Agenda item

The Committee considered a report (Agenda Item 4) concerning a request for an increase in the taxi tariff of approximately 2% for 2013/14. Brian Leahy introduced the report and informed the Committee that the Council’s fees would be frozen for the next financial year rather than being increased by 2%. He also noted that in his report: point 4.8, page 12, ‘£146.9’ should read ‘146.9p’.

 (In accordance with paragraph 7.12.14 of the Council’s Constitution, the Chairman proposed suspension of standing orders to allow Members of the trade to participate in the discussion and respond to questions Committee members might have. This was seconded by Councillor Mollie Lock and the Committee voted in favour of this proposal).

Mr Ashley Vass in addressing the Committee raised the following points:

·                     The trade was requesting a small rise in the Tariff; at a rate lower than inflation.

·                     Taxi insurance had risen by 12%; which was substantially higher than normal vehicles.

·                     The freeze on Council fees, although welcome, only accounted for 1% of the trade’s overheads.

·                     They had been advised by Officers to ask for smaller rises, more often; rather than infrequent, larger rises.

·                     Fuel prices rose and fell, but continued on an upward curve.

·                     West Berkshire was the 5^th most expensive place to live in the country.

·                     The flag would remain unchanged, meaning the increase would be 15p on the average yardage.

·                     The Tariff was a ‘maximum’ and drivers would habitually discount longer journeys and fares for elderly passengers.

·                     He asked for all these factors to be taken into consideration by the Committee.

Councillor Jeff Beck inquired what percentage of the trade’s overheads accounted for the cost of fuel; and as the predicted rise in fuel duty in September was now not going to occur, if this had been taken in their calculations. Mr Vass explained fuel was approximately 30-40% of the trade’s overheads. He also confirmed that the predicted increase in duty had been included in the original calculation and though this was no longer a factor, fuel prices rose and fell across the year and across the district.

Councillor Tony Linden commented that current West Berkshire tariffs were on a reasonable par with other local authorities. Mr Vass concurred and noted that other towns were cheaper to live in.

Councillor Adrian Edwards asked for clarification as to whether the flag price of £2.80 was included in the average cost at 5 miles in Tariff 1 of £13.80 (page 11). Mr Vass confirmed that it was.

Councillor Quentin Webb remarked that although the positions of the local authorities in comparator table, on page 11 of the report, might change the differences between them would be relatively stable.

(The Chairman proposed reinstating standing order. The proposal was seconded by Councillor Lock.)

The Chairman asked Officers to clarify the origin of the comparator table. Brian Leahy explained that the figures for 340-360 local authorities were compiled on a monthly basis by a Taxi magazine in order to reach an average amount.

Councillor Geoff Mayes inquired as to where the Taxi fares listed on page 20 originated. Brian Leahy explained that this was produced by West Berkshire Council as a guide to customers as to the cost of a journey.

Councillor Webb proposed to reject the request for a rise in the Tariff as per Officer Recommendation, Councillor Manohar Gopal seconded this proposal.

Councillor Peter Argyle enquired if the proposal could return to Committee should there be a change in circumstances. Brian Leahy confirmed that it could.

Councillor Argyle remarked that the substantial rise in the cost of insurance should be taken into account. Brian Leahy commented that this data had not been provided by the trade in the formal request and had therefore not been considered by Officers.

Councillor David Holtby sought clarification as to when a taxi booked by phone, was able to begin charging. Brian Leahy explained that the cost of the journey / flag price was usually negotiated during the booking process.

Councillor Linden noted that inflation was +2% and was unlikely to decrease.

The Chairman asked Officers if the Committee was able to propose a different increase amount, for example, 1%. Brian Leahy confirmed that this was the case.

Councillor Paul Bryant queried the necessity of having a set tariff rate. Councillor Beck stated that the trade welcomed a ‘maximum’ as it prevented rogue operators.

The Chairman asked the Committee to vote on the proposal to reject the request for an increase in the taxi tariff, as per Officer Recommendation.

The Committee voted four in favour and six against the proposal. The proposal was therefore refused.

Councillor Bryant proposed to go against Officer Recommendation and allow a rise in the taxi tariff. Councillor Argyle seconded this proposal.

At the vote, seven voted in favour and the vote was carried.

RESOLVED that the request for an increase in the taxi tariff be granted.