ADI Driving Instructor Contract UK — Lesson Agreements & Cancellation Policies
Most of the disputes between driving instructors and pupils are entirely preventable. Late cancellations, no-shows before test day, arguments about prepaid lesson blocks — all of these are avoided when the terms were agreed in writing before the first lesson. Here's what you need and why.
Why ADIs need written lesson agreements
You're self-employed, running a business, taking on clients who may have never entered a commercial relationship before. Many learners are teenagers whose parents are paying — and parents who feel the "investment" didn't produce a pass are often the source of disputes. A written agreement that both the pupil and (where applicable) the parent signs protects you from that after-the-fact revisionism.
It also sets professional expectations from the start. Pupils who understand your cancellation policy before lesson 1 are significantly less likely to argue about it when they cancel on lesson 23.
1. Pupil Lesson Agreement
Your lesson agreement is the core document. It should cover:
- Fees — per lesson rate, whether rates are locked for a block or subject to annual review
- Payment terms — when payment is due (per lesson, block in advance, monthly)
- Lesson length — standard duration (usually 1 or 2 hours) and what happens if a lesson runs short due to the pupil's own decision
- Pick-up and drop-off — agreed location and what happens if the pupil isn't ready at the agreed time
- Expectations of the pupil — sober, not on medication that affects driving ability, in possession of valid provisional licence
- Your right to terminate — if a pupil's behaviour poses a safety risk, you must be able to end the lesson and the relationship
2. Cancellation & No-Show Policy
The no-show is the single biggest cause of financial loss for independent ADIs. A pupil who books a 2-hour lesson and doesn't turn up has cost you the lesson fee, plus any back-to-back lessons you couldn't book because of the scheduling gap. A clear policy with teeth is essential.
How much notice is reasonable?
Industry standard is 48 hours. 24 hours is defensible. Less than 24 hours generally justifies a full charge. Structure it in tiers:
- 48+ hours notice: no charge, lesson rescheduled
- 24–48 hours: 50% charge or lesson forfeited from prepaid block
- Under 24 hours / no-show: 100% charge
Yes, provided the pupil was informed of the policy before lessons started. You cannot introduce a cancellation fee mid-way through a block without the pupil's agreement. But if they signed a lesson agreement that included the policy at the start, you have a contractual basis to charge. Small claims court supports this — provided you can produce the signed terms.
3. Test Booking Terms
The period immediately before a driving test is the highest-risk time for disputes. Pupils who fail often look for someone to blame, and there's sometimes an argument that the instructor "pushed them forward" before they were ready. Your test booking terms should make clear:
- That the decision to book a test is made jointly, but the pupil's signature confirms their agreement that they're ready
- What the cost includes — typically a mock test, any additional pre-test lessons, and your time on test day
- What happens if the test is cancelled by the pupil with less than the DVSA's required notice period (you lose the test fee; the pupil should cover this if it's their cancellation)
- Your policy on refunding prepaid lessons if a test is passed — typically the remaining lessons in a block are non-refundable but transferable
4. Progress Report Template
A structured progress report does two things: it helps the pupil understand where they are in their training, and it protects you if they later claim they weren't told about a weakness before test day. Document which of the DVSA's 10 driving test categories you've worked on, the pupil's current competency level, and what you'll focus on in the next block of lessons.
This is particularly important for pupils who are progressing slowly or who have specific difficulties. A paper trail showing you identified and communicated the issue early is your protection against the "you never told me I wasn't ready" argument.
5. DVSA Complaints Procedure
Understanding what a pupil can and cannot formally complain about to DVSA is important for every ADI. DVSA can investigate complaints about an instructor's conduct, safety, or fitness to instruct — but not about lesson quality, fee disputes, or whether you "passed" someone for their test.
A short information document that explains the complaints process, your own internal complaints procedure, and the timescales involved projects professionalism and reduces the likelihood of a pupil escalating to DVSA when a direct conversation would resolve the issue.
All documents, ready in under 2 minutes
Lesson Agreement, Cancellation Policy, Test Booking Terms, Progress Report, and DVSA Complaints Guide — with autofill for your name, school, and ADI badge number.
Get the full pack — £29/yr →PDI vs ADI — does it matter for contracts?
A PDI (Potential Driving Instructor, holding a trainee licence) has the same legal requirement for written agreements with pupils. The key difference is transparency: if you're a PDI, your pupils must know they're being instructed by a trainee. Your lesson agreement should state this clearly and include your trainee licence number.
What about pupils under 17?
In the UK, learners must be at least 17 to drive on a public road. If you're teaching someone who's 17, they can enter into a contract themselves. If their parent is paying, consider having the parent co-sign the agreement — particularly for the cancellation and no-show policy, since it's often the parent making the scheduling decisions.