In Russia, driving schools faced a wave of closures as the industry grappled with post-pandemic pressures. The sector, already battered by sanctions and rising costs, is contending with a shrinking pool of students and higher operating expenses driven by surging prices for cars and spare parts. A decade ago, the country hosted as many as 14,000 driving schools; today that number sits around 6,000 to 7,000. Across the nation, the number of people seeking driver education has fallen from several million to roughly half that figure over the years.
Industry representatives told Izvestia that the pandemic and the economic strain from sanctions have eroded profitability for many providers.
Looking ahead, driving school operators will likely face a choice between reducing services, closing facilities, or passing higher costs to students through larger tuition fees.
Even before 2022, interest in driver education remained steady, but this spring the pipeline of prospective drivers slowed by about 50% compared with pre-Covid levels. Analysts point to diminished consumer purchasing power and the rising price of vehicles and parts as the primary drivers of reduced affordability and access. Without a car to learn on, the motivation to obtain a driver’s license wanes, according to observers in the field.
Additionally, the rapid increase in vehicle and component prices has strained school budgets. Many driving schools struggle to replace aging fleets, and if cheaper, domestically produced models do not enter the market, as many fear, up to 80% of schools could face closure.
Prices continue to rise
Only organizations that own property or hold government contracts for driver training may endure the downturn. Even among surviving schools, service prices are expected to climb by 7,000 to 10,000 rubles. The current average education cost now hovers around 40,000 rubles, with programs priced near 50,000 rubles. For many people, even 20,000 rubles feels prohibitive, and enrollment in some schools has slowed drastically, according to industry voices.
There is a more hopeful take, however. Vadim Melnikov, the general director of an expertise center focused on road safety, suggests that demand for driver education could rebound as long as cars remain available. He notes that price increases may not be as drastic as feared and emphasizes a continued need for licenses as long as mobility exists. Fleet renewal challenges could be mitigated through import substitution and a stronger presence of Asian manufacturers in the market, which would help stabilize supply and costs over time.