Taxi Licensing: Deregulation Act 2015

Chris Vince Excerpts

Monday 21st October 2024 Commons Chamber

[Chris Vince (Harlow) (Lab/Co-op)]

I give my sincere thanks to the Minister for taking time to engage in this crucial debate. Taxi licensing is not merely a technical matter; it strikes at the heart of issues of fairness and safety, and affects the livelihoods of hard-working taxi drivers in my constituency, in Harlow and surrounding villages such as Lower Nazeing. Although this issue is of nationwide concern, as I hope is evidenced by the many MPs who will speak tonight, I will focus primarily on experiences in Harlow. I am not here to rehash arguments surrounding the Deregulation Act 2015, which was introduced with the best intentions, but we cannot ignore reality and the unintended consequences of that legislation, which have left taxi drivers vulnerable, passengers at risk, and the integrity of local oversight severely compromised.

[Shaun Davies (Telford) (Lab)]

I congratulate my hon. Friend on the points he is making in his excellent speech. In 2022, the independent inquiry into child sexual exploitation in Telford published its report. It highlighted concern that:

“So far as national policy is concerned…aspects of taxi licensing…undermine rather than promote best practice”

in respect of tackling child sexual exploitation. Does he agree that those concerns should be addressed by the Minister?

[Chris Vince]

I thank my hon. Friend for that intervention. I am sure that the Minister will address those concerns in his closing remarks.

I have sought this debate to bring attention to the growing dangers fostered under the current system. The 2015 Act has opened a loophole, allowing private hire drivers to license their vehicle in district authorities far from where they operate. In practice, this means that drivers are no longer bound by local standards. Instead, they can shop around for the cheapest licence anywhere in the country, then return to work wherever they choose. Harlow has long had the gold standard for its taxi services—standards that our local drivers proudly meet. Why is that? It is because they know, as I do, that nothing is more important than the safety of their passengers.

[Amanda Hack (North West Leicestershire) (Lab)]

Taxi licensing enforcement is funded by licence fees. However, with the ongoing race to the bottom for licence issuing standards, local authorities are unable to enforce externally issued licences. Any measure to allow local authorities to enforce would simply stretch enforcement budgets beyond sustainability. Does my hon. Friend agree that the solution has to be guided by the principle that drivers should operate in the areas in which they are licensed?

--- Later in debate ---

[Chris Vince]

I absolutely agree with my hon. Friend that the principle should be that drivers should be licensed by the local authority for the area in which they are operating.

Cross-border hiring is undermining high standards, and it strips councils like Harlow of the power to oversee and enforce proper regulations. A driver who loses their licence in one district can simply apply for a licence elsewhere and continue operating with little or no scrutiny. Local authorities lack the enforcement powers to police out-of-town drivers, and that leaves a gaping hole in our public safety framework. How can we claim to protect our constituents, when such fundamental weaknesses exist in our system?

[Gill Furniss (Sheffield Brightside and Hillsborough) (Lab)]

I thank my hon. Friend for securing this debate. Does my hon. Friend agree that the lack of scrutiny may pose a risk to members of the public, particularly in safeguarding and the safety of vehicles? In Sheffield, where I am from, the licensing team is unable to check the vehicles on the road and whether they are being driven by properly licensed drivers.

[Chris Vince]

My hon. Friend is right; this is not just a bureaucratic oversight, but a public safety crisis waiting to happen. Vehicles are not being inspected regularly enough and drivers are not being vetted thoroughly enough. Passengers, who trust that any taxi they step into is safe, are the ones left exposed. Taxis often serve the most vulnerable members of our community. Can we truly say that we are doing our duty to protect them under these conditions?

The inconsistency in signage requirements across different districts only deepens the confusion. In Harlow, we enforce clear and visible signage—a rooftop box for taxis and door signs for private hire vehicles. Not every district requires that and, as a result, passengers are left guessing whether the vehicle they are entering is legitimate and safe, and local councils are forced to battle through bureaucratic layers just to verify the safety and legality of those vehicles. That is unacceptable. This deregulation has not just lowered standards but put lives at risk. We cannot wait for an accident or tragedy to spur us into action. We must be proactive, not reactive. We need legislation that reflects the pace of modern life and the demands of today’s safety standards. We cannot fall behind.

[Jim Shannon (Strangford) (DUP)]

I congratulate the hon. Member on securing this debate. Does he agree that the safety of users and the experience of knowing that an officially licensed taxi driver has been thoroughly vetted is something that many people take for granted, and that urgent changes must take place to ensure that vetting is as stringent as checks for insurance and a clean licence?

[Chris Vince]

I agree. We are talking about passenger safety. If somehow we could set aside the issue of safety—I believe we cannot—there are other grave consequences of the legislation. It is undermining the livelihood of our taxi drivers. Drivers operating under cross-border licences often lack the local knowledge necessary to provide the level of service that passengers expect.

[Several hon. Members rose—]

--- Later in debate ---

[Chris Vince]

I will carry on with this bit of my speech.

This situation erodes trust in industry at a time when we should champion local businesses. Instead, we are creating obstacles for them. How can I or anyone in this Chamber look our local taxi drivers in the eye and tell them that we are truly on their side? Right now, I cannot, but by addressing these issues head on, we can change that narrative.

[Rachael Maskell (York Central) (Lab/Co-op)]

My hon. Friend is making an excellent speech. Does he agree that the Deregulation Act 2015 needs to be repealed? It is deeply damaging in a place like York, where we have a tourism industry, so we need it to be repealed.

[Chris Vince]

I agree—that is part of what I am talking about. We want to support our local taxi drivers.

[Several hon. Members rose—]

[Chris Vince]

I am going to make some progress.

I have heard first-hand accounts from Harlow’s taxi drivers. Will the Minister commit to take action? Will he consider reforming the law to introduce national minimum standards, empower councils to enforce regulations across borders and ensure that private hire journeys either start or finish within the licensed area? These steps are critical not just to restore fairness in the industry but to safeguard the public.

[Emily Darlington (Milton Keynes Central) (Lab)]

I thank my hon. Friend for securing this debate, which is so important not only for taxi drivers but for safety, particularly for the safety of women and girls at the end of the night, when too often things happen. Does he agree that deregulation has led to a decrease in their safety—especially for councils such as Milton Keynes, a white ribbon city—and that the white ribbon should be part of the taxi licensing regime?

[Chris Vince]

My hon. Friend is right to say that different authorities have different standards. One issue is not being licensed in the authority where that taxi operates.

[Richard Burgon (Leeds East) (Ind)]

I thank my hon. Friend for allowing so many interventions and for securing this important debate. Taxi drivers in my constituency and elsewhere in West Yorkshire really suffered during the covid pandemic. Is it not the case that the current regulatory framework for cross-border licensing is enabling some of the bigger operators to rip off hard-working taxi drivers by making sure that they do not get the income that they need and deserve, especially after covid?

[Chris Vince]

My hon. Friend is right; covid hit tax drivers in my constituency very hard, and we should do what we can to support them. Repealing some of the legislation would help to do that.

I am on my final paragraph, you will be pleased to know, Madam Deputy Speaker. This is not just about needless red tape but—

[Dr Zubir Ahmed (Glasgow South West) (Lab)]

Will my hon. Friend give way?

--- Later in debate ---

[Chris Vince]

No, I am going to finish. This is about essential regulation that protects lives and livelihoods. The hard-working taxi drivers, on whom so many of us depend, deserve a level playing field. Above all, passengers deserve to know that when they step into a taxi, they are safe. I urge the Minister to consider these proposals so that we can create a safer, fairer and more consistent taxi trade for all.