HomeNews in BriefIndustry reacts to 12,000 per cent increase in licensing fees

Industry reacts to 12,000 per cent increase in licensing fees

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Greg Mendoza, Chairman of the Chauffeur and Executive committee of the LPHCA told TheChauffeur.com; “TfL TPH have increased Operator License Fee’s with no justification, they have ignored the consultation results which were overwhelmingly against the increases, and have not provided any meaningful justification for carrying on regardless.”

“Private Hire Operators in London are highly compliant, the justification for the increase is to manage compliance of the increasing number of drivers and vehicles, these are funded through their own license fee’s. In any case, the unprecedented and uncontrolled increase in numbers, which is as a direct result of the woeful inability of TfL TPH to actually regulate the private hire industry in London, has resulted in a windfall of unexpected vehicle and driver license fee revenue and with economies of scale one would expect related fees to be reduced not increased.”

Mendoza added; “Meanwhile, due to unfair competition and increasingly heavy handed regulation, the number of operators is decreasing, reducing competition and choice for the travelling public. TfL state that they need the additional funding to deal with illegal operators and drivers, these are not part of our regulated industry, but criminals who should be dealt with by the police and funded accordingly, not by penalising legitimate and fully compliant operators, or indeed drivers.”

“TfL are clearly attempting to retrospectively fill a hole in their budget as the majority of additional enforcement officers were appointed months ago, long before the consultation on operator license fees was released and it is clear the consultation outcome was predetermined. Therefore the Chauffeur and Executive Committee will be consulting its members and with their agreement will support a judicial review into the process and justification that has led to this unprecedented increase in fee’s which will undoubtedly be the final straw for many of London’s highly compliant and safe PHV operators.”

Next Page >> Changes welcomed by Addison Lee

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