Digital driving licenses will be rolled out in the UK this year as the government looks to use technology to "transform public services".

Digital versions of driver's licenses will be available in the government app's virtual wallet, rather than being added to existing Google or Apple wallets. It can be considered a form of identification when voting, buying alcohol or boarding a domestic flight.

While physical licenses will still be issued and new digital identities will not be compulsory, the government says the move is part of its commitment to using technology to "make people's lives easier and transform public services".

A government spokesman said: "Technology now makes it possible for digital identities to be more secure than physical identities, but we remain clear that they will not be enforced."

It is understood that the security measures of the virtual wallet are similar to many banking applications, and only the owners of the respective licenses can access it through the smartphone’s built-in security features such as biometrics and multi-factor authentication.

A voluntary digital option will be rolled out later this year, The Times reported. Possible features include allowing users to hide their address in certain situations, such as in pubs or shops, and using virtual licenses for age verification at supermarket self-checkouts.

The government is said to be considering integrating other services into the app, such as paying taxes, benefit claims and other forms of identification (such as a National Insurance number), but will not introduce a compulsory national ID, which was pushed by former prime minister Tony Blair Chancellor and William Hague.

At the time, privacy campaign group Big Brother Watch called the potential move "one of the most serious attacks on privacy ever seen in the UK".

Nearly 50 million Britons have a temporary or full driving license. Similar initiatives already exist in Australia, Denmark, Iceland and Norway. By 2026, the EU requires member states to develop at least one form of official digital identity by 2026 so that it can be accepted across the EU.