Agenda item

Purpose: To inform the Committee of a request from the Taxi Trade to increase taxi fares.

Brian Leahy presented the report on the request from the Taxi Trade to increase tariffs. Councils are not obliged to set a maximum taxi fare (tariff) for their area but may do so if they wish. In the past, West Berkshire Council and its predecessor have set a maximum taxi fare structure. It is usually reviewed annually to commence as soon as possible at the start of the new financial year. The Office of Fair Trading also advises that it is good practise to set a maximum tariff. The report included information on the Consumer Price Index, London Black Cabs as well as neighbouring and similar local authority areas. Brian Leahy highlighted that Members might want to consider the affects of the recent rise in fuel and associated costs. The 15.5% rise that was stated in the report had been contested by the Trade and it was suggested that Standing Orders be suspended to allow the Trade to speak on this issue.

Councillor Jeff Beck clarified the statement on p10 paragraph1.2, regarding consulting Thames Valley Police about the effects of setting or not setting a maximum tariff and their views being made known at the meeting. Despite chasing, no response had been received from Thames Valley Police.

It was confirmed, following a query from Councillor Roger Hunneman, that the Committee would be setting a maximum tariff but the taxis must always charge what the meter was showing.

In accordance with paragraph 7.12.14 of the Council’s Constitution, the Chairman suspended standing orders to allow members of the trade to participate in the discussion.

A representative of the Trade, Mr Rodney Nemeth, Director of CABCO, addressed the Committee. His representation was made on behalf of CABCO and also the West Berkshire Hackney and Private Hire Association. He was therefore representing over 200 owners and drivers. They were asking for a 20 pence increase on a journey over 1.5 miles. With the fuel increase, increasing insurance, servicing and tyre costs, their running costs were increasing. However, 7 out of 10 West Berkshire customers were still paying less for their taxi fares than they were 3 years ago. Three years ago there was a 50pence emergency increase in fares due to the fuel crisis. This was put in effect as a booking fee. A lot of members of the association believe it is once again, a crisis. They did not necessarily need a ‘booking fee’ to be implemented, just a fair average increase in fares. Mr Nemeth stated that a local shopping trip to Tesco would be a similar price to taking the bus. In response to questioning from Members, Mr Nemeth made the following points:

·                    Some taxi drivers charge less that the average rate – accurate quotes can be given to customers;

·                    20 pence would be the average increase on the daytime tariff. An average taxi journey was 1.5 miles.

·                    The previous 50 pence increase was only applied to daytime tariffs, they now requested that the increase apply to night time tariffs as well. The night time increase would therefore equate to 75 pence. However there were no booking fees at night.

·                    A Newbury to Chieveley journey would increase by an estimated 50 pence. It currently would cost around £12.00. At night this would increase by approximately £1.25;

·                    80% of their day time trade were the elderly or disabled and they always tried to look after the interests of their customers;

·                    Customers can negotiate prices at the rank – ask for quotes and obtain the best fare.

·                    The minimum charge was £2.50 and each mile after this would be an increase from £1.86 to £1.95 which was a 4% rise.

Rodney Nemeth also raised an issue from the Survey, where people had stated that fares were too high. He believed that everyone would state prices are too high when asked.

Brian Leahy clarified that the Tariff card was standardised and used across the country. A member of the Trade, Richard Brown (Vice chairman of Hackney Carriage and Private Hire Association explained the metering to the Committee; the meter would increase by 10 pence not 20 pence. If someone was taking a journey from Hermitage to Chieveley they could phone to make a booking and negotiate a price.

The Chairman reinstated standing orders.

Councillor Peter Argyle stated that considering the rising costs of fuel he thought that a 4% increase was very reasonable and he proposed that this increase in tariffs be accepted by the Committee.

Councillor Paul Bryant queried how Windsor and Maidenhead had arrived at the £3.90 figure and Brian Leahy stated that this would have been agreed by Members at that Authority. Not all Local Authorities set tariffs each year.

The Committee voted unanimously in favour of adopting the Trade’s request.

RESOLVED that the proposal for an increase in taxi tariffs be accepted.