Issue - meetings

To consider a report by the Head of Planning, Public Protection and Regulatory Services (copy enclosed) seeking the Committee’s review of the current tariff charges for hackney carriage vehicles (taxis).

RESOLVED, by majority vote, that –

(a)      officers be instructed to consult on the implementation of an increase to the tariff by 5% (rounded to the nearest full percent) in line with the Retail Price Index for Motoring;

(b)      officers be authorised to proceed with a statutory notice with an implementation date of at least 28 days following publication of the notice, and

(c)      officers be instructed to prepare a report for the next Licensing Committee if any objections were received to that statutory notice.

[Councillor Win Mullen-James abstained from voting on this item because she had joined the meeting late and had not been present for the whole debate.]

The Public Protection Business Manager (PPBM) submitted a report (previously circulated) seeking the Committee’s review of the current tariff charges for hackney carriage vehicles (taxis), including options for consideration and recommendations on the way forward.  The current tariff charges had been set in July 2022.

Following a request from a licensed driver, officers had consulted on a proposed 10% increase to all tariffs and extras to ascertain the views of the licensed trade.  The responses included general support for an increase and numerous alternative variations of the proposal.  The Licensing Consultant’s Report on the 2022 fare review had recommended a methodology for calculating future fares which was reliant on sufficient data being provided by the licensed trade; that engagement work had commenced with no definitive timescale for completion.  In the absence of that data, the Consultant had recommended using the Retail Price Index (RPI) for Motoring (4.8% as of August 2023) as a tool to increase/decrease fares.

The PPBM guided members through the report in detail and options available to either retain the current table of fares, support the proposal for a 10% tariff increase, or support an increase in line with the RPI for Motoring.  If members supported a fares increase a public consultation would be undertaken on the proposal with any objections brought back before the Committee for consideration.  Any final tariff would be subject to a Lead Member Delegated Decision.  Officers had recommended consultation on a tariff increase of 5% (rounded to the nearest full percent) in line with the RPI for Motoring as recommended by the Consultant.

Members considered the report and options available to them, and there were mixed views as to the best way forward.  Questions were raised with the PPBM on various aspects of the report and initial consultation with the trade, with some concerns raised regarding assumptions that non-respondents were not supportive of a review, the general lack of response from the taxi trade to inform the process, and inflation rate fluctuations when used as a basis for tariff increases.  Whilst general concerns were raised regarding the timing of a tariff increase during a cost of living crisis and impact on taxi users, regard was also given to the impact on the taxi trade who were dealing with increased costs affecting the industry.  It was felt there should be a more structured approach to reviewing tariffs on a regular basis.

The PPBM responded to members’ questions and comments as follows –

·       there were no statutory timeframes for reviewing taxi fares and charges

·       following the request for a tariff increase it was considered appropriate to gauge support for an increase from the taxi trade

·       280 licensed drivers had been consulted, 56 had responded with 47 in support of an increase, which was considered sufficient to proceed with a review

·       there was no methodology behind the assumption that those who failed to respond were satisfied with the current tariff, and given the low response rate to consultations generally, that assumption could not be satisfactorily concluded

·       officers were working to engage with the taxi trade as recommended by the Consultant with a view to calculating future fare increases and on completion of that work regular reviews would be carried out on a structured and timely basis

·       whilst the consultees and respondents had been referred to as licensed drivers, they also included taxi business owners and proprietors

·       if a fares increase was supported a wide-ranging consultation with the public and stakeholders  ...  view the full minutes text for item 5