Issues relating to the licensing of taxis and private hire vehicles

Written evidence from Hasan Syed (TPH 47)

1. In response to the Transport Select Committee’s invitation to submit evidence on issues relating to Licensing of Taxis and Private Hire Vehicles, including matters concerning passenger safety. I would like summarize some research and opinions as follows:

a. Background of Private Hire and Taxi licensing - OFT Study on ‘Regulation of licensed taxi and PHV services’ – November 2003

b. Passenger and driver safety - cuts both ways

c. Possible solutions

2. Background of Private Hire and Taxi licensing - OFT Study on ‘Regulation of licensed taxi and PHV services’ – November 2003

a. Without going into too much details about the reasons for and existence of the dual-mechanism of taxis and PHV’s in the UK – a read of the OFT study dated Nov. 2003 and a look of the current circumstances makes clear that the issues remain unaddressed (87 councils or 25% still maintain quantity controls).

b. There still seems to be a "quota" on taxi permits leading to premiums on permits, expensive fares, artificial shortages, lack of competition, touting, illegal cabs, and assaults.

3. Passenger and driver safety - cuts both ways

a. It is important to point out that generally passenger safety is raised as a concern, however, safety is a concern on both sides of the divide. Some research shows the following:

b. It is evident from the above data that both taxi drivers and passengers are concerned about safety and 45% of drivers have had harm done to themselves or their cab.

c. To continue, passengers also do not feel completely safe in a cab and upto 61% of respondents feel insecure in a cab. This fear is not unfounded as shown by TfL’s own data of cab related sexual offences of around 143 ‘reported’ incidents in 2009/2010. This is in spite of heavy promotion/spending on the ‘CabWise’ program – which is essentially to get 3 phone numbers of cab companies that are close by. Although it has met more than moderate success, the problem of assaults (as pointed out by above statistic) remains.

d. The ‘CabWise’ program was started in 2005 and basically caters to a situation where someone looking for a cab can find out where to call for one. The current problem is related more to ineffective enforcement of what to do when there are 10 PHV’s standing in rank right in front of you. Additionally, as the recent ‘Worboys’ case shows the threat of assault is not limited to PHVs’.

4. Possible solutions

a. It is necessary to open the taxi market and remove the quantity restrictions as suggested in the OFT report. Protection of some interest groups seems to be overcoming common sense and turning out to be an expensive proposition in the long-term.

b. The lack of supply, allows taxis to over-charge customers. As seen from the OFT report that most frequent users of taxis are the lower income group; they are price sensitive and would choose to save money (un-booked PHV) rather than take a taxi.

c. The PHVs plying around are welcome at 1am in the morning, especially with no or expensive taxis around, and the PHV sticker in a cab makes it quasi-legal and encourages people to patronise it even if the PHV is un-booked. I understand that it is placed for easy enforcement of pick and drop at red routes in London. However, removing the sticker and finding a technological solution (like an electronic tag) for pick and drop at the red routes might be more feasible.

d. It may also make help to standardize taxis in some form or way (currently, a multitude of vehicles can be a taxi). All over the world a taxi is easily recognizable as a taxi due to its colour (either two-tone or a colour not generally used for a private vehicle).

e. Lastly, a lot of cab-related crime is ‘situational’ and it is committed as there is a feeling that the perpetrator will get away with it. Current methods of tracking activity are limited to expensive CCTV systems (~£700/cab), severely limiting scope and scalability.

f. As children we are told not to go around with strangers, we seem to be doing it every day as grown ups – however, the dangers remain the same. I believe that taxi companies and passengers should have the possibility/right of registering every ride with a responsible third party – just in case something goes wrong. Such a methodology would provide for prevention of crime, provide clear evidence in case of bilking or assault as well as increased business for taxis/PHV’s (as they appear to be more secure).

December 2010