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What are the rules on importing vehicles from the EU?

What are the rules on importing vehicles from the EU? One of my neighbours has had a van in the country with French plates here for about two years, parked on the road.

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Any vehicle from any EU country that is imported into another EU country for more than six months has to be registered, insured and taxed to an address in the country it is imported to. Otherwise, it's illegal, could be seized and the owner or driver fined. But lots of people get away with this both in the UK and in other EU countries. The rule is most likely to be enforced if the driver gets stopped for some other offence.
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