Agenda item

A request has been received by Mr David Lane on behalf of BCP Taxi and Private Hire Association for a 7% increase in the current Hackney Carriage Tariff.

The Local Government (Miscellaneous Provisions) Act 1976 allows the Council to fix the rates or fares within the district for time as well as distance.

Any change in the tariff will be reflected across all three current Hackney Carriage zones within BCP Council conurbation.

The Interim Head of Licensing presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'C' to these Minutes in the Minute Book.

The Committee was advised that a request had been received from BCP Taxi and Private Hire Association for a 7% increase in the current Hackney Carriage fares and charges, as outlined in the tariff chart provided and with effect from 1 May 2022.

Mr Kevin Diffey addressed the Committee on behalf of the Association to explain the reasons for the request as originally submitted on 28 January 2022, including:

·       The latest RPI indication of inflation of 8%.

·       The price of fuel which had increased from £1.17 to £1.50 (approx. 30%) a litre on average from December 2020 to Dec 2021.

·       Tyres and other motor parts had seen increases of up to 20%.

·       The need for owners to update their vehicles (or at least the livery) in line with the policies

Since submitting the original request Mr Diffey referred to the extreme change in circumstances brought about by the Russian invasion of Ukraine. He reported that a 7% increase in the tariff would now not even cover fuel costs. The escalating price of fuel alongside the increase in the cost of living would very likely force the Trade to request a further rise in fares and charges at some point this year. 

The Committee agreed that the impact of recent events was a major consideration. Members discussed whether to agree an 8% increase, the figures for which had been included in the original request, or agree a higher increase then review after six months. The Trade was asked whether it would prefer to defer its request to prepare and submit a more realistic figure rather than coming back at a later date with another submission. Mr Diffey confirmed that the Trade would be happy with an 8% increase now and then review as required.

The Committee noted that the BCP tariff was currently at the high end of the list of comparators, although it was acknowledged that requests to increase were likely to be submitted to other Councils. Members also commented that fuel costs were volatile, that passengers were also facing cost of living pressures and that it would be helpful to know if private hire rates were increasing at a similar level (although it was acknowledged that the Committee did not control these).

The Interim Head of Licensing outlined the statutory process to be followed should a change to the fares and charges be agreed. The Council was required to publish notice of the proposed tariff and allow 14 days for objections to be made. Any objections received would need to be considered by the Committee, otherwise if there were no objections the new tariff would come into effect at the end of the consultation period.

RESOLVED that the Committee approves the changes to the Hackney Carriage fares and charges at an amended percentage increase of 8%.

Voting: Unanimous