This area of the law is confusing I'm afraid, the situation as I understand it is as follows:- A towed car is considered to be a trailer in this circumstance and is therefore subject to a restriction whereby it must have operating brakes if the trailer weight (In this case the cars weight) >750Kg. Very few cars come under this weight limit (Funtech do some) and therefore will require something called an over-run brake system which are very costly and complicated to fit, also automatic cars cannot be towed in this fashion.