Taxi and Private Car Hire Market

Lord Bradshaw Excerpts

Tuesday 20th October 2015 Lords Chamber

Asked by

[Lord Bradshaw]

To ask Her Majesty’s Government what proposals they have for bringing up to date the regulation of the taxi and private car hire market.

[Lord Bradshaw (LD)]

The Minister may be glad to know that this is a genuine Question and not an opportunity to criticise him or the Government, or to say that things should be very different from what they are now.

First, it is important to decide where the taxi business should be regulated. There is a difference in some parts of legislation between national issues and the parts that are devolved, as are most parts in London, to the mayor. With the creation of combined authorities, when the opportunity comes, it would be as well for the Government to consider devolving powers over taxis and private hire cars to those authorities.

The existing legislation is very old and a lot of it begins in the 19th century. These laws have not held very well in these days of information technology and apps, by which people can summon private hire cars. I want to make it clear that I and, I think, those on my side of this House support the freedom of choice for the passenger and acknowledge the benefits that have been brought to many people who use Addison Lee, Uber and other such bodies.

However, it is necessary that vehicles remain mechanically safe and are maintained in a good condition. I believe that whatever authority oversees taxis there should be random checks to see that these standards are maintained throughout the life of the vehicle.

Vehicles should be properly insured. This should be backed up by the owner of the app by which the private hire car is summoned, who is a proxy for the operator in this case. It should not rely on an initial declaration that the car is insured, because there is no necessary continuity in that. I think it is the operator’s job to ensure that there is continued back-up insurance, so that people know that they are protected.

Vehicles will have to comply with increasingly tough environmental standards. Such standards need to be signposted ahead, so that people know when their vehicle will fall within the new standards and will purchase accordingly.

Drivers should be fit and proper persons and it is necessary that people have criminal record checks. Who is responsible for overseeing that? Is it the local authority or the person who owns the app and the private hire cars which work for them?

I say that the drivers should understand English. Whose responsibility is that? I have seen some papers which suggest that the responsibility is brushed off to the DVLA or someone like that. Actually, they need testing in their locality as to their command of English, their knowledge of what people want and whether they can help the many tourists and foreign visitors. They should have some knowledge, and some authorities require a medical. These matters need to be considered and thought about before any fresh legislation is embarked on.

The black taxi was described by the mayor as “iconic”. Understandably, it is instantly recognised by visitors as a symbol of London, but that symbol is now under threat. There is no doubt that an element of monopoly pricing exists, but this is to some extent offset by the meeting of exacting and expensive specifications as to the type of vehicle, its ability to turn around in a very tight space and the cost of acquiring the knowledge, which is required in London and is very expensive. It might be necessary to give the black taxi some element of protection through proper and sufficient enforcement of the distinction between a taxi and a minicab. The black taxi trade has latterly responded by setting up its own app called Gett.

I have been asked to mention the question of access for disabled people who have wheelchairs, guide dogs or mobility difficulties. The black cab trade, and previously the largest private hire company, carry out these obligations—not always, but they are equipped to do so in most instances. If private hire companies do not offer these facilities, then it is worth discriminating in favour of those that do.

I have also been asked to mention the question of rickshaws, which any forthcoming legislation really ought to deal with. They are quite dangerous; it is doubtful whether they are properly insured; they certainly tend to rip off tourists and probably give London a bad name.

A Law Commission report was published in May 2014, which made a lot of suggestions as to what the shape of forthcoming legislation should look like. Will the Minister tell us how the department is proposing to progress that Law Commission report so that it sees the legislative light in the near future?

Taxation is a vexed subject; there are all sorts of allegations about whether companies or their drivers are paying the correct tax. This needs to be addressed by future legislation.

Lastly, if we are to have real air quality improvements, it will be necessary to have electric vehicles. What is being done, either by the Government or by local authorities, to increase the number of places that have charging facilities for such vehicles?