Taxi and Private Car Hire Market

Lord Selsdon Excerpts

Tuesday 20th October 2015 Lords Chamber

[Lord Selsdon (Con)]

My Lords, I am very grateful to the noble Lord, Lord Bradshaw, for asking this Question and also to the noble Lord, Lord Borwick, who will speak after me and whom until recently I failed to associate with one of my favourite companies, Manganese Bronze, which makes the cabs—TX1, TX2, TX3 and the Fairway, which I have always wanted to buy and own myself.

However, there is a little more to all of this because the cab is iconic and the situation is very intriguing at the present time. Having been on the Information Committee, I do not have to do very much in my speech today because the House of Lords Library has produced a fantastic and thick briefing pack that covers all the issues. What is causing concern at the moment is not so much the rickshaws that will be arriving shortly when the flower shows open around Sloane Street and thereabouts; it is the application and use of taxis themselves and the control and management of the taxi system. There seems to be a sort of subliminal attack on the cab driver at the moment, which is confusing issues because cab drivers in general have been extraordinarily fair and are extremely honest people. I hardly ever used a cab until my knees went; when I was told I needed new knees, I then had to start taking cabs, which has been rather an expensive business.

The issue at the moment lies in the row going on within the cab trade between this new organisation, called Over Here or Uber or whatever it might be, and the cabs themselves. If noble Lords want the background to it, I recommend the Library pack which covers almost everything. There are difficulties in the future. It is being said that a cab is not really a cab if it is linked to Uber—Uber is not a cab, it is an organisation. How does it all fit together? I would rather we went back to being a little bit simpler. A situation has arisen in which TfL controls the number of private hire vehicle licences, which now stands at 89,000 and is increasing at the rate of 2,000 a month—therefore, 24,000 a year. This is an administrative and bureaucratic worry. The number of enforcement officers is also too low to control the behaviour of private hire vehicles touting in the street, both licensed and unlicensed. This touting by private hire chancers shows that it is too easy to get private hire licences. There needs to be some way of coming together on this; perhaps only black cabs should be allowed to respond to a street hail. The confusion within the industry is rather worrying.

I loved the black cabs that came from my noble friend’s company, because you could talk to the drivers. They were very proud and they knew when it worked. Sometimes they would almost give you their home number if you wanted a bit of help. I got used to the mistakes—when they had a Fiat gearbox that went wrong, or something else—but gradually they managed to get it right. One of the things I enjoyed most of all, when we had a major mission to Japan, was the idea of selling taxis to Japan, as well as Rolls-Royces and Bentleys. When I was on the Trade Board, we made the mistake of forgetting that the Japanese drive on the same side of the road as we do, so we had left-hand drive vehicles, which made it rather difficult. The suggestion was made that left-hand drive vehicles were provided deliberately, so that being nearer the pavement they could open the door and let the passenger out on to the street.

We have a little bit of a row coming up. I would really like to have a Fairway cab. I think it was the best ever made, and so do a lot of the drivers. We all know that most cab drivers live in east London and either play golf or cricket or fish. We need to look not so much at the vehicle itself but at the cab trade as a whole, which is very united. I have been briefed by many of its members, who are very concerned about the Uber business at this present time. That concern is getting to very serious levels, because we are not quite sure what Uber is. Is it an organisation or an association? Suggestions have been made that there is a shortage of compliance officers; that we should regulate licence holders; that only black cabs should be allowed to respond to a street hail; that all private hire should be pre-booked and bookings passed to an individual driver; and that the queues of masses of quasi-cabs or cars picking people up outside restaurants late on Saturday nights should be banned because this is causing anxiety.

We need to permit TfL to control the number of private hire vehicle licences, which, as I said, are at 89,000 and increasing rapidly. We are in the midst of a bureaucracy. I would like to know what the Government feel they can do to help. We are probably the best cab manufacturers in the world as far as the disciplines and organisations we have are concerned, but we have a row between providers of services—between those who drive cabs and those who feel that you can do everything by an electronic system. In my time here, even having been on the Information Committee, I have still failed even to send an email when the system is down, so I cannot speak from great experience. What I do know is that we have a really great cab trade that we should protect. We should stop this argument going on between the various parties at this time.