the cap will apply to residents who already have more than five vehicles registered in their names.

The five-vehicle restriction applies specifically to individual residents and does not establish an equivalent numerical restriction for companies in the same article. The regulation also does not state whether the additional fees will be uniform across the UAE or how existing vehicle registrations above the limit will be handled.

Article 89 further mandates that vehicle owners or their authorized representatives submit licensing applications through official electronic channels and applications. Additionally, the regulation prohibits licensing right-hand-drive vehicles except for display purposes, and denies licensing to vehicles that do not meet road safety requirements.