One in five entries on the government's registration database is inaccurate, according to reports.
Of the 42.2 million drivers in Britain, just under eight million have the wrong details entered in the DVLA, the Daily Mail reports.
The confusions or inaccuracies are often caused by a change of address or the sale of a car, as the new information is not updated.
The errors could result in fines and speeding tickets sent to the wrong address or individual and even more serious crimes not being properly chased.
A hit and run driver would benefit from inaccurate information on his license plate and the inability to follow up on it.
The figures were heavily criticised by the opposition, with Tory MPs saying the latest revelations were one in a long list of database failures by the Labour government.
The DVLA said it relied on motorists to keep their details up to date, but large fines were given to those who failed to do so.
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