New EU regulations state that all new cars must have a built in spy box from October next year (2015) and they will track the speed and driving habits of motorists. The boxes are similar to the ‘black box’ devices fitted on aeroplanes.

The telematics technology will enable insurers to keep track of how fast their customers drive, how hard they brake and how many journeys a year they undertake which will be used to determine insurance premiums. If they refuse to take part, drivers could face huge increases in their premiums.

Research by the industry predicts that about half of all cars – including used vehicles – will be fitted with the spying devices by 2020 as it will become mainstream as the technology will be in the car.