The Supreme Court’s final ruling on the Uber vs Delta Taxis and Veezu case – otherwise known as the “Sefton” case – appears to bring the issue of VAT on private hire fares to a conclusion.
Well, sort of. As we know with these court cases, these rulings don’t always set a legally binding precedent. And the circumstances tend to differ between operators, so judges are keen to avoid this.
However, it does appear that the ruling has given the Government enough ammunition to head off the threat of full 20% VAT on fares. This had been a genuine concern, though the recent Government consultation on the issue hinted heavily that full VAT was not the preferred option.
Clearly, whacking a 20% price hike on private hire customers could be a bit of a vote-loser in tough economic times. Pensionsers, low-earning workers and hospital visitors are not those who should be facing increased taxes of any form.
the cleanest on the roads, and they’re getting cleaner, as most fleets are transitioning to a combination of hybrids and electric vehicles.
Indeed, private hire vehicles, which typically cover much higher mileages than regular cars, are considered low-hanging fruit (alongside delivery vans) for switching to electric power, as the effect of replacing a diesel PHV with an EV is similar to taking up to 10 private cars off the road.
Clearly the environmental argument in favour of buses and trains just doesn’t stand up. PHVs are as clean as any form of public transport, if not cleaner, and instead of fiddle-faddling about with margin schemes, the government should make private hire zero-rated.
The uncertainty over the Sefton appeal has meant the Government is unlikely to make a ruling until all relevant ongoing court cases have been settled. Another case involving ride-hailer Bolt also has major implications.
“
Clearly, the environmental argument in favour of buses and trains just doesn’t stand up. PHVs are as clean as any form of public transport, if not cleaner, should be zero-rated for VAT. ”
The Government has suggested that it would prefer something along the lines of the Tour Operators’ Margin System (TOMS), which decrees that VAT is only chargeable on the operator’s commission element of the fare.
So instead of 20% on the whole fare, VAT would only be charged on a small percentage. If an operator took a 15% margin on a £20 fare, that would mean VAT is only charged on £3.
Twenty percent of £3 is 60p, which is a lot less than the £3 that would be added to the fare if full VAT were added. In most cases, the operator can absorb the VAT, and the drivers – who are rarely VAT-registered as they don’t earn anywhere close to the £90,000 annual VAT threshold, are absolved from any burdensome paperwork.
While few in the industry would balk at a “PHOMS” being adopted as the norm, we would challenge this logic. Why should private hire be subject to VAT at all, when other forms of public transport are zero-rated?
Buses, trains, trams and yes, hackney taxis, are not subject to VAT. In the Government’s consultation, it outlines why this is the case. A bus, train or tram takes large numbers of passengers, therefore it provides a cleaner and greener way of moving people than multiple cars.
Maybe this logic is supportable if taxis were all dirty diesels, but the world has changed. Private hire vehicles are among
In this case, it has been ruled that the passenger’s contract is with the individual Bolt driver, rather than with Bolt. In effect, Bolt does not operate any differently to a traditional private hire firm, so its fares should not be subject to full VAT.
Given that Uber and Bolt operate in almost exactly the same way, it would appear that Uber’s decision to accept that it should pay VAT on fares may have been wrong. HMRC is no longer chasing Uber for VAT payments, and it could be that the only fares that are subject to VAT are B2B contract jobs, where the customer is VAT registered and can claim back the VAT –Addison Lee operates like this.
Indeed, the whole “worker status” issue may come under the spotlight. If all private hire drivers are self-employed contractors, is worker status appropriate, or compatible with the latest judgements?
Might Uber end up taking away those sick pay, holiday pay and pensions benefits that were forced upon it after the ADCU and IWGB forced the previous government to apply worker statue to private hire drivers and others including couriers and food delivery drivers and riders?
Until the Bolt case progresses through the appeals system – and HMRC is appealing the verdict – the Government will not make a definitive decision on VAT. Indeed, this may have to wait until wider legislation on private hire is proposed – and that’s another story. Stay tuned!
Manchester Mayor Burnham demands Government ban on out-of-area licensing
Greater Manchester Mayor Andy Burnham (pictured) has again called for the government to end the practice of letting drivers operate outside the area where they are licensed.
Burnham has met key government ministers, including the transport secretary Heidi Alexander, to demand a change to the English Devolution Bill that would end the practice, introduced via the Deregulation Act of 2015.
Burnham claimed 49% of private hire vehicles in Greater Manchester were registered outside the area, mainly in Wolverhampton.
Burnham said: “For too long, communities in Greater Manchester and across the country have been at the mercy of a broken taxi system that allows private hire vehicles and drivers to be licensed hundreds of miles
from where they live and operate. This is not just a matter of fairness for locally licensed drivers to protect their livelihoods – it’s a matter of public safety.”
He continued: “Greater Manchester has led the call for reform, and it’s great to see that being backed by our local MPs. With the government having already accepted Baroness Casey’s recommendation regarding out of area licensing – further reinforcing the
urgent need for change – this Bill provides an opportunity for decisive action to be taken by the Government.” Burnham said former Transport Secretary Louise Haigh had given “a firm commitment” to address the issue.
However, many Manchester drivers say they only get licensed in Wolverhampton because the service is cheaper and faster than local council services in Greater Manchester – where reports of delays of up to 10 months in getting licenses processed have been reported.
Professional Driver’s own research into the issue showed substantial savings from going to Wolverhampton. In 2024, a firsttime license application in Wolverhampton cost £49 for one year or £98 for three years. compared to £255 in
Greater Manchester for a three-year license.
It cost between £222 and £342 to register a vehicle in Manchester, depending on its age. But Wolverhampton Council, only charges £95 to register a vehicle under 10 years old.
Wolverhampton also kicked back at Burnham’s insinuation that its standards were inferior to Manchester’s. In a statement, the council stated: “We lead the way nationally on using technology to help with safeguarding, including being the only council to do daily DBS checks on all drivers and the first council to offer drivers' licence checks by smartphone.”
“We implement the government’s statutory standards and best practice guidance. We also have officers out across the country, every Friday and Saturday night, working to protect the public.”
Sherbet secures £40m funding for major fleet expansion
Black taxi operator Sherbet has secured a £40 million funding package to help it grow its fleet of hybrid electric taxis in London.
The investment, provided by venture capital firm HOF II Holdco, is the largest ever in the black cab sector, the company says, and it will enable Sherbet to grow its fleet from 550 to 3,000 cabs over the next three years.
Sherbet founder Asher Moses said the funding would turn Sherbet into “a zero-emissions, tech-enabled mobility platform fit for the 21st century”.
He said: “This investment marks a turning point, not just for Sherbet, but for the future of the black cab industry. The black cab is a globally recognised symbol of London — trusted, iconic and deeply woven into the city’s identity. Yet for too long, it has lacked a dedicated
guardian committed to modernisation.”
“Our mission is to step into that role, not only to preserve its heritage, but to equip the trade with the technology, data and scale it needs to thrive. With this investment, we’re laying the foundation to reposition the licensed industry and establish Sherbet as its new home: electric, innovative, and built for the future.”
As well as new vehicles, the expansion strategy will support the devel-
opment of a comprehensive technology platform for drivers, integrating access to bookings, data, advertising opportunities and advanced analytics to help drivers increase their earnings and job security.
The cabs will also be equipped to provide real-time environmental, traffic and road safety data to city authorities, bolstering London’s smart city credentials.
Sherbet has also pledged to invest in the next generation of taxi drivers through the Knowledge School pipeline, ensuring the long-term sustainability of the trade.
The black taxi sector has been hit hard by drivers leaving the sector over the past few years, with numbers dwindling from more than 24,000 a decade ago to fewer than 16,000 now.
Mark Bursa
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Row on Glasgow taxi limits escalates as council launches independent review
Mark Bursa
The row over taxi and private hire vehicle numbers in Glasgow is rumbling on, with trade bodies claiming a handful of “influential voices” are being prioritised over public opinion.
Glasgow’s licensing committee has instigated an independent review of its overprovision policies after officials reported there were conflicting views on whether they should be scrapped.
A public consultation found 93% of 4,440 respondents were in favour of the private hire cap while 90% supported a license limit.
But council-commissioned reports highlighted a lack of late-night transport options, including the availability of taxi and private hire cars, claiming this was a deterrent to people visiting the city centre. Both Glasgow Chamber of Commerce, and council leader Susan Aitken all say the caps should be removed in order to boost the nighttime economy.
Ride-hailing app Uber also wants the limits to be scrapped, but trade groups, including the Scottish Private Hire Association (SPHA), Glasgow Taxis and Unite the union, say they should remain.
They have claimed
removing the caps would flood the market, forcing drivers to work more hours to make a living and causing safety concerns.
Glasgow currently has a limit of 1,420 taxis and 3,450 private hire cars, and these will remain in place while the review is conducted. But the SPHA expressed “significant disappointment” with the decision to launch an independent review, saying it “undermines the value of the recent public consultation, which showed overwhelming support for retaining the existing licence caps”.
The SPHA said: “Over 3,800 members of the public reported no issues with securing a ride. This level of public engagement and consensus is remarkable and, in our view, should have been a clear and decisive factor in the committee’s decision-making.
We have to ask, what was the point of the consultation if not to guide the final decision? The public has spoken, yet their opinion is being set aside in favour of a second process.”
The association concluded: “It appears to prioritise a small handful of written submissions from influential voices over the vast majority of the public, whose views were clearly articulated in the survey. It feels as if the council doesn’t get the answer it wants, it will try again until it does.”
However, a council spokesman said the committee was “simply implementing an earlier decision to undertake a full, independent review of the taxi and private hire car overprovision policy”.
He said it was a “regular feature of the regulatory system” and findings from the public survey will be
handed to the independent consultants.
Glasgow’s licensing committee backed the independent review at a meeting on Wednesday. It had been recommended in a report by officials, which stated written responses showed a “very strong belief” that the cap on numbers was having a significant and detrimental impact on late night transport options. “This in turn has had a negative effect on the city’s hospitality and late night economy,” the report said.
Uber backed the review, and called for the caps to be lifted. A spokesman said: “It’s right that an independent review is now conducted by an external third party. The outcome needs to be a data-driven decision.”
He added: “The data is clear that the lack of private hire cars is damaging the night-time economy as leaders within that industry have voiced. Demand for Uber as a service has increased 47% since 2019 while supply of vehicles has only increased by 7% over the same time period.”
Glasgow Taxis did not agree. The company said its research showed “limited evidence of unmet demand” with wait times “driven by inefficiencies rather than a shortage of vehicles”.
Colchester consults on voluntary in-cab CCTV plan
Colchester City Council is inviting drivers, operators and local residents to take part in a public consultation on the future of CCTV in hackney carriages and private hire vehicles.
The consultation forms part of a wider review of the council’s taxi licensing policy. The council has not mandat-
ed CCTV installation, though it encourages voluntary use.
The council believes a low number of reported incidents inside taxis may not justify the costs and legal responsibilities that mandatory CCTV would bring. However, if it changes tack and
makes CCTV compulsory, the council would become the legal data controller for all footage, with associated costs and regulatory responsibilities. There are also implications for operators and drivers.
The council’s approach is in line with national guidance and mirrors the practices of neighbouring authorities. The public consultation runs until November 6, 2025 and can be found here:
Edinburgh drivers in go-slow protest against council
Edinburgh private hire drivers have staged a go-slow protest against the council’s policy on private hire.
More than 150 drivers took a slow-moving convoy of cars through the city to the council offices on East Market Street, tooting their horns.
The private hire drivers said they were being treated as second-class drivers compared to the city’s black cab drivers. Currently, private hire drivers are not allowed access to bus lanes in the same way that black cabs are. They are also required to remove factory-fitted window tinting in all their cars, which they say is costly and unnecessary.
A spokesperson for Edinburgh Private Hire Drivers United, which organised the convoy, said: “We are a vital part of Edinburgh’s transport network, providing hundreds of thousands of journeys every week, from school runs to late-night travel.
Despite this, we are treated as second-class to the hackney trade and are repeatedly ignored on key issues.
We want to be treated as part of the solution to Edinburgh’s transport challenges, not as part of the problem. We hope this action will finally get the council to listen to our concerns.”
Private hire vehicles have only been permitted in Edinburgh since 1984, but the numbers have grown rapidly through the arrival of ride-hailing services such as Uber and Bolt.
A spokesperson for City of Edinburgh Council said: “An open letter was delivered to council offices today by Edinburgh Private Hire Drivers United yesterday and the matter will be considered in due course.”
Manchester Airport under fire for poor policies and facilities
Mark Bursa
A Greater Manchester private hire drivers’ group has written a strong letter to Manchester Airport, demanding improvements in policies and conditions provided to drivers.
The Oldham Private Hire Drivers Association said poorly implemented drop-off and pick-up policies were costing drivers in fines, while facilities provided for drivers were unacceptable.
In particular, OPHDA said the recently introduced barrierless pick-up and drop-off system was not only poorly implemented but was “deliberately causing confusion and hardship for drivers.
The association said: “The lack of clear signage, guidance, or transitional support has resulted in hundreds of penalty notices—many issued even to those who have registered
and paid via AutoPay. This is unacceptable.”
“It is clear that the airport is profiting from this confusion, deliberately exploiting drivers with an inadequate system and disproportionate fines. A transition period of at least three months should have been in place to allow drivers to adjust. For the first six months, any penalties should have been capped at a proportionate level of £40, reduced to £20 if paid within 21 days. The current £100 penalty charge is excessive, unfair, and appears to be a deliberate money-making mechanism— completely out of line with the principles being
promoted by Mayor Andy Burnham and his team during trade meetings.”
In addition, the association said the private hire holding area for drivers waiting to collect passengers was “in a dire state”.
“There is nowhere near enough parking for the 200-300 drivers who may be in the holding area at any one time, leading to overflow on to the main road, causing safety risks and gridlock. Toilets are unhygienic, poorly maintained, and insufficient in number. There are no vending machines, no seating areas, and no shelter, despite drivers spending hours on site. The car park is in a poor state of
repair, with large potholes and standing puddles that cause damage to vehicles and present safety hazards.”
OPHCA also said the current 90-minute waiting time limit in the holding area was “completely inadequate”. It said: “For 99% of the time, jobs are not available within that window, forcing drivers to exit and re-enter, increasing congestion and resulting in £50 overstay penalties. The previous 180-minute limit must be reinstated.”
The association also said nearby airport hotels were also now charging for entry or reducing pick-up time to just 5 minutes, making safe pick-ups impossible.
“It is clear that the current systems and facilities fail to respect the role of private hire drivers, many of whom are the first point of contact for international visitors and returning travellers. We are providing a vital public service, but we are being treated with contempt."
FreeNow launches financial assistance to help London cabbies pass The Knowledge
Mark Bursa
Taxi app FreeNow has launched a new financial subsidy designed to help prospective black cab drivers take “The Knowledge”.
FreeNow hopes the move will help halt the alarming decline in the number of the capital's black cabs, with numbers plummeting from more than 24,000 in 2013 to under 16,000 in 2024.
The new initiative has been launched to coincide with the 160th anniversary of “The Knowledge of London”. The renowned test for hackney cab drivers was established in 1865 – in the days of horse-drawn cabs.
FreeNow’s subsidy will cover critical costs for all students currently under
taking or commencing The Knowledge, including tuition fees, application fees, examination fees and licensing fees. The investment aims to accelerate the completion of The Knowledge, which typically takes 3-4 years and costs up to £10,000 for drivers to complete independently.
“The dramatic fall in licensed black cabs over the
past decade, coupled with a lack of clear vision for the trade’s future, compelled us to act once again,” said Danny O’Gorman, FreeNow UK general manager.
“The Knowledge demands immense dedication and financial commitment. By launching this new subsidy, we are removing key financial hurdles, and ensuring the continued availability of London’s world-recognised, safe, reliable, and accessible taxi service,” he said.
This new subsidy builds
on FreeNow’s successful 2023 initiative, which provided financial support to registered private hire drivers transitioning to black cabs. That program is already yielding results, with 30 drivers currently undertaking The Knowledge and a few nearing completion of their studies. Since its launch, more than 1,300 PHV drivers have applied for the previous subsidy.
Steve McNamara, general secretary of the Licensed Taxi Drivers’ Association, said: “In what continues to be a challenging financial period for many, it’s fantastic to see FreeNow stepping up to support both current Knowledge students and existing drivers looking to transition to black cabs.”
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news analysis: vat
VICTORY AND VICTORY AND U
ber has lost its bid to force all private hire operators outside London to charge 20% VAT on fares. The Supreme Court ruled that operators did not enter into a contract with passengers, backing up an earlier ruling in the Appeal Court brought by operators Delta Taxis and Veezu.
Uber took the action after a 2021 Supreme Court ruling that Uber drivers were workers, making them eligible for the minimum wage and holiday pay, and making Uber subject to VAT for journeys.
Uber sought (via the 'Sefton' Case) to have the same terms applied to rival operators, and the High Court initially ruled last year that private hire operators entered into a contract with passengers, meaning they must charge 20% VAT as Uber is required to do.
But the Court of Appeal overturned the ruling in July 2024 and now the Supreme Court has now unanimously dismissed Uber’s final appeal, bringing the case to a close.
The ruling applied to rides in England and Wales outside London, which has a different regulatory regime.
An Uber spokesperson said the ruling “confirms that different contractual protections apply for people booking trips in London compared to the rest of England and Wales”, but has “no impact on Uber's application of VAT”.
Lawyer Layla Barke Jones of Aaron & Partners, who represented Delta Taxis in the action, said “a crisis has been averted” for the private hire sector, as victory for Uber would have badly affected many private hire operators. Veezu said the ruling avoided significant fare increases, with its chief legal officer Nia Cooper hailing the decision as “a triumph for the UK private hire sector”.
In a separate case, rival ride-hailing operator Bolt this year overturned an ruling by HMRC on appeal that it has to charge VAT at 20% on rides. The court ruled that Bolt is only liable for VAT on its margin, rather than the full cost of the trip. HMRC has since been granted permission to challenge the ruling at the Court of Appeal.
Kimberly Hurd, Bolt’s UK senior general manager, welcomed the Supreme Court's decision on Uber’s
The threat of 20% VAT on private hire fares has been lifted following the Supreme Court's ruling in the Sefton case, And a further action involving Bolt might result in a level playing field. Mark Bursa reports
appeal, but said a new regulatory framework was needed so rules were consistent across the UK.
Indeed, the final outcome of the Bolt case could be every bit as significant as the Veezu/Delta victory. This is likely to go the distance, with an hearing at the Court of Appeal and, if this goes against HMRC (which is likely given the similarities between Bolt and Uber) it will probably end up in the Supreme Court too.
Providing the Supreme Court also refuses the HMRC appeal, that will be the end of the issue. Full 20% VAT will be off the table, and the Tour Operators’ Margin Scheme (or a version of it retooled for Private Hire) will become,the only game in town.
In the wake of the Bolt ruling, HMRC has stopped requiring Uber
to collect full VAT on its ride-hailing platform.The court ruled that Bolt was not acting as “principal” in supplying transport from self-employed drivers, and therefore its fares should only qualify for VAT on the margin – just like Veezu, Delta and most other private hire firms.
Bolt charges VAT under the TOMS, which means drivers who earn less than £90,000 per annum (in other words, all of them) do not have to be VAT registered and therefore do not have to charge VAT.
The tribunal ruled that Bolt’s drivers remain independent contractors rather than employees or ‘workers’, so Bolt was not the principal in the transaction and therefore not responsible for full VAT. The upshot is lower fares for Bolt customers – and potentially far
VICTORY FOR VEEZU AND DELTA IN UBER VAT APPEAL VICTORY FOR VEEZU AND DELTA IN UBER VAT APPEAL
less VAT revenue for HMRC.
The Bolt ruling means HMRC has dropped its insistence that Uber keep paying VAT on the full cost of fares, instead of just on the company’s margin, and will do so until the matter is fully resolved in court, according to Uber’s quarterly financial statements. The implication is that if Bolt can charge VAT on margin only, there is no reason why Uber should have to as well, as the two business models are nearly identical.
HMRC has demanded Uber pay VAT on whole fares since 2022 when the company was forced by a UK Supreme Court ruling to start treating drivers as ‘workers’. Every quarter, after Uber pays the lower amount it says it owes, HMRC sends an “assessment” totalling more than £100m to cover the difference.
Uber has until now needed to pay the assessments “in order to proceed with the appeal process”, according to successive quarterly filings. The disputed amount it has paid now totals £1.4 billion. “The payments do not
represent our acceptance of the assessments,” Uber has said.
“HMRC has expressed their intention to not enforce assessments pending the determination of the appeal of a competitor on a related matter,” Uber said in a statement.
The upshot for Uber is that the company is likely to get what it wanted – parity in fares terms with other operators – through nobody charging VAT on anything but the margin, rather than everyone having to charge the full amount – which is what Uber had sought.
Where this leaves the “worker” status of Uber’s drivers is not clear. If the driver is the “principal” in the transaction of hiring a private hire car, then the logical conclusion is that the driver is a private contractor, not a “worker” or an employee.
Whether this will be made explicit is doubtful. The worker status stems from an employment tribunal, not a dispute over VAT. Uber may reconsider its position over worker status, which might have serious implications
for worker benefits such as sick pay, holiday pay and pensions.
The Uber and Bolt rulings may also have an impact on the Government’s own consultation on VAT on fares, which ran earlier this year.
This was worded in such a way as to suggest that a TOMS-style margin scheme was the preferred outcome, and the upshot of these rulings would give that considerable support.
As a compromise position it would probably be acceptable to the industry – even though there is a strong argument that private hire fares should be in line with bus and train fares – exempt from VAT altogether – as private hire is often the only transport available in remote areas.
The argument that buses are environmentally friendlier is also difficult to support given the increasing switch of the private hire sector to cleaner electric vehicles.
But ultimately, it may prove easier to settle for a TOMS solution, which would signify that the threat of 20% VAT on fares is a dead issue. Phew!
The Government’s Transport Committee is holding a new inquiry into private hire licensing. But earlier parliamentary discussions show there is a significant shortfall in understanding of the key issues. Mark Bursa looks at what needs to be done
CROSS-BORDER HIRING MUST BE PART OF NATIONAL
PHV
STANDARDS CROSS-BORDER HIRING MUST BE PART OF NATIONAL PHV STANDARDS
The Government’s Transport Committee’s consultation into the private hire sector was widely expected following the publication of Baroness Casey’s report into child sexual exploitation, which highlighted the role of taxi drivers in the 2012 Rotherham grooming gangs scandal.
Safeguarding was identified as a major issue, and much has been done to improve matters, including mandatory training for drivers as part of the licensing process.
Putting occupant – and driver - safety at the heart of private hire licensing is the correct thing to do. However, recent statements from the government have caused concern from the private hire sector, with strong evidence that the government is targeting the wrong issues, in particular “out of area” licensing and cross-border hiring.
The Deregulation Act (2015)
There is significant concern that the Government is seeking to reverse or compromise the terms of the Deregulation Act of 2015, which has been a major benefit to the private hire sector in terms of efficiency and elimination of dead mileage” (cars running empty, without passengers). It has also allowed a better and faster – and hence safer – pick-up service to be offered.
A debate was held into the Deregulation Act in the House of Commons earlier this year. It was described by David Lawrie, head of the National Private Hire and Taxi Association, as “poorly researched and presented”, and containing many “misleading and incorrect” points.
It would appear that a lack of understanding of these issues means there is a serious risk of bad legislative decisions. It is clear that the Government should seek a broader range of views from the industry before making decisions that could potentially make matters worse.
Safeguarding
This debate seemed to suggest that major changes to the Deregulation Act, ending the principle of “cross-border hiring”, would increase the safety of children being transported by taxis, and avoid a repeat of the appalling Rotherham grooming gang scandal, where a group of paedophiles used taxis to pick up vulnerable children from schools.
news analysis: PH consultation
It is important to note at this point that the Rotherham scandal took place between 2007 and 2013, pre-dating the Deregulation Act and its well-meaning provisions that allow drivers licensed out-of-area to pick up pre-booked fares.
More than 20 people were jailed for their involvement in Rotherham, and it is clear that those who were licensed as taxi drivers were licensed not “out of area” but in Rotherham. Since the scandal, the government has introduced safeguarding guidelines which should be part of every licensing application. This, along with extended DBS checks, should ensure that potential paedophiles are identified and taken out of the licensing process.
It is down to local authorities to enforce the rules, but it is clear that the system, which lacks national coordination, does not ensure that the same processes are applied in every area. This is something that should be addressed. But it’s important to emphasis that changing the Deregulation Act will not do this.
Out of area licensing
The Deregulation Act removed the previous requirement for drivers to be licensed in every district in which they operate. The Act allowed drivers with a licence from one district to operate anywhere in England and Wales, with the exception of London and Plymouth, which have different regulations.
The Act also allowed a PHV operator to subcontract bookings to an operator licensed in a different district within England and Wales (outside of London and Plymouth). This means a driver with a licence from one local authority can work in other districts, a practice previously restricted.
A result of this has been the growth in out-of-area licensing. In particular,
Wolverhampton City Council has geared up to offer a fast and efficient licensing service. This has allowed drivers to avoid delays caused by inefficient and under-resourced councils.
Andy Burnham, the Mayor of Greater Manchester, has voiced his annoyance at seeing almost half the PHVs in Greater Manchester licensed in Wolverhampton.
Speaking recently, Burnham said: “For too long, communities in Greater Manchester and across the country have been at the mercy of a broken taxi system that allows private hire vehicles and drivers to be licensed hundreds of miles away from where they live and operate.”
“This is not just a matter of fairness for locally licensed drivers to protect their livelihoods – it’s a matter of public safety.”
He called for changes to the rules to stop out-of-area licensing. “We want to guarantee our residents that if they’re getting in a Greater Manchester taxi – no matter how they book it – it’s one that meets high standards we expect across all public transport. To do that, we need national change in the English Devolution Bill to both devolve taxi powers to city-regions and stop the ability for vehicles and drivers licensed in non-GM authorities to operate here. Such a change will give political leaders more control over measures that impact public safety, vehicle standards, emissions and accessibility.”
He appears to be suggesting that a Wolverhampton-licensed driver is somehow less safe than one licensed in, say, Stockport of Bolton. This is disingenuous in the extreme.
Firstly, the Wolverhampton-licensed Manchester drivers are, almost entirely, Manchester residents. Those
CONTINUED ON PAGE 16
news analysis: PH consultation
CONTINUED FROM PAGE 19
Wolverhampton-plated cars are not drivers from the Black Country commuting to the north-west every day to steal jobs from local cabbies. No, they are Mancunian drivers frustrated at the wait – up to 10 months in extreme cases - to get a license issued locally. Wolverhampton offers a better, faster and cheaper service, so they go there.
Our research showed that in 2024, a first-time license application in Wolverhampton cost £49 for one year or £98 for three years, compared to £255 in Greater Manchester for a three-year license. It cost between £222 and £342 to register a vehicle in Manchester, depending on its age. But Wolverhampton Council only charges £95 to register a vehicle under 10 years old. Drivers also say it is much quicker to get licensed in Wolverhampton, citing delays of several months with some Manchester councils.
Manchester could stop the practice immediately if it followed Wolverhampton County Council’s example and invested heavily in systems and manpower in order to speed up the licensing process, and matched Wolverhampton’s prices.
Additionally, there is no evidence to suggest licensing standards in Wolverhampton are in any way lower than those in Manchester. Indeed, Wolverhampton has issued a statement that outlines that in many cases, it offers greater safety than most councils.
The Council stated: “We lead the way nationally on using technology to help with safeguarding, including being the only council to do daily DBS checks on all drivers and the first council to offer driver licence checks by smartphone. We implement the government’s statutory standards and best practice guidance. We also have officers out across the country, every Friday and Saturday night, working to protect the public.”
The Council’s statement added: “We do not gain financially from taxi licensing, as the fees are legally ringfenced for spend only on related activities.”
It is our view that Andy Burnham is wrong. Out of area licensing is a product of inefficient practices within local councils including those within Greater Manchester, not a desire by drivers to avoid higher standards.
The same problems have beset Transport for London, where thousands of drivers have been unable to work as a result of delays in processing license applications. This has forced TfL to issue temporary licenses to drivers – a risk, given that the full, rigorous checks implicit in the application process will not have been applied.
Trade associations and unions have described TfL’s licensing system as being “unfit for purpose” and have demanded change.
The ABBA principle
A further complication of making unnecessary changes to the Deregulation Act would be a risk of reintroducing inefficiencies that the Act has successfully removed. In particular, the Act allows drivers to pick up jobs in other areas as subcontractors to local operators.
So, if a driver in Manchester picks up a passenger who wants to go to Liverpool, that driver can take a subcontract job from a Liverpool operator to carry a passenger to Manchester. This saves two empty journeys of around 40 miles – without this provision, the Manchester driver would have to return empty from Liverpool to Manchester, while the Liverpool driver who took what would have been the “return fare” would have had to return to Liverpool from Manchester empty. This means two cars are doing the work of one; a car is unavailable to local people in Liverpool; and twice as much fuel and pollution is emitted by the cars.
Unbelievably, TfL officials have suggested that this practice, known as the “ABBA principle” (A to B, B to A) should be a legal requirement.
This would cause enormous problems for operators whose drivers – principally executive chauffeurs –who are booked for blocks of time to “work as directed”.
TfL previously outlined the ABBA proposal in a 2018 policy paper, though it was roundly criticised by trade associations at the time. However, Helen Chapman, TfL’s director of licensing, regulation & charging, says it remains the preferred solution.
Our view is this would be an incredibly retrogressive step for the private hire sector. The growth of apps and
booking platforms mean huge savings in efficiencies have been implemented across the trade, focusing on the elimination of “dead mileage”.
The ABBA principle would completely destroy that work, and should not be considered as a solution under any circumstances.
Regardless of basic minicab journeys, chauffeurs are also governed by private hire regulations, and there is absolutely no way that with modern B2B chauffeur working patterns – inter-city travel, airport runs, and so on – journeys can end in the same place they started.
Working “as directed” remains a major feature for many chauffeurs, and it is vital that the nuances of executive car services should be factored in to the debate, perhaps with a separate class of license for chauffeurs that includes some form of vocational training, as proposed by the Guild of Professional Chauffeurs and others.
National Licensing
So how do we improve licensing in the private hire sector? The solution is obvious. The industry requires a National Licensing Standard, along the lines of bus (PSV) and truck (HGV) licensing.
If there was a true national standard, the argument that an “out-of-town” driver is somehow of a lower standard than one licensed in a “home” town would disappear. PSV-licensed bus
Greater Manchester Mayor Andy Burnham is upset that many local taxis are Wolverhampton licensed
drivers who passed their bus tests in Wolverhampton or Manchester can drive a bus in any town. The same should apply to PHVs.
Licensing expert Professor John Button has proposed a plan where all national licensing is channeled through Wolverhampton, with all councils agreeing a standard that matches best practice.
Part of that plan would be to allow local authorities to enforce those standards on all cars and drivers operating in their area, regardless of where they are registered.
Getting free of the shackles of “local” thinking is the key to making a better and safer system of licensing. The NR3 database needs to be rigorously applied, and there should be no loopholes that allow unsuitable individuals to become private hire drivers. Safeguarding must be paramount, and the mechanisms are already there to ensure that is the case.
If the Government wants to make serious changes to licensing, it should work with major authorities and come up with a full set of true national standards for PHV driver licensing, ensuring that drivers are fully vetted and checked to the most rigorous of standards, regardless of where they live and regardless of where they work.
Standard prices across England and Wales should be part of this system, so there is no financial advantage for
drivers going elsewhere. The issue of efficiency would effectively concentrate licensing into a number of councils that, like Wolverhampton, have invested in systems and manpower to ensure fast processing. Those that cannot match this level of efficiency could close their licensing departments and simply recommend where their drivers go.
The system would allow a degree of flexibility in terms of vehicle standards (for example signage or specific colours), but should remove unreasonable behaviour, such as councils refusing to license vehicles because window tints are considered too dark – even though the windows were a standard factory fit. Other contentious issues such as in-cab CCTV could also be local decisions.
None of these more local changes would have any impact on driver licensing, where the bar should be set high to prioritise safety.
VAT charges
Recent court cases involving ride-hailing operators Uber and Bolt have partially resolved the issue of VAT on private hire fares. While the Bolt case is still subject to appeal, the Uber vs Veezu and Delta Cars case has been subject to a Supreme Court ruling, which states that the driver, not the operator, is the “principal” in the contract with the customer, and thus the fares are not subject to 20% VAT
(unless the driver’s earnings are above the £90,000 VAT threshhold.
This allows use of a “margin” scheme similar to the Tour Operators’ Margin Scheme (TOMS) currently in use, which restricts VAT to the operator’s margin on the fare (typically between 10 and 20%). So a £20 fare would be subject to VAT only on between £2 and £4 – or between 40 and 80p. Full 20% VAT would be £4.
It is our view that VAT should be zero-rated on Private Hire Vehicles, bring the trade into line with buses and trains
The argument that trains and buses are zero-rated because they are somehow “greener” than cars is moot as the PHV industry transitions to electric vehicles. This will in essence make PHVs as green – if not greener – than buses and trains.
In any case, a national VAT level (either zero-rated or on the margin) should be applied to all PHVs, regardless of whether they are operated by ride hailing operators or traditional private hire fleets.
Autonomous Taxis
Autonomous taxis are an issue where we believe the government should proceed with caution. The likes of Uber are already running pilot shcemes with a view to a service launch in 2026-27.
The government talks of creating jobs via the development of autonomous technology. However, we believe these jobs would not replace the losses that would be suffered in the private hire, taxi and chauffeur sector.
The private hire sector in the UK employs in the region of 300,000 people. It offers employment to people for whom the skill set of driving safely and offering friendly service should not be understated. The government should think twice about job losses in the face of high employment'?
Additionally, AVs introduce significant challenges in terms of liability and insurance if things go wrong. And the evidence from the US, where AVs are more advanced, is that the technology still carries significant risks of death or injury for users.
Attempting to shoehorn AVs into existing private hire and taxi licensing will only exacerbate those issues. We urge a much more cautious approach than the one being proposed.
TESTING, TESTING! TESTING, TESTING!
August 18 was the day – and more than 120 of you answered the call. The task was judging the 2026 Professional Driver Car of the Year awards at Epsom racecourse – driving and testing more than 50 cars in 6 categories, to choose our winners.
And what a great day it was, with all the cars out on test, all day long. It’s a fun event where you get to network with colleagues and suppliers as well as driving the latest cars.
We’ll announce the winners in each of the six categories: Chauffeur Car, Executive Car, Private Hire Vehicle, Luxury SUV, Estate Car and MPV at our QSi Awards event next January 29 in the Hilton Metropole Hotel in Brighton. Find out more on page 32 of this issue.
This picture gallery gives a flavour of the day as our judges got stuck in to the task of evaluating the cars, including the latest Chinese brand EVs from the likes of BYD, Skywell, XPeng and LeapMotor.
There are more photos on our website – to see them, simply follow the link to: www.prodrivermags.com/car-of-the-year-home/
Sponsored
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REGENERATION REGENERATION
The name signifies a beginning, but it’s fair to say that Genesis didn’t have the best of starts in the UK. The brand launched here in 2021, at the height of the Covid pandemic, and there was a sense that it was trying to move rather too quickly, with a stand-alone team and a rather off-beat approach –no dealers, for example.
There wasn’t much wrong with the product – a couple of electric models soon joined the range to a warm reaction, including the G80, which somewhat surprisingly was voted Professional Driver’s Car of the Year in 2022.
Then again, Genesis is to Hyundai what Lexus is to Toyota. An up-market brand that leverages the tried and tested technology of its parent, so the fact that the product is good should come as no surprise.
With hindsight, there’s more of Hyundai’s infrastructure
that could have been used – and after a couple of years, Genesis was brought into the Hyundai fold, allowing it to make more of the parent’s resources.
Now the initial Genesis models are at mid-life facelift. The company’s three electric models. G60, G70 and G80, have all received a refresh. In the case of the G80, it’s rather more than a simple makeover. Essentially a new car from the B-pillar back, the G80 is longer and more luxurious – and designed with chauffeurs in mind.
The G80 is a big and wide car. While it’s positioned in competition with models such as the BMW i5 and Mercedes-Benz EQE, it’s substantially more roomy in the rear then either of its German rivals. Indeed, it feels more like a Mercedes EQS in terms of rear seat space. However with prices starting at £75,615 for Dynamic trim (replacing the old Luxury level) it is priced well below the £100,000-
REGENERATION GAME REGENERATION GAME
Genesis G80 Genesis G80
plus S-Class/7-series segment. There’s no immediate supply limit, as production capacity is flexible and can be ramped up based on demand.
The Electrified G80 is now exclusively available in extended wheelbase specification. The car is 130mm longer, with all the increase in the rear cabin. Rear passengers now have 995mm of legroom and 950mm of headroom, an increase of 83mm and 20mm respectively over the old G80.
Most of the exterior panels are new. The front bumper has been redesigned and G80 gains twin-line quad headlights which are now equipped with advanced Micro-Lens Array (MLA) lighting technology, using LED bulbs focused to increase their brightness. These also eliminate the need for fog lights, allowing a cleaner front bumper design.
The Genesis ‘Crest Grille’, has been reshaped, though it still incorporates the cleverly-concealed front charging port.
This now has electric opening and closing. The redesigned rear bumper features new chrome highlights. All Electrified G80s feature new 19in Hyper Silver polished concave alloy wheels, which are designed with aerodynamic efficiency in mind and help contribute to a drag coefficient (Cd) figure of 0.25.
The driver now has a new 27in panoramic integrated cockpit display, which handles driver information, entertainment and navigation displays and increases the total information area by 30%. The interface and all convenience features can be accessed via the touchscreen, using voice recognition, or, as many chauffeurs will be relieved to discover, via a new crystal centre console rotary dial. A new three-spoke, multifunction steering wheel with heating function is also included as standard.
CONTINUED ON PAGE 22
Mark Bursa Mark Bursa
road test: Genesis G80
CONTINUED FROM PAGE 21
There are a number of interior colour choices including black, blue, grey and ‘camel’ beige. Leather trim has been extended across the dashboard, door centre trim and roof grips.
An optional Comfort Pack includes 18-way, heated and ventilated Ergo Motion massage seats. A second row Comfort Pack includes power door closing, rear blinds, rear centre armrest with control box, one-touch power curtains, rear window electric sunshade and rear vanity mirrors.
The biggest drawback of the G80 is the boot. At 334 litres it’s a lot smaller than, say, a Mercedes-Benz E-Class’s 540 litres. And the interior is an awkward shape, with a humped floor towards the back of the load area.
All Electrified G80s are now fitted with a new, larger 94.5kWh battery,
giving a combined WLTP range of 354 miles. Dual 136kW electric motors at the front and rear are each capable of producing up to 350Nm of torque, delivering a total power output of 370PS through the all-wheel drive powertrain. Rear-wheel steering is available as a £1.120 option, enhancing driving dynamics, manoeuvrability and stability.
Recharging ability has also been upgraded. G80 uses 800 volt electrical architecture (maximum charging speed is 187kW), meaning the battery can be charged from 10% to 80% in just 25 minutes using a 350kW charge point. The battery is under the floor between the front and rear axles, delivering optimal weight distribution.
On the road, we were delighted to discover the “chauffeur mode” setting, which softens the ride and the throttle
response, making for a more comfortable ride in the rear. A lot of large EVs tend to be a bit harsh in terms of ride, so the G80 is refreshingly ‘wafty’.
We like the use of the steering-wheel-paddle regeneration setting, which has four steps, the most rigorous of which gives one-pedal driving. You’d not want that on with a passenger on board, but on your own, every little bit of regenerated range helps!
You’ll want to turn off much of the driver assistance gubbins though. The lane departure warning is snatchy, and bings and bongs are not welcome for chauffeuring. A one-touch “all off” button would be helpful.
Chauffeurs should appreciate the extent to which Genesis goes in order to provide a personal service. UK brand director Jonny Miller says: “Our approach has been to deliver
premium customer service. A luxury car experience focused on personalised hospitality.”
So rather than buying at a dealership, every customer, retail or corporate, has access to a Genesis Personal Assistant, who provides guidance about Genesis products and services. Cars are collected from home or business and taken away for servicing. The full sales process can be completed online, including finance application and approval.
There are currently only three locations (Genesis calls them ‘studios’) where customers can physically touch and test drive Genesis products: two in London, (Battersea Power Station and White City Westfield) and one in Edinburgh. But that is about to change. Starting this year and moving into next, new Genesis showrooms will be opened in collaboration with retail partners.
“Customers will continue to have the option of at-home services for test drives, vehicle handover, and scheduled servicing, but as Genesis expands, centralised servicing is becoming necessary,” Miller says. An expanded service network is being established throughout the UK, using both existing partners and authorised repair networks, he added.
The warranty package is reasonable at five years, but the mileage limit is only 50,000 so it’s likely that a chauffeur will do well to get past year two. However the warranty is transferrable within the time and mileage limit, so if you buy a 12-month-old secondhand Genesis with 10,000 miles on the lock, the remaining 4-year/40,000 mile warranty transfers with the car.
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DATA
Price as tested £45,990
SPECIFICATION
Engine Dual electric motor
Transmission Single-speed auto, AWD
Battery 94.5kW Li-Ion
System power 365bhp
System torque 700Nm
Top speed 139mph
0-62mph 5.1sec
CO2 emissions 0g/km (WLTP)
Electric range 354 miles (WLTP)
Energy Use 18.1kWh/100km WLTP (Combined)
AC charging 0-100% (11kW) 8h 30 min
DC Charging 10-80% (187kW) 25min
Length 5,135mm
Width 1,925mm
Height 1,480mm
Wheelbase 3,140mm
Loadspace 334 litres
Turning circle 11.3m (with RWS)
Warranty 5 years/ 50,000 miles
Insurance Grp 50
VED Band A+ £620
CONTINUED FROM PAGE 23
The package also includes scheduled servicing, software updates, roadside assistance, courtesy car, and pick-up and delivery, all included in the vehicle price.
The pick-up service only applies within 30 miles of a Genesis ‘studio’ or dealer, and it’s only available for cars under 5 years old or with fewer than 50,000 miles on the clock. So it’s just as well that the servicing network is expanding.
On the plus side, the greater chauffeur market potential of the G80 means Genesis is developing support programs for chauffeurs, including licensed replacement vehicles and overnight servicing.
A dedicated fleet team with experience from other manufacturers is setting up systems to target the chauffeur market, particularly in London, with plans to expand to major cities elsewhere in the UK.
VERDICT
With a loaded specification and a decent price, the Genesis G80 sits right at the top end of the “executive” chauffeur sector. It offers something that the German brands have never tried in Europe – an extended wheelbase version of their second-largest models.
This gives the G80 a clear advantage over the likes of Mercedes EQE and BMW i5. For a rear seat passenger, the experience is akin to, say, a short-wheelbase S-Class. Indeed, if you substituted a G80 for an S, we doubt you’d get many complaints.
Comfort, quality, range and spec all look very good, though it’s surprising that the full 350kW charging ability of other Genesis models isn’t offered. The bigest drawback is the boot. At 334 litres it’s less than you’d want, and the interior shape is awkward.
While most of the equipment is standard, most add-ons come in ‘Packs’ such as the Comfort Pack (£1,780) and Second Row Comfort Pack (£2,640), while an upgrade to Nappa leather is £2,620.
The 50,000-mile warranty limit is a bit mean, but at least Genesis is planning a proper chauffeur programme – an indication that the Korean automaker is taking our sector seriously. With petrol and diesel G80 models now gone, expect a plug-in hybrid version in 2027.
SIX PACKS A PUNCH SIX PACKS A PUNCH
Mazda has revealed more details of its return to the premium saloon sector with the new, electric Mazda6e, which arrives in UK showrooms in 2026, with prices expected to be around a VED-busting sub-£40,000 level.
The Mazda6e is a long-awaited replacement for the well-liked Mazda6, sales of which ended in 2023. The electric replacement presents a fresh take on its predecessors, featuring a modern flowing exterior, much improved cabin design and a focus on drivability.
Final UK specification is yet to be revealed, but the Mazda6e is available in Europe with a choice of 68.8kWh
or 80kWh battery. The 68.8kWh version offers a range of up to 300 miles and with 200kW DC charging it charges from 10-80% in just 22 minutes, meaning a range of 145 miles can be added in 15 minutes.
For customers prioritising longer range usage, the 80kWh version offers a range of up to 345 miles. It has slightly less power than the 68kWh version (244PS against 258PS) and a slightly slower 0-62mph time of 7.8sec against 7.6sec.
Both versions produce the same 320Nm of torque with a rear-wheel drive layout.
The longer-range 80kWh Mazda6e takes longer at 45 minutes to charge from 10-80% using DC rapid charging.
Mazda is keen to stress the Japanese design that underpins its cars, and describes the styling concept of the Mazda6e as the ‘Kodo Soul of Motion’ design philosophy, with smooth, flowing lines and bold features.
The body is a five-door hatchback with frameless doors and integrated door handles. There’s a 330-litre boot, as well as a 70-litre ‘frunk’ for added storage under the bonnet.
At the front the new glowing signature wing lights around the grille give the car a unique face. It features dynamic illumination which makes the wings appear to flutter when the car is charging, while the lighting also indicates charge status.
The 19in wheels have a range-boosting aerodynamic design that features
Mazda 6e Mazda 6e PUNCH PUNCH
Mark Bursa Mark Bursa
a sporty five-spoke design with flat black surfaces. At the rear, newly designed Mazda lettering replaces the brand logo badge. There’s also an electronically extendable rear spoiler designed to improve stability at speed.
Inside, the Mazda6e’s cabin has plenty of natural light thanks to a panoramic roof. Designed with simplicity in mind, the interior features a floating centre console and 10.2in instrument panel, as well as a 14.6in touchscreen.
Premium materials feature throughout both the available trim levels: Takumi and Takumi Plus. Takumi models will feature beige or black artificial leather, while Takumi Plus offers premium tan Nappa leather.
Chery
Chery Chery Chery
Chery Tiggo 7
Chery Tiggo 7 Chery Tiggo 8
CHERY ON TOP
Not content with having two new brands in the UK market, Chinese automaker Chery is launching a third brand to stand alongside Omoda and Jaecoo.
And rather than another new nameplate, Chery’s third range of cars will carry the Chery badge.
£28,545 OTR. It uses a 1.6-litre turbocharged direct gasoline injection (TDGI) engine producing 147PS and 275Nm of torque.
Chery Tiggo 8
Indeed, Chery is not hanging around. Two new SUV models, the Tiggo 7 and Tiggo 8, are already available via the Omoda-Jaecoo dealer network.
Chery has reason to be confident. Omoda, launched in August 2024, and Jaecoo, which went on sale in January, achieved a combined UK market share of more than 2% in June – impressive from a standing start.
Chery UK CEO Gary Lan said: “Chery’s introduction to the UK market not only shows Chery’s commitment to growth, but also reflects our confidence in the UK automotive sector, and the appeal of our vehicles to local buyers.”
Chery appears to be positioned slightly below both Omoda and Jaecoo – whose own positioning mirrors Hyundai and Kia rather than, say, VW and Audi. Chery says the new brand is pitched at “families, fleets, and anyone who values cabin space, long range, and quality at a cost-effective price”.
Indeed, the first of the two models, the Tiggo 8, has prices starting below £30,000, which is impressive for a seven-seater SUV. However, this is a petrol-engined version – unlike Omoda and Jaecoo, which only offer PHEVs and EVs, Chery will have pure ICE variants.
The ICE version of Tiggo 8 costs
There is also a plug-in hybrid version called Tiggo 8 Super Hybrid. This mates a dual-motor full-hybrid setup to a 1.5-litre turbocharged petrol engine. It delivers a combined system output of 204PS and 365Nm of torque.
The Tiggo 8 Super Hybrid is priced at £33,545 OTR. It offers a total WLTP range of 745 miles, including 56 EV-only miles. The 18.4 kWh lithium iron phosphate battery can be replenished in 20 minutes (30-80%). CO₂ emissions come in at just 31g/km for the Super Hybrid. There are two trim levels – Aspire and Summit.
Inside, the Tiggo 8 has three rows of seating in a 2-3-2 layout. A digital cockpit features a full-width dual-screen layout with voice control, a Sony 12-speaker system, wireless smartphone integration, ambient lighting and a panoramic sunroof. Driver assistance systems as standard include adaptive cruise control, cabin filtration system and lane centring.
The Tiggo 8 will be followed by the smaller Tiggo 7, which uses the same powertrain but in a 5-seater body. Tiggo 7 is priced from £24,995 OTR for the 1.6-litre TDGI and £29,995 OTR for the Super Hybrid version. Performance is broadly similar, but CO2 emissions are even lower at 23g/km.
Both variants have a -year/100,000mile warranty with unlimited mileage in the first 3 years, and RAC Home Start cover as standard. The Super Hybrid versions will have an 8-year battery warranty too.
Consultation season gets ready to kick off
There's going to be a very busy summer ahead with the Transport Committee and the Centre For Autonomous Vehicles issuing three consultations, all due back at various times in September.
Added to the Supreme Court’s decision on ‘agent and principal’, the industry is once again back into the turmoil that passes for normality.
The Transport Committee’s interest is in licensing and whether the current system works and in any event how it could be improved. And given no consultation is complete without it: cross border hiring and autonomous vehicles.
London is of course devolved with resgard to transport, and yet London finds itself increasingly impacted by decisions made elsewhere in the country. As a topical example, the Supreme Court’s decision provides yet another reason not to license vehicles and drivers in London. This is an addition to a growing list of reasons why London appears less and less attractive from a licensing perspective.
Who is wrong here?
The ZEC requirements are becoming more challenging. Along with the requirement for SERU testing. So who is wrong here? Is London wrong to seek to have cleaner air, for private hire drivers, and shortly taxi drivers, to demonstrate that they have an understanding of safeguarding and regulation? Or is a lower bar where the industry should head? No doubt the Transport Committee’s call for evidence will consider the input and reach a conclusion.
The Government is pushing hard to get the autonomous vehicle show on the road. Some pilots have already taken place and more are due to happen in 2026 – yes, next year. There seems to be a strong desire to make the UK the centre of excellence
Dr Michael Galvin
for autonomous vehicles which I guess means that legislation and other potential obstacles won’t be blocking the initiative.
It may also mean that current problems such as a lack of a decent charging infrastructure will be resolved to enable the centre of excellence concept, I certainly hope so. The industry appears to be split into two distinct camps on autonomous vehicles. There’s the ‘it will never happen’ group and the ‘we are all doomed’ camp.
So who will be right? Given it is happening now in Los Angeles and Silicon Valley and even here in Blighty next year I think the ‘it will never happen’ group is destined to end up like the Luddites.
So are we all doomed? Are people driving vehicles going to be a thing of the past? No-one can say for sure at this stage but I think its unlikely. I was interested to learn that the autonomous vehicles operating in LA command higher fares than those driven by people as tourists want to try them out.
Not straightforward
But is that the only reason? Are the questionable and somewhat simplistic economics of ‘take the driver out and the costs go through the floor’ correct? Maybe not. Streets and roads are unpredictable places.
Passengers are heterogenous and want and do different things. Moving from a driver-managed service to an automated service is not straightforward.
Consultations are often derided and considered by many as cynical
exercises to extract the answer those consulting wish to achieve. Any analysis of the three consultations currently active largely refutes those charges. The consultations appear to be based on very open questions that are genuinely seeking the industry’s views.
Autonomous vehicles are new and exciting on the one hand and potentially lethal and dangerous on the other. Getting the regulations right is important and everyone’s expertise is needed.
Siren voices
The same applies to licensing. The siren voices calling for an end to cross-border hiring have grown louder, but the proposals to replace the system with a workable and practical solution are somewhat muted.
Those with short memories may have forgotten that the system that the Deregulation Act replaced was neither practical nor workable. Let’s not fall back into that trap.
I urge everyone to look at the consultations, consider the questions carefully and share your wisdom. The old mantra of “it doesn’t matter what I say, ‘they’ will do it anyway” is just a cop out. You run a business, you are part of the industry, whether anyone else agrees with you or not you have a duty to share your knowledge, know how and expertise.
All of these consultations will have an effect on all of our futures and importantly the industry’s future. The effects could be direct or indirect, the Transport Committee report may well languish ultimately as so many of these reports have but they are seldom ignored.
The consultations on autonomous vehicles are the here and now. The first public road pilots are next year. There is limited expertise in the world let alone in the UK. Your view is as valuable as anyone else’s, so please take the time to share it.
Protest? You’ve got to be joking!
What is going on with our London black cab drivers? Back in 2012, just before the ‘monster’ Uber launched on to the UK’s capital, the humble cabbie was loud, brash and disruptive in blocking the narrow streets of London to protest.
“We done the knowledge!” (it was not an English test) and “Level playing field!” boomed out from every begging box to any punter prepared to listen.
Their protests had some legitimacy too, because they had indeed studied hard to pass the knowledge, buzzing around town on scooters long before Deliveroo, whereas all Uber drivers need is an iPhone and Google maps.
Also, black cabs couldn’t surge the price during busy times. Unlike their platform-based rival, their fares were metered, so they were forced instead to take tourists the ‘scenic route’ in order to hike up the fare.
Next year, September 2026, sees a company called Wayve launch driverless taxis in the greatest capital in the World. London? Seriously? These companies realise that if their product can handle the medieval streets of Londinium then everything else is a piece of cake. We have been warned, told it was inevitable, and with many American clients telling me they have been using these computers-on-wheels for well over a year now, it is happening.
So, where are the protests from the traditional taxi drivers of Old London Towne? Where are the Whitehall blockades of ten years ago? Shouldn’t ‘London’s Finest’ be pelting the Mayoral office with eggs? Why aren’t the LTDA bombarding us with banners
Kevin Willis Chirton Grange contact@chirtongrange.co.uk
and ads warning of the tsunami of unfairness that is about to crash our fragile shores?
All is quiet. Too quiet. I have three theories on this but I will share only two as one is conspiratorial. Firstly, the old guard of dyed-in-the-wool Black Cab driver has either “got out of the game cos it ain’t what it was” and retired to a bungalow in Herne Bay from where they can walk the dog to Wetherspoons for an all-day breakfast and pint of Staropramen lamenting on how “we have lost this country”.
Or, as I suspect, they have cleverly changed tack. More and more regularly I see, or rather hear, cabbies doing traditional chauffeur work. They have been spotted on film sets and escorting tours of London: doin “our” work which has replaced the need for them to be ranked up for a Heathrow transfer or station pick up. Savvy cabbies are donning Vinny Jones caps and a pure wool, brown waistcoat to offer ‘London Tours by your cheeky-chappie, no-bullshit Londoner’.
Makes sense. They know their schtick, can use bus lanes and park (mostly) where they damn well want.
Better still, once they’ve dropped off at the Tower of London they
might happen across a cash job to Liverpool Street station instead of sitting, as we do, watching Instagram posts of large chested women and dogs doing the silliest things (not in
the same post, I hope – Ed).
Am I worried? Not yet. I am sufficiently confident enough in my own ability to see off most competitors from whatever direction they attack. What is a concern though is how we chauffeurs will be affected in the short and long term.
September 2026, this is our wake up call to have our business ready for a seismic shift in the industry. We have a year to secure existing clientele or, as the black cabs are doing, seek alternative ways to broaden the scope of our business.
Anything to avoid London
The new generation of passengers do not need to converse with knowledgeable drivers, know who won the cricket, how has the weather been because the information is in the palm of their sticky hand. They simply want us to shut up as they look at fake news on X (formerly Who Gives a Shitter?).
Much to my anger and sadness, I am guilty of abandoning London. Unfortunately, Sadiq Khan has beaten me down as I now hate working in ‘town’.
The Mayor has ruined what was the greatest city in the world (I still blame the previous one – Ed). This has focused me into looking for the tours that send me out to the Cotswolds, or Cornwall or Kent anything to avoid London.
Also, the new Sherbet electric cabs have a range of around 62 miles (if you don’t want aircon) so I have at least another three to five years before they prepare to nick that work too.
It is no good me trying to rally the troops to form our own protests. Experience has taught me that while my industry colleagues love to bitch and moan about our lot, we tend to ‘do an Isak’ and go missing when needed. Failure to prepare is preparing to fail. Once this busy summer slows to a halt I for one will be formulating a one-year then five-year plan for the future. Wishing you all the rest of a great summer and in the immortal words of Sgt Phil Esterhaus in Hill Street Blues* “let’s be careful out there”.
*Google it
Make sure you get your new year off to a bang by collecting a prestigious Professional Driver QSi Award!
We’re back in again Brighton on Thursday, January 29, 2026 to celebrate the best operators and drivers in the taxi, provate hire anc chauffeur sector. Same venue as last year, the Hilton Metropole Hotel.
Our winners will carry their Gold, Silver and Bronze titles throughout the year. And
because January is a quieter month in the taxi, private hire and chauffeur world, companies will be able to bring more staff members to celebrate their success.
We’ll also be revealing our Cars of the Year at the event, which is renowned as being the biggest and best in the industry.
So please get your entries in so you can have a chance of adding that prestigious QSi rosette to your brand. Follow the link below to enter.
