Agenda item

Hackney Carriage Tariff Fare Scales - Review

From time to time the Hackney Carriage trade requests that we, the Council, increase the amount that they can charge their customers, the last such request was in February 2014. This report sets out the recent history and current fare levels in Waverley.

 

The decision on whether to increase the maximum fare level is an Executive function. On the 29 March 2022 the Executive agreed to advertise/consult on a new maximum fare tariff.

 

Following consultation (from 01 April to 18th April) officers received 3 comments. The Executive is being asked to consider the 3 comments received and agree the new maximum fare tariff (with or without modifications) to come into effect on the 17 June 2022.

 

The Licensing & Regulatory Committee 23 May 2022 considered the report and recommended that the Executive agree the proposed advertised new maximum fare tariff (with the addition of a discretionary booking fee element of £1 modification) and to agree that the maximum fare tariff comes into effect on the 17 June 2022 (within 2 months of the first specified date  - last date for objections on the scale of fares consultation 18 April 2022). A copy of the minutes is attached at Annexe 6.

 

Recommendation

 

It is recommended that ….

 

2.1.      the Executive considers the comments, the Licensing & Regulatory Committee recommendation and agree the maximum fare tariff (with or without modifications).

 

2.2.      the Executive’s agreed maximum fare tariff comes into effect on the 17 June 2022 (within 2 months of the first specified date -last date for objections on the scale of fares consultation, 18 April 2022).

 

2.3     the Executive consider and decide the frequency of future reviews – (DFT current guidance consultation recommends every 12 months).

 

 

 

Decision:

RESOLVED

 

1.         that the Executive considers the comments, the Licensing & Regulatory Committee recommendation and the maximum fare tariff (with modification to retain the existing 60p booking fee) be agreed.

 

2.         the agreed maximum fare tariff comes into effect on the 17 June 2022 (within 2 months of the first specified date - last date for objections on the scale of fares consultation, 18 April 2022).

 

3.         the frequency of future reviews in line with DFT current guidance consultation of every 12 months be agreed.

 

Reason: The recommendation is in response to the request from the Hackney

Carriage Operators for a review of fares and subsequent comments made

following consultation on the scale of fares. It is important to find a balance

between the income generated by Taxi Drivers, to cover their day to day costs

and the costs associated with the licensing process, as well as setting fares

which meet the needs of residents and visitors to the area.

 

The hackney carriage fare review process has been carried out historically on an ad hoc basis and upon request. Department for Transport guidance on ‘Taxi and private hire vehicle licensing: best practice guidance’ (March 2022) confirms that fare scales should be ‘designed with a view to practicality’ and it is good practice ‘to review the fare scales at regular intervals’. The guidance also suggests that ‘Authorities may wish to consider adopting a simple formula for deciding on fare revisions as this will increase understanding and improve transparency of the process’. Further, that in reviewing fares authorities should ‘pay particular regard to the needs of their travelling public, with reference both to what it is reasonable to expect people to pay but also to the need to give taxi drivers sufficient incentive to provide a service when it is needed’.

 

[Resources Overview and Scrutiny Committee]

Minutes:

Councillor MacLeod, Portfolio Holder for Enforcement, Operations and Brightwells, presented the report which set out the responses to the consultation carried out on the review of Hackney Carriage tariff fare scales.  The Licensing and Regulatory Committee had recommended an increase of the booking fee to £1, however officers had advised that this would result in short journeys in the borough becoming more expensive and therefore it was proposed to retain the current 60p booking fee.

 

Councillor Clark spoke in support of the proposals, highlighting the vital transport service provided to residents by private hire vehicles and that this should remain financially viable in light of rising fuel costs.  It was also proposed that the DFT guidelines should be adopted to review the fares every 12 months.  The Leader echoed the comments made.

 

RESOLVED

 

1.         that the Executive considers the comments, the Licensing & Regulatory Committee recommendation and the maximum fare tariff (with modification to retain the existing 60p booking fee) be agreed.

 

2.         the agreed maximum fare tariff comes into effect on the 17 June 2022 (within 2 months of the first specified date - last date for objections on the scale of fares consultation, 18 April 2022).

 

3.         the frequency of future reviews in line with DFT current guidance consultation of every 12 months be agreed.

 

Reason: The recommendation is in response to the request from the Hackney

Carriage Operators for a review of fares and subsequent comments made

following consultation on the scale of fares. It is important to find a balance

between the income generated by Taxi Drivers, to cover their day to day costs

and the costs associated with the licensing process, as well as setting fares

which meet the needs of residents and visitors to the area.

 

The hackney carriage fare review process has been carried out historically on an ad hoc basis and upon request. Department for Transport guidance on ‘Taxi and private hire vehicle licensing: best practice guidance’ (March 2022) confirms that fare scales should be ‘designed with a view to practicality’ and it is good practice ‘to review the fare scales at regular intervals’. The guidance also suggests that ‘Authorities may wish to consider adopting a simple formula for deciding on fare revisions as this will increase understanding and improve transparency of the process’. Further, that in reviewing fares authorities should ‘pay particular regard to the needs of their travelling public, with reference both to what it is reasonable to expect people to pay but also to the need to give taxi drivers sufficient incentive to provide a service when it is needed’.

]

Supporting documents: