The cost of sitting the driving theory test will be reduced from October this year.
Sitting the written part of the test will be cut from £31 to £25, with a further £2 reduction planned for the following October under Government plans.
Transport Minister Stephen Hammond said: "We are determined to keep motoring costs down, so we want to make sure theory tests offer the best value for money while continuing to meet rigorous standards.
"The theory test plays a vital role in making sure that new drivers know the Highway Code and the rules of the road and today's announcement shows we are determined provide cost-effective services that keep our roads among the safest in the world."
The proposals, currently out for consultation, could save learner drivers in excess of £100 million over a period of nine years.
Sarah Rice from the RAC said: "This is great news for young drivers, in particular, who we know feel that getting their driving licence is a step toward more freedom and independence, but who are often put off by the overall cost of learning, buying and insuring a vehicle.
"With confusion persisting over longer-term plans to change the driving test itself, it's good to see the Government keeping learners in their sights and making things easier while still ensuring that thorough knowledge of the Highway Code is essential to be a safe and competent driver."
Copyright Press Association 2014