Taxi Trade

Debate between Wes Streeting and Phil Wilson

Tuesday 18th July 2017 Westminster Hall

[Wes Streeting]

I will have to make progress, otherwise I will encroach on the time for other Members to speak. I have talked about the need for taxi and private hire drivers to undergo topographical training, so that they are better drivers and have better skills.

However, my hon. Friend the Member for Bedford—he is no longer in his place; he has another commitment—made a powerful contribution on driver safety, and we really need to look at that, particularly since card payment machines have been put in the back of black taxis. Drivers in my constituency feel more vulnerable than ever if something goes wrong with that machine, because they have to get out of the vehicle to deal with an issue in the back. I have heard stories of drivers being abused or people not paying their fare. Drivers put themselves at risk, and we might want to look at increasing the penalties and sentences for people who abuse taxi drivers in the way we are considering for other public sector workers.

On the future of the taxi trade, it is often said that taxi drivers are not interested in modernisation and are stuck in the past, but I have not found that to be the case. Drivers are keen to drive the new zero emission capable taxis and are excited about the opportunity to reduce polluting emissions from their vehicles. To ensure that they are able to drive them, we hope that the Government will put in place an adequate rapid charging infrastructure to support their use. We also need to make sure that those cabs are affordable. I know that the Government are already looking at grants, as is the Mayor of London, but we also need to look at exemptions from vehicle excise duty. I know that we will have to make that case to the Chancellor and the Treasury, but exemptions would make a real difference to drivers’ ability to take up that challenge.

We also need to have a serious discussion on the fares regime, particularly in London, and the extent to which taxi drivers are heavily disadvantaged by fares, which are often set without adequate consultation with the trade. We also need a discussion about the extent to which competitors—particularly Uber—are able to offer artificially low prices and flood the market with drivers in order to drive their competitors off the road. That affects not just licensed taxi drivers but private hire drivers, including Uber drivers, who have seen their incomes fall in recent years because it is in Uber’s interest to flood London with as many drivers as possible to maximise its revenues, even if that is at the expense of fast journeys and decent pay and conditions for both taxi drivers and private hire drivers. We need to approach this from the point of view of fair competition, rather than the elimination of competition.

Action by Ministers is long overdue. The debate about the future of the taxi trade has often been unfairly characterised as a debate between those who support competition and innovation and those who want to cling to the past. That is a lazy analysis. As I have demonstrated this afternoon, the taxi drivers I represent are not afraid of innovation or competition; increasing numbers of drivers are embracing new platforms such as Gett and mytaxi. Many cab drivers also accepted card payments long before it was mandatory, and a great many more are keen to get behind the wheel of the new generation of carbon neutral, electric-capable taxis to play their part in improving air quality and protecting our environment.

However, the consistent theme I found as a constituency MP during our inquiry was that taxi drivers find it increasingly difficult to compete with both hands tied behind their backs in a changing marketplace. Our challenge now is to make sure that the trade enjoys a bright future as well as a proud history. I strongly believe that, with smart and effective regulation and new national standards, the taxi and private hire industries can succeed. I say to the Minister, who is a good man, that many small businessmen and businesswomen and their families are counting on Ministers to act.

[Phil Wilson (in the Chair)]

I do not intend to put a time limit on speeches at the moment. I think we will fit everybody in, so long as everybody bears in mind that other hon. Members want to speak. I want to bring in the Front-Bench spokespeople at about 3.30 pm.