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Taxi and private hire vehicle licensing

TAXI AND PRIVATE HIRE VEHICLE LICENSING:
BEST PRACTICE GUIDANCE
INTRODUCTION
1. The Department first issued Best Practice Guidance in October 2006 to assist
those local authorities in England and Wales that have responsibility for the regulation of
the taxi and private hire vehicle (PHV) trades.
2. It is clear that many licensing authorities considered their licensing policies in the
context of the Guidance. That is most encouraging.
3. However, in order to keep our Guidance relevant and up to date, we embarked on
a revision. We took account of feedback from the initial version and we consulted
stakeholders in producing this revised version.
4. The key premise remains the same – it is for individual licensing authorities to
reach their own decisions both on overall policies and on individual licensing matters, in
the light of their own views of the relevant considerations. This Guidance is intended to
assist licensing authorities but it is only guidance and decisions on any matters remain a
matter for the authority concerned.
5. We have not introduced changes simply for the sake of it. Accordingly, the bulk of
the Guidance is unchanged. What we have done is focus on issues involving a new policy
(for example trailing the introduction of the Safeguarding Vulnerable Groups legislation);
or where we consider that the advice could be elaborated (eg enforcement); or where
progress has been made since October 2006 (eg the stretched limousine guidance note
has now been published).
THE ROLE OF TAXIS AND PHVs
6. Taxis (more formally known as hackney carriages) and PHVs (or minicabs as
some of them are known) play an important part in local transport. In 2008, the average
person made 11 trips in taxis or private hire vehicles. Taxis and PHVs are used by all
social groups; low-income young women (amongst whom car ownership is low) are one
of the largest groups of users.
7. Taxis and PHVs are also increasingly used in innovative ways – for example as
taxi-buses – to provide innovative local transport services (see paras 92-95)
THE ROLE OF LICENSING: POLICY JUSTIFICATION
8. The aim of local authority licensing of the taxi and PHV trades is to protect the
public. Local licensing authorities will also be aware that the public should have
reasonable access to taxi and PHV services, because of the part they play in local
transport provision. Licensing requirements which are unduly stringent will tend
unreasonably to restrict the supply of taxi and PHV services, by putting up the cost of
operation or otherwise restricting entry to the trade. Local licensing authorities should
recognise that too restrictive an approach can work against the public interest – and can,
indeed, have safety implications.

9. For example, it is clearly important that somebody using a taxi or PHV to go home
alone late at night should be confident that the driver does not have a criminal record for
assault and that the vehicle is safe. But on the other hand, if the supply of taxis or PHVs
has been unduly constrained by onerous licensing conditions, then that person’s safety
might be put at risk by having to wait on late-night streets for a taxi or PHV to arrive; he or
she might even be tempted to enter an unlicensed vehicle with an unlicensed driver
illegally plying for hire.

10. Local licensing authorities will, therefore, want to be sure that each of their various
licensing requirements is in proportion to the risk it aims to address; or, to put it another
way, whether the cost of a requirement in terms of its effect on the availability of transport
to the public is at least matched by the benefit to the public, for example through
increased safety. This is not to propose that a detailed, quantitative, cost-benefit
assessment should be made in each case; but it is to urge local licensing authorities to
look carefully at the costs – financial or otherwise – imposed by each of their licensing
policies. It is suggested they should ask themselves whether those costs are really
commensurate with the benefits a policy is meant to achieve.

SCOPE OF THE GUIDANCE
11. This guidance deliberately does not seek to cover the whole range of possible
licensing requirements. Instead it seeks to concentrate only on those issues that have
caused difficulty in the past or that seem of particular significance. Nor for the most part
does the guidance seek to set out the law on taxi and PHV licensing, which for England
and Wales contains many complexities. Local licensing authorities will appreciate that it is
for them to seek their own legal advice.

CONSULTATION AT THE LOCAL LEVEL
12. It is good practice for local authorities to consult about any significant proposed
changes in licensing rules. Such consultation should include not only the taxi and PHV
trades but also groups likely to be the trades’ customers. Examples are groups
representing disabled people, or Chambers of Commerce, organisations with a wider
transport interest (eg the Campaign for Better Transport and other transport providers),
womens’ groups or local traders.

ACCESSIBILITY
13. The Minister of State for Transport has now announced the way forward on
accessibility for taxis and PHVs. His statement can be viewed on the Department’s website at: http://www.dft.gov.uk/press/speechesstatements/statements/accesstotaxis. The
Department will be taking forward demonstration schemes in three local authority areas to
research the needs of people with disabilities in order to produce guidance about the
most appropriate provision. In the meantime, the Department recognises that some local
licensing authorities will want to make progress on enhancing accessible taxi provision
and the guidance outlined below constitutes the Department’s advice on how this might
be achieved in advance of the comprehensive and dedicated guidance which will arise
from the demonstration schemes.

14. Different accessibility considerations apply between taxis and PHVs. Taxis can be
hired on the spot, in the street or at a rank, by the customer dealing directly with a driver.
PHVs can only be booked through an operator. It is important that a disabled person
should be able to hire a taxi on the spot with the minimum delay or inconvenience, and
having accessible taxis available helps to make that possible. For PHVs, it may be more
appropriate for a local authority to license any type of saloon car, noting that some PHV
operators offer accessible vehicles in their fleet. The Department has produced a leaflet
on the ergonomic requirements for accessible taxis that is available from:
http://www.dft.gov.uk/transportforyou/access/taxis/pubs/research

15. The Department is aware that, in some cases, taxi drivers are reluctant to pick up
disabled people. This may be because drivers are unsure about how to deal with
disabled people, they believe it will take longer for disabled people to get in and out of the
taxi and so they may lose other fares, or they are unsure about insurance arrangements if
anything goes wrong. It should be remembered that this is no excuse for refusing to pick
up disabled people and that the taxi industry has a duty to provide a service to disabled
people in the same way as it provides a service to any other passenger. Licensing
authorities should do what they can to work with operators, drivers and trade bodies in
their area to improve drivers’ awareness of the needs of disabled people, encourage them
to overcome any reluctance or bad practice, and to improve their abilities and confidence.
Local licensing authorities should also encourage their drivers to undertake disability
awareness training, perhaps as part of the course mentioned in the training section of this
guidance that is available through Go-Skills.

16. In relation to enforcement, licensing authorities will know that section 36 of the
Disability Discrimination Act 1995 (DDA) was partially commenced by enactment of the
Local Transport Act 2008. The duties contained in this section of the DDA apply only to
those vehicles deemed accessible by the local authority being used on “taxibus” services.
This applies to both hackney carriages and private hire vehicles.

17. Section 36 imposes certain duties on drivers of “taxibuses” to provide assistance to
people in wheelchairs, to carry them in safety and not to charge extra for doing so.
Failure to abide by these duties could lead to prosecution through a Magistrates’ court
and a maximum fine of £1,000.

18. Local authorities can take action against non-taxibus drivers who do not abide by
their duties under section 36 of the DDA (see below). This could involve for example
using licence conditions to implement training requirements or, ultimately, powers to
suspend or revoke licences. Some local authorities use points systems and will take
certain enforcement actions should drivers accumulate a certain number of points

19. There are plans to modify section 36 of the DDA. The Local Transport Act 2008
applied the duties to assist disabled passengers to drivers of taxis and PHVs whilst being
used to provide local services. The Equality Bill which is currently on its passage through
Parliament would extend the duties to drivers of taxis and PHVs whilst operating
conventional services using wheelchair accessible vehicles. Licensing authorities will be
informed if the change is enacted and Regulations will have to be made to deal with
exemptions from the duties for drivers who are unable, on medical grounds to fulfil the
duties.
Duties to carry assistance dogs

20. Since 31 March 2001, licensed taxi drivers in England and Wales have been under
a duty (under section 37 of the DDA) to carry guide, hearing and other prescribed
assistance dogs in their taxis without additional charge. Drivers who have a medical
condition that is aggravated by exposure to dogs may apply to their licensing authority for
an exemption from the duty on medical grounds. Any other driver who fails to comply with
the duty could be prosecuted through a Magistrates’ court and is liable to a fine of up to
£1,000. Similar duties covering PHV operators and drivers have been in force since 31
March 2004.

21. Enforcement of this duty is the responsibility of local licensing authorities. It is
therefore for authorities to decide whether breaches should be pursued through the courts
or considered as part of the licensing enforcement regime, having regard to guidance
issued by the Department.
http://www.dft.gov.uk/transportforyou/access/taxis/pubs/taxis/carriageofassistancedogsint
a6154?page=2
Duties under the Part 3 of the DDA

22. The Disability Discrimination Act 2005 amended the DDA 1995 and lifted the
exemption in Part 3 of that Act for operators of transport vehicles. Regulations applying
Part 3 to vehicles used to provide public transport services, including taxis and PHVs, hire
services and breakdown services came into force on 4 December 2006. Taxi drivers now
have a duty to ensure disabled people are not discriminated against or treated less
favourably. In order to meet these new duties, licensing authorities are required to review
any practices, policies and procedures that make it impossible or unreasonably difficult for
a disabled person to use their services.

23. The Disability Rights Commission, before it was incorporated into the Equality and
Human Rights Commission, produced a Code of Practice to explain the Part 3 duties for
the transport industry; this is available at
http://www.equalityhumanrights.com/uploaded_files/code_of_practice_provision_and_use
_of_transport_vehicles_dda.pdf. There is an expectation that Part 3 duties also now
demand new skills and training; this is available through GoSkills, the sector skills council
for road passenger transport. Go-Skills has also produced a DVD about assisting
disabled passengers. Further details are provided in the training section of this guidance.

24. Local Authorities may wish to consider how to use available courses to reinforce
the duties drivers are required to discharge under section 3 of DDA, and also to promote
customer service standards for example through GoSkills.

25. In addition recognition has been made of a requirement of basic skills prior to
undertaking any formal training. On-line tools are available to assess this requirement
prior to undertaking formal training.

VEHICLES
Specification Of Vehicle Types That May Be Licensed

26. The legislation gives local authorities a wide range of discretion over the types of
vehicle that they can license as taxis or PHVs. Some authorities specify conditions that in
practice can only be met by purpose-built vehicles but the majority license a range of
vehicles.

27. Normally, the best practice is for local licensing authorities to adopt the principle of
specifying as many different types of vehicle as possible. Indeed, local authorities might
usefully set down a range of general criteria, leaving it open to the taxi and PHV trades to
put forward vehicles of their own choice which can be shown to meet those criteria. In
that way there can be flexibility for new vehicle types to be readily taken into account.

28. It is suggested that local licensing authorities should give very careful
consideration to a policy which automatically rules out particular types of vehicle or
prescribes only one type or a small number of types of vehicle. For example, the
Department believes authorities should be particularly cautious about specifying only
purpose-built taxis, with the strict constraint on supply that that implies. But of course the
purpose-built vehicles are amongst those which a local authority could be expected to
license. Similarly, it may be too restrictive to automatically rule out considering MultiPurpose Vehicles, or to license them for fewer passengers than their seating capacity
(provided of course that the capacity of the vehicle is not more than eight passengers).

29. The owners and drivers of vehicles may want to make appropriate adaptations to
their vehicles to help improve the personal security of the drivers. Licensing authorities
should look favourably on such adaptations, but, as mentioned in paragraph 35 below,
they may wish to ensure that modifications are present when the vehicle is tested and not
made after the testing stage.
Tinted windows

30. The minimum light transmission for glass in front of, and to the side of, the driver is
70%. Vehicles may be manufactured with glass that is darker than this fitted to windows
rearward of the driver, especially in estate and people carrier style vehicles. When
licensing vehicles, authorities should be mindful of this as well as the large costs and
inconvenience associated with changing glass that conforms to both Type Approval and
Construction and Use Regulations.
Imported vehicles: type approval (see also “stretched limousines”, paras 40-44
below)

31. It may be that from time to time a local authority will be asked to license as a taxi or
PHV a vehicle that has been imported independently (that is, by somebody other than the
manufacturer). Such a vehicle might meet the local authority’s criteria for licensing, but
the local authority may nonetheless be uncertain about the wider rules for foreign vehicles
being used in the UK. Such vehicles will be subject to the ‘type approval’ rules. For

passenger cars up to 10 years old at the time of first GB registration, this means meeting
the technical standards of either:
– a European Whole Vehicle Type approval;
– a British National Type approval; or
– a Individual Vehicle Approval.
Most registration certificates issued since late 1998 should indicate the approval status of
the vehicle. The technical standards applied (and the safety and environmental risks
covered) under each of the above are proportionate to the number of vehicles entering
service. Further information about these requirements and the procedures for licensing
and registering imported vehicles can be seen at
www.businesslink.gov.uk/vehicleapprovalschemes
Vehicle Testing
32. There is considerable variation between local licensing authorities on vehicle
testing, including the related question of age limits. The following can be regarded as
best practice:
 Frequency Of Tests. The legal requirement is that all taxis should be subject to an
MOT test or its equivalent once a year. For PHVs the requirement is for an annual
test after the vehicle is three years old. An annual test for licensed vehicles of
whatever age (that is, including vehicles that are less than three years old) seems
appropriate in most cases, unless local conditions suggest that more frequent tests
are necessary. However, more frequent tests may be appropriate for older
vehicles (see ‘age limits’ below). Local licensing authorities may wish to note that a
review carried out by the National Society for Cleaner Air in 2005 found that taxis
were more likely than other vehicles to fail an emissions test. This finding, perhaps
suggests that emissions testing should be carried out on ad hoc basis and more
frequently than the full vehicle test.
 Criteria For Tests. Similarly, for mechanical matters it seems appropriate to apply
the same criteria as those for the MOT test to taxis and PHVs*. The MOT test on
vehicles first used after 31 March 1987 includes checking of all seat belts.
However, taxis and PHVs provide a service to the public, so it is also appropriate
to set criteria for the internal condition of the vehicle, though these should not be
unreasonably onerous.
*A manual outlining the method of testing and reasons for failure of all MOT tested items
can be obtained from the Stationary Office see
http:www.tsoshop.co.uk/bookstore.asp?FO=1159966&Action=Book&From=SearchResults
&ProductID=0115525726
 Age Limits. It is perfectly possible for an older vehicle to be in good condition. So
the setting of an age limit beyond which a local authority will not license vehicles
may be arbitrary and inappropriate. But a greater frequency of testing may be
appropriate for older vehicles – for example, twice-yearly tests for vehicles more
than five years old.
 Number Of Testing Stations. There is sometimes criticism that local authorities
provide only one testing centre for their area (which may be geographically
extensive). So it is good practice for local authorities to consider having more than
one testing station. There could be an advantage in contracting out the testing
work, and to different garages. In that way the licensing authority can benefit from
competition in costs. (The Vehicle Operators and Standards Agency – VOSA –
may be able to assist where there are local difficulties in provision of testing
stations.)

33. The Technical Officer Group of the Public Authority Transport Network has
produced Best Practice Guidance which focuses on national inspection standards for
taxis and PHVs. Local licensing authorities might find it helpful to refer to the testing
standards set out in this guidance in carrying out their licensing responsibilities. The
PATN can be accessed via the Freight Transport Association.
Personal security

34. The personal security of taxi and PHV drivers and staff needs to be considered.
The Crime and Disorder Act 1998 requires local authorities and others to consider crime
and disorder reduction while exercising all of their duties. Crime and Disorder Reduction
Partnerships are also required to invite public transport providers and operators to
participate in the partnerships. Research has shown that anti-social behaviour and crime
affects taxi and PHV drivers and control centre staff. It is therefore important that the
personal security of these people is considered.

35. The owners and drivers of vehicles will often want to install security measures to
protect the driver. Local licensing authorities may not want to insist on such measures, on
the grounds that they are best left to the judgement of the owners and drivers themselves.
But it is good practice for licensing authorities to look sympathetically on – or actively to
encourage – their installation. They could include a screen between driver and
passengers, or CCTV. Care however should be taken that security measures within the
vehicle do not impede a disabled passenger’s ability to communicate with the driver. In
addition, licensing authorities may wish to ensure that such modifications are present
when the vehicle is tested and not made after the testing stage.

36. There is extensive information on the use of CCTV, including as part of measures
to reduce crime, on the Home Office website (e.g.
http://scienceandresearch.homeoffice.gov.uk/hosdb/cctv-imaging-technology/CCTV-andimaging-publications) and on the Information Commission’s Office website
(www.ico.gov.uk). CCTV can be both a deterrent to would-be trouble makers and be a
source of evidence in the case of disputes between drivers and passengers and other
incidents. There is a variety of funding sources being used for the implementation of
security measures for example, from community safety partnerships, local authorities and
drivers themselves.

37. Other security measures include guidance, talks by the local police and conflict
avoidance training. The Department has recently issued guidance for taxi and PHV
drivers to help them improve their personal security. These can be accessed on the
Department’s website at: http://www.dft.gov.uk/pgr/crime/taxiphv/.
In order to emphasise the reciprocal aspect of the taxi/PHV service, licensing authorities
might consider drawing up signs or notices which set out not only what passengers can
expect from drivers, but also what drivers can expect from passengers who use their
service. Annex B contains two samples which are included for illustrative purposes but
local authorities are encouraged to formulate their own, in the light of local conditions and
circumstances. Licensing authorities may want to encourage the taxi and PHV trades to
build good links with the local police force, including participation in any Crime and
Disorder Reduction Partnerships.

Vehicle Identification

38. Members of the public can often confuse PHVs with taxis, failing to realise that
PHVs are not available for immediate hire and that a PHV driver cannot be hailed. So it is
important to distinguish between the two types of vehicle. Possible approaches might be:
 a licence condition that prohibits PHVs from displaying any identification at all apart
from the local authority licence plate or disc. The licence plate is a helpful indicator
of licensed status and, as such, it helps identification if licence plates are displayed
on the front as well as the rear of vehicles. However, requiring some additional
clearer form of identification can be seen as best practice. This is for two reasons:
firstly, to ensure a more positive statement that the vehicle cannot be hired
immediately through the driver; and secondly because it is quite reasonable, and in
the interests of the travelling public, for a PHV operator to be able to state on the
vehicle the contact details for hiring;
 a licence condition which requires a sign on the vehicle in a specified form. This
will often be a sign of a specified size and shape which identifies the operator (with
a telephone number for bookings) and the local licensing authority, and which also
has some words such as ‘pre-booked only’. This approach seems the best
practice; it identifies the vehicle as private hire and helps to avoid confusion with a
taxi, but also gives useful information to the public wishing to make a booking. It is
good practice for vehicle identification for PHVs to include the contact details of the
operator.
 Another approach, possibly in conjunction with the previous option, is a
requirement for a roof-mounted, permanently illuminated sign with words such as
‘pre-booked only’. But it can be argued that any roof-mounted sign, however
unambiguous its words, is liable to create confusion with a taxi. So roof-mounted
signs on PHVs are not seen as best practice.

Environmental Considerations

39. Local licensing authorities, in discussion with those responsible for environmental
health issues, will wish to consider how far their vehicle licensing policies can and should
support any local environmental policies that the local authority may have adopted. This
will be of particular importance in designated Air Quality Management Areas (AQMAs),
Local authorities may, for example, wish to consider setting vehicle emissions standards
for taxis and PHVs. However, local authorities would need to carefully and thoroughly

assess the impact of introducing such a policy; for example, the effect on the supply of
taxis and PHVs in the area would be an important consideration in deciding the
standards, if any, to be set. They should also bear in mind the need to ensure that the
benefits of any policies outweigh the costs (in whatever form).

Stretched Limousines
40. Local licensing authorities are sometimes asked to license stretched limousines as
PHVs. It is suggested that local authorities should approach such requests on the basis
that these vehicles – where they have fewer than nine passenger seats – have a
legitimate role to play in the private hire trade, meeting a public demand. Indeed, the
Department’s view is that it is not a legitimate course of action for licensing authorities to
adopt policies that exclude limousines as a matter of principle and that any authorities
which do adopt such practices are leaving themselves open to legal challenge. A policy of
excluding limousines creates an unacceptable risk to the travelling public, as it would
inevitably lead to higher levels of unlawful operation. Public safety considerations are best
supported by policies that allow respectable, safe operators to obtain licences on the
same basis as other private hire vehicle operators. The Department has now issued
guidance on the licensing arrangements for stretched limousines. This can be accessed
on the Department’s web-site at
http://www.dft.gov.uk/pgr/regional/taxis/stretchlimousines.pdf.

41. The limousine guidance makes it clear that most operations are likely to fall within
the PHV licensing category and not into the small bus category. VOSA will be advising
limousine owners that if they intend to provide a private hire service then they should go
to the local authority for PHV licences. The Department would expect licensing authorities
to assess applications on their merits; and, as necessary, to be proactive in ascertaining
whether any limousine operators might already be providing an unlicensed service within
their district.

42. Imported stretched limousines were historically checked for compliance with
regulations under the Single Vehicle Approval (SVA) inspection regime before they were
registered. This is now the Individual Vehicle Approval (IVA) scheme. The IVA test
verifies that the converted vehicle is built to certain safety and environmental standards. A
licensing authority might wish to confirm that an imported vehicle was indeed tested by
VOSA for IVA before being registered and licensed (taxed) by DVLA. This can be done
either by checking the V5C (Registration Certificate) of the vehicle, which may refer to
IVA under the “Special Note” section; or by writing to VOSA, Ellipse, Padley Road,
Swansea, SA1 8AN, including details of the vehicle’s make and model, registration
number and VIN number.

43. Stretched limousines which clearly have more than 8 passenger seats should not
of course be licensed as PHVs because they are outside the licensing regime for PHVs.
However, under some circumstances the SVA regime accepted vehicles with space for
more than 8 passengers, particularly where the precise number of passenger seats was
hard to determine. In these circumstances, if the vehicle had obtained an SVA certificate,
the authority should consider the case on its merits in deciding whether to license the
vehicle under the strict condition that the vehicle will not be used to carry more than 8
passengers, bearing in mind that refusal may encourage illegal private hire operation.

44. Many councils are concerned that the size of limousines prevents them being
tested in conventional MoT garages. If there is not a suitable MoT testing station in the
area then it would be possible to test the vehicle at the local VOSA test stations. The local
enforcement office may be able to advise (contact details on http://www.vosa.gov.uk).

QUANTITY RESTRICTIONS OF TAXI LICENCES OUTSIDE LONDON

45. The present legal provision on quantity restrictions for taxis outside London is set
out in section 16 of the Transport Act 1985. This provides that the grant of a taxi licence
may be refused, for the purpose of limiting the number of licensed taxis ‘if, but only if, the
[local licensing authority] is satisfied that there is no significant demand for the services of
hackney carriages (within the area to which the licence would apply) which is unmet’.

46. Local licensing authorities will be aware that, in the event of a challenge to a
decision to refuse a licence, the local authority concerned would have to establish that it
had, reasonably, been satisfied that there was no significant unmet demand.

47. Most local licensing authorities do not impose quantity restrictions; the Department
regards that as best practice. Where restrictions are imposed, the Department would
urge that the matter should be regularly reconsidered. The Department further urges that
the issue to be addressed first in each reconsideration is whether the restrictions should
continue at all. It is suggested that the matter should be approached in terms of the
interests of the travelling public – that is to say, the people who use taxi services. What
benefits or disadvantages arise for them as a result of the continuation of controls; and
what benefits or disadvantages would result for the public if the controls were removed?
Is there evidence that removal of the controls would result in a deterioration in the amount
or quality of taxi service provision?

48. In most cases where quantity restrictions are imposed, vehicle licence plates
command a premium, often of tens of thousands of pounds. This indicates that there are
people who want to enter the taxi market and provide a service to the public, but who are
being prevented from doing so by the quantity restrictions. This seems very hard to
justify.

49. If a local authority does nonetheless take the view that a quantity restriction can be
justified in principle, there remains the question of the level at which it should be set,
bearing in mind the need to demonstrate that there is no significant unmet demand. This
issue is usually addressed by means of a survey; it will be necessary for the local
licensing authority to carry out a survey sufficiently frequently to be able to respond to any
challenge to the satisfaction of a court. An interval of three years is commonly regarded
as the maximum reasonable period between surveys.

50. As to the conduct of the survey, the Department’s letter of 16 June 2004 set out a
range of considerations. But key points are:
 the length of time that would-be customers have to wait at ranks. However,
this alone is an inadequate indicator of demand; also taken into account should
be…
 waiting times for street hailings and for telephone bookings. But waiting
times at ranks or elsewhere do not in themselves satisfactorily resolve the question
of unmet demand. It is also desirable to address…
 latent demand, for example people who have responded to long waiting times by
not even trying to travel by taxi. This can be assessed by surveys of people who
do not use taxis, perhaps using stated preference survey techniques.
 peaked demand. It is sometimes argued that delays associated only with peaks
in demand (such as morning and evening rush hours, or pub closing times) are not
‘significant’ for the purpose of the Transport Act 1985. The Department does not
share that view. Since the peaks in demand are by definition the most popular
times for consumers to use taxis, it can be strongly argued that unmet demand at
these times should not be ignored. Local authorities might wish to consider when
the peaks occur and who is being disadvantaged through restrictions on provision
of taxi services.
 consultation. As well as statistical surveys, assessment of quantity restrictions
should include consultation with all those concerned, including user groups (which
should include groups representing people with disabilities, and people such as
students or women), the police, hoteliers, operators of pubs and clubs and visitor
attractions, and providers of other transport modes (such as train operators, who
want taxis available to take passengers to and from stations);
 publication. All the evidence gathered in a survey should be published, together
with an explanation of what conclusions have been drawn from it and why. If
quantity restrictions are to be continued, their benefits to consumers and the
reason for the particular level at which the number is set should be set out.
 financing of surveys. It is not good practice for surveys to be paid for by the
local taxi trade (except through general revenues from licence fees). To do so can
call in question the impartiality and objectivity of the survey process.

51. Quite apart from the requirement of the 1985 Act, the Department’s letter of 16
June 2004 asked all local licensing authorities that operate quantity restrictions to review
their policy and justify it publicly by 31 March 2005 and at least every three years
thereafter. The Department also expects the justification for any policy of quantity
restrictions to be included in the Local Transport Plan process. A recommended list of
questions for local authorities to address when considering quantity controls was attached
to the Department’s letter. (The questions are listed in Annex A to this Guidance.)

TAXI FARES
52. Local licensing authorities have the power to set taxi fares for journeys within their
area, and most do so. (There is no power to set PHV fares.) Fare scales should be
designed with a view to practicality. The Department sees it as good practice to review
the fare scales at regular intervals, including any graduation of the fare scale by time of
day or day of the week. Authorities may wish to consider adopting a simple formula for
deciding on fare revisions as this will increase understanding and improve the
transparency of the process. The Department also suggests that in reviewing fares
authorities should pay particular regard to the needs of the travelling public, with
reference both to what it is reasonable to expect people to pay but also to the need to
give taxi drivers sufficient incentive to provide a service when it is needed. There may well
be a case for higher fares at times of higher demand.

53. Taxi fares are a maximum, and in principle are open to downward negotiation
between passenger and driver. It is not good practice to encourage such negotiations at
ranks, or for on-street hailings; there would be risks of confusion and security problems.
But local licensing authorities can usefully make it clear that published fares are a
maximum, especially in the context of telephone bookings, where the customer benefits
from competition. There is more likely to be a choice of taxi operators for telephone
bookings, and there is scope for differentiation of services to the customer’s advantage
(for example, lower fares off-peak or for pensioners).

54. There is a case for allowing any taxi operators who wish to do so to make it clear –
perhaps by advertising on the vehicle – that they charge less than the maximum fare;
publicity such as ‘5% below the metered fare’ might be an example.

DRIVERS
Duration Of Licences
55. It is obviously important for safety reasons that drivers should be licensed. But it is
not necessarily good practice to require licences to be renewed annually. That can
impose an undue burden on drivers and licensing authorities alike. Three years is the
legal maximum period and is in general the best approach. One argument against 3-year
licences has been that a criminal offence may be committed, and not notified, during the
duration of the licence. But this can of course also be the case during the duration of a
shorter licence. In relation to this, authorities will wish to note that the Home Office in April
2006 issued revised guidance for police forces on the Notifiable Occupations Scheme.
Paragraphs 62-65 below provide further information about this scheme.

56. However, an annual licence may be preferred by some drivers. That may be
because they have plans to move to a different job or a different area, or because they
cannot easily pay the fee for a three-year licence, if it is larger than the fee for an annual
one. So it can be good practice to offer drivers the choice of an annual licence or a threeyear licence.
Acceptance of driving licences from other EU member states

57. Sections 51 and 59 of the Local Government (Miscellaneous Provisions) Act 1976
as enacted stated that an applicant for a taxi or private hire vehicle (PHV) driver’s licence
must have held a full ordinary GB driving licence for at least 12 months in order to be
granted a taxi or PHV driver’s licence. This requirement has subsequently been amended
since the 1976 Act was passed. The Driving Licences (Community Driving Licence)
Regulations 1996 (SI 1996 No 1974) amended sections 51 and 59 of the 1976 Act to
allow full driving licences issued by EEA states to count towards the qualification

requirements for the grant of taxi and PHV driver’s licences. Since that time, a number of
central and eastern European states have joined the EU and the EEA and the
Department takes the view that drivers from the Accession States are eligible to acquire a
taxi or PHV driver’s licence under the 1976 Act if they have held an ordinary driving
licence for 12 months which was issued by an acceding State (see section 99A(i) of the
Road Traffic Act 1988). To complete the picture, the Deregulation (Taxis and Private Hire
Vehicles) Order 1998 (SI 1998 No 1946) gave equal recognition to Northern Ireland
driving licences for the purposes of taxi and PHV driver licensing under the 1976 Act (see
section 109(i) of the Road Traffic Act 1988, as amended).

Criminal Record Checks

58. A criminal record check is an important safety measure particularly for those
working closely with children and the vulnerable. Taxi and PHV drivers can be subject to
a Standard Disclosure (and for those working in “Regulated Activity” to an Enhanced
Disclosure) through the Criminal Records Bureau. Both levels of Disclosure include
details of spent and unspent convictions, cautions reprimands and final warnings. An
Enhanced Disclosure may also include any other information held in police records that is
considered relevant by the police, for example, details of minor offences, non-conviction
information on the Police National Computer such as Fixed Penalty Notices and, in some
cases, allegations. An Enhanced Disclosure is for those working in Regulated
Activity1.and the Government has produced guidance in relation to this and the new
“Vetting and Barring Scheme” which is available at www.isagov.org.uk/default.aspx?page=402. [The Department will issue further advice as the new SVG scheme develops.]

59. In considering an individual’s criminal record, local licensing authorities will want to
consider each case on its merits, but they should take a particularly cautious view of any
offences involving violence, and especially sexual attack. In order to achieve
consistency, and thus avoid the risk of successful legal challenge, local authorities will
doubtless want to have a clear policy for the consideration of criminal records, for
example the number of years they will require to have elapsed since the commission of
particular kinds of offences before they will grant a licence.

60. Local licensing authorities will also want to have a policy on background checks for
applicants from elsewhere in the EU and other overseas countries. One approach is to
require a certificate of good conduct authenticated by the relevant embassy. The
Criminal Records Bureau website (www.crb.gov.uk) gives information about obtaining
certificates of good conduct, or similar documents, from a number of countries.

61. It would seem best practice for Criminal Records Bureau disclosures to be sought
when a licence is first applied for and then every three years, even if a licence is renewed
annually, provided drivers are obliged to report all new convictions and cautions to the
licensing authority.

Notifiable Occupations Scheme
62. Under this Scheme, when an individual comes to the notice of the police and
identifies their occupation as a taxi or PHV driver, the police are requested to notify the
appropriate local licensing authority of convictions and any other relevant information that
indicates that a person poses a risk to public safety. Most notifications will be made once
an individual is convicted however, if there is a sufficient risk, the police will notify the
authority immediately.

63. In the absence of a national licensing body for taxi and PHV drivers, notifications
are made to the local licensing authority identified on the licence or following interview.
However, it is expected that all licensing authorities work together should they ascertain
that an individual is operating under a different authority or with a fraudulent licence.

64. The police may occasionally notify licensing authorities of offences committe dabroad by an individual however it may not be possible to provide full information.

65. The Notifiable Occupations Scheme is described in Home Office Circular 6/2006
which is available at
http://www.basingstoke.gov.uk/CommitteeDocs/Committees/Licensing/20070710/3%20yr
%20licencesupdate%20on%20hants%20constab%20procedures%20re%20Home%20office%20circ%
206;2006-%20Appendix%202.pdf. Further information can also be obtained from the
Criminal Records Team, Joint Public Protection Information Unit, Fifth Floor, Fry Building,
2 Marsham Street, London SW1P 4DF; e-mail Samuel.Wray@homeoffice.gsi.gov.uk.
Immigration checks

66. The Department considers it appropriate for licensing authorities to check on an
applicant’s right to work before granting a taxi or PHV driver’s licence. It is important to
note that a Criminal Records Bureau check is not a Right to Work check and any enquires
about the immigration status of an individual should be addressed to the Border and
Immigration Agency. Further information can be found at
www.bia.homeoffice.gov.uk/employingmigrants. More generally, the Border and
Immigration Agency’s Employers’ Helpline (0845 010 6677) can be used by licensing staff
to obtain general guidance on immigration documentation, although this Helpline is not
able to advise on individual cases. The authority can obtain case specific immigration
status information, including whether a licensing applicant is permitted to work or details
of work restrictions, from the Evidence and Enquiry Unit, Floor 12, Lunar House,
Wellesley Road, Croydon CR9 2BY . Further details on the procedures involved can be
obtained by contacting the Unit (020 8196 3011).
Medical fitness

67. It is clearly good practice for medical checks to be made on each driver before the
initial grant of a licence and thereafter for each renewal. There is general recognition that
it is appropriate for taxi/PHV drivers to have more stringent medical standards than those
applicable to normal car drivers because:
they carry members of the general public who have expectations of a safe journey;
they are on the road for longer hours than most car drivers; and
they may have to assist disabled passengers and handle luggage.

68. It is common for licensing authorities to apply the “Group 2” medical standards –
applied by DVLA to the licensing of lorry and bus drivers – to taxi and PHV drivers. This
seems best practice. The Group 2 standards preclude the licensing of drivers with insulin
treated diabetes. However, exceptional arrangements do exist for drivers with insulin
treated diabetes, who can meet a series of medical criteria, to obtain a licence to drive
category C1 vehicles (ie 3500-7500 kgs lorries); the position is summarised at Annex C to
the Guidance. It is suggested that the best practice is to apply the C1 standards to taxi
and PHV drivers with insulin treated diabetes.
Age Limits

69. It does not seem necessary to set a maximum age limit for drivers provided that
regular medical checks are made. Nor do minimum age limits, beyond the statutory
periods for holding a full driver licence, seem appropriate. Applicants should be assessed
on their merits.
Driving Proficiency

70. Many local authorities rely on the standard car driving licence as evidence of
driving proficiency. Others require some further driving test to be taken. Local authorities
will want to consider carefully whether this produces benefits which are commensurate
with the costs involved for would-be drivers, the costs being in terms of both money and
broader obstacles to entry to the trade. However, they will note that the Driving Standards
Agency provides a driving assessment specifically designed for taxis.

Language proficiency
71. Authorities may also wish to consider whether an applicant would have any
problems in communicating with customers because of language difficulties.
Other training

72. Whilst the Department has no plans to make training courses or qualifications
mandatory, there may well be advantage in encouraging drivers to obtain one of the
nationally-recognised vocational qualifications for the taxi and PHV trades. These will
cover customer care, including how best to meet the needs of people with disabilities.
More information about these qualifications can be obtained from GoSkills, the Sector
Skills Council for Passenger Transport. GoSkills is working on a project funded by the
Department to raise standards in the industry and GoSkills whilst not a direct training
provider, can guide and support licensing authorities through its regional network of
Regional Managers.

73. Some licensing authorities have already established training initiatives and others
are being developed; it is seen as important to do this in consultation with the local taxi
and PHV trades. Training can cover customer care, including how best to meet the needs
of people with disabilities and other sections of the community, and also topics such as
the relevant legislation, road safety, the use of maps and GPS, the handling of
emergencies, and how to defuse difficult situations and manage conflict. Training may
also be considered for applicants to enable them to reach an appropriate standard of
comprehension, literacy and numeracy. Authorities may wish to note that nationally
recognised qualifications and training programmes sometimes have advantages over
purely local arrangements (for example, in that the qualification will be more widely
recognised).
Contact details are:
GoSkills, Concorde House, Trinity Park, Solihull, Birmingham, B37 7UQ.
Tel: 0121-635-5520
Fax: 0121-635-5521
Website: www.goskills.org
e-mail: info@goskills.org

74. It is also relevant to consider driver training in the context of the 2012 Olympic and
Paralympic Games which will take place at a number of venues across the country. One
of the key aims of the Games is to “change the experience disabled people have when
using public transport during the Games and to leave a legacy of more accessible
transport”. The Games provide a unique opportunity for taxi/PHV drivers to demonstrate
their disability awareness training, and to ensure all passengers experience the highest
quality of service.

Topographical Knowledge
75. Taxi drivers need a good working knowledge of the area for which they are
licensed, because taxis can be hired immediately, directly with the driver, at ranks or on
the street. So most licensing authorities require would-be taxi-drivers to pass a test of
local topographical knowledge as a pre-requisite to the first grant of a licence (though the
stringency of the test should reflect the complexity or otherwise of the local geography, in
accordance with the principle of ensuring that barriers to entry are not unnecessarily
high).

76. However, PHVs are not legally available for immediate hiring in the same way as
taxis. To hire a PHV the would-be passenger has to go through an operator, so the driver
will have an opportunity to check the details of a route before starting a journey. So it
may be unnecessarily burdensome to require a would-be PHV driver to pass the same
‘knowledge’ test as a taxi driver, though it may be thought appropriate to test candidates’
ability to read a map and their knowledge of key places such as main roads and railway
stations. The Department is aware of circumstances where, as a result of the repeal of
the PHV contract exemption, some people who drive children on school contracts are
being deterred from continuing to do so on account of overly burdensome topographical

tests. Local authorities should bear this in mind when assessing applicants’ suitability for
PHV licences.
PHV OPERATORS

77. The objective in licensing PHV operators is, again, the safety of the public, who will
be using operators’ premises and vehicles and drivers arranged through them.
Criminal Record Checks

78. PHV operators (as opposed to PHV drivers) are not exceptions to the
Rehabilitation of Offenders Act 1974, so Standard or Enhanced disclosures cannot be
required as a condition of grant of an operator’s licence. But a Basic Disclosure, which
will provide details of unspent convictions only, could be seen as appropriate, after such a
system has been introduced by the Criminal Records Bureau. No firm date for
introduction has yet been set; however, a feasibility study has been completed; the
Criminal Records Bureau is undertaking further work in this regard. Overseas applicants
may be required to provide a certificate of good conduct from the relevant embassy if they
have not been long in this country. Local licensing authorities may want to require a
reference, covering for example the applicant’s financial record, as well as the checks
outlined above.
Record Keeping

79. It is good practice to require operators to keep records of each booking, including
the name of the passenger, the destination, the name of the driver, the number of the
vehicle and any fare quoted at the time of booking. This information will enable the
passenger to be traced if this becomes necessary and should improve driver security and
facilitate enforcement. It is suggested that 6 months is generally appropriate as the length
of time that records should be kept.
Insurance

80 It is appropriate for a licensing authority to check that appropriate public liability
insurance has been taken out for premises that are open to the public.
Licence Duration

81. A requirement for annual licence renewal does not seem necessary or appropriate
for PHV operators, whose involvement with the public is less direct than a driver (who will
be alone with passengers). Indeed, a licence period of five years may well be appropriate
in the average case. Although the authority may wish to offer operators the option of a
licence for a shorter period if requested.
Repeal of the PHV contract exemption

82. Section 53 of the Road Safety Act 2006 repealed the exemption from PHV
licensing for vehicles which were used on contracts lasting not less than seven days. The
change came into effect in January 2008. A similar change was introduced in respect of
London in March 2008. As a result of this change, local licensing authorities are
considering a range of vehicles and services in the context of PHV licensing which they
had not previously licensed because of the contract exemption.
83. The Department produced a guidance note in November 2007 to assist local
licensing authorities, and other stakeholders, in deciding which vehicles should be
licensed in the PHV regime and which vehicles fell outside the PHV definition. The note
stressed that it was a matter for local licensing authorities to make decisions in the first
instance and that, ultimately, the courts were responsible for interpreting the law.
However, the guidance was published as a way of assisting people who needed to
consider these issues. A copy of the guidance note can be found on the Department’s
web-site at: http://www.dft.gov.uk/pgr/regional/taxis/rsa06privatehirevehicles As a result of
a recent report on the impact of the repeal of the PHV contract exemption, the
Department will be revising its guidance note to offer a more definite view about which
vehicles should be licensed as PHVs. The report is also on the Department’s web-site at:
http://www.dft.gov.uk/pgr/regional/taxis/phvcontractexemption/

ENFORCEMENT

84. Well-directed enforcement activity by the local licensing authority benefits not only
the public but also the responsible people in the taxi and PHV trades. Indeed, it could be
argued that the safety of the public depends upon licensing authorities having an effective
enforcement mechanism in place. This includes actively seeking out those operators who
are evading the licensing system, not just licensing those who come forward seeking the
appropriate licences. The resources devoted by licensing authorities to enforcement will
vary according to local circumstances, including for example any difficulties with touting
by unlicensed drivers and vehicles (a problem in some urban areas). Local authorities will
also wish to liaise closely with the police. Multi-agency enforcement exercises (involving,
for example, the Benefits Agency) have proved beneficial in some areas.

85. Local licensing authorities often use enforcement staff to check a range of licensed
activities (such as market traders) as well as the taxi and PHV trades, to make the best
use of staff time. But it is desirable to ensure that taxi and PHV enforcement effort is at
least partly directed to the late-night period, when problems such as touting tend most
often to arise. In formulating policies to deal with taxi touts, local licensing authorities
might wish to be aware that the Sentencing Guidelines Council have, for the first time,
included guidance about taxi touting in their latest Guidelines for Magistrates. The
Guidelines, which came into effect in August 2008, can be accessed through the SGC’s
web-site – www.sentencing-guidelines.gov.uk.

86. Some local licensing authorities employ taxi marshals in busy city centres where
there are lots of hirings, again perhaps late at night, to help taxi drivers picking up, and
would-be passengers queuing for taxis.

87. As part of enforcement, local licensing authorities will often make spot checks,
which can lead to their suspending or revoking licences. They will wish to consider
carefully which power should best be used for this purpose. They will note, among other
things, that section 60 of the Local Government (Miscellaneous Provisions) Act 1976
provides a right of appeal for the licence-holder, whereas section 68, which is also
sometimes used, does not; this can complicate any challenge by the licence-holder.

88. Section 52 of the Road Safety Act 2006 amended the Local Government
(Miscellaneous Provisions) Act 1976 such that local authorities can now suspend or
revoke a taxi or PHV driver’s licence with immediate effect on safety grounds. It should be
stressed that this power can only be used where safety is the principal reason for
suspending or revoking and where the risk justifies such an approach. It is expected that
in the majority of cases drivers will continue to work pending appeal and that this power
will be used in one-off cases. But the key point is that the law says that the power must be
used in cases which can be justified in terms of safety. The Department is not proposing
to issue any specific guidance on this issue, preferring to leave it to the discretion of
licensing authorities as to when the power should be used.

TAXI ZONES
89. The areas of some local licensing authorities are divided into two or more zones for
taxi licensing purposes. Drivers may be licensed to ply for hire in one zone only. Zones
may exist for historical reasons, perhaps because of local authority boundary changes.

90. The Department recommends the abolition of zones. That is chiefly for the benefit
of the travelling public. Zoning tends to diminish the supply of taxis and the scope for
customer choice – for example, if fifty taxis were licensed overall by a local authority, but
with only twenty five of them entitled to ply for hire in each of two zones. It can be
confusing and frustrating for people wishing to hire a taxi to find that a vehicle licensed by
the relevant local authority is nonetheless unable to pick them up (unless pre-booked)
because they are in the wrong part of the local authority area. Abolition of zones can also
reduce costs for the local authority, for example through simpler administration and
enforcement. It can also promote fuel efficiency, because taxis can pick up a passenger
anywhere in the local authority area, rather than having to return empty to their licensed
zone after dropping a passenger in another zone.

91. It should be noted that the Government has now made a Legislative Reform Order
which removed the need for the Secretary of State to approve amalgamation resolutions
made by local licensing authorities The Legislative Reform (Local Authority Consent
Requirements)(England and Wales) Order 2008 came into force in October 2008.
Although these resolutions no longer require the approval of the Secretary of State, the
statutory procedure for making them – in paragraph 25 of schedule 14 to the Local
Government Act 1972- remains the same.

FLEXIBLE TRANSPORT SERVICES

92. It is possible for taxis and PHVs to provide flexible transport services in a number
of different ways. Such services can play a valuable role in meeting a range of transport

needs, especially in rural areas – though potentially in many other places as well. In
recent years there has been a significant increase in the provision of flexible services, due
partly to the availability of Rural Bus Subsidy Grant and Rural Bus Challenge Support
from the Department.

93. The Department encourages local licensing authorities, as a matter of best
practice, to play their part in promoting flexible services, so as to increase the availability
of transport to the travelling public. This can be done partly by drawing the possibilities to
the attention of taxi and PHV trade. It also should be borne in mind that vehicles with a
higher seating capacity than the vehicles typically licensed as taxis (for example those
with 6, 7 or 8 passenger seats) may be used for flexible services and should be
considered for licensing in this context.

94. The main legal provisions under which flexible services can be operated are:
Shared taxis and PHVs – advance bookings (section 11, Transport Act 1985):
licensed taxis and PHVs can provide a service at separate fares for up to eight
passengers sharing the vehicle. The operator takes the initiative to match up
passengers who book in advance and agree to share the vehicle at separate fares
(lower than for a single hiring). An example could be passengers being picked up
at home to go to a shopping centre, or returning from the shops to their homes.
The operator benefits through increased passenger loadings and total revenues.
Shared taxis – immediate hirings (section 10, Transport Act 1985): such a
scheme is at the initiative of the local licensing authority, which can set up
schemes whereby licensed taxis (not PHVs) can be hired at separate fares by up
to eight people from ranks or other places that have been designated by the
authority. (The authority is required to set up such a scheme if holders of 10% or
more of the taxi licences in the area ask for one.) The passengers pay only part of
the metered fare, for example in going home after a trip to the local town, and
without pre-booking, but the driver receives more than the metered fare.
Taxibuses (section 12, Transport Act 1985): owners of licensed taxis can apply
to the Traffic Commissioner for a ‘restricted public service vehicle (PSV) operator
licence’. The taxi owner can then use the vehicle to run a bus service for up to
eight passengers. The route must be registered with the Traffic Commissioner and
must have at least one stopping place in the area of the local authority that
licensed the taxi, though it can go beyond it. The bus service will be eligible for Bus
Service Operators Grant (subject to certain conditions) and taxibuses can be used
for local authority subsidised bus services. The travelling public have another
transport opportunity opened for them, and taxi owners have another business
opportunity. The Local Transport Act 2008 contains a provision which allows the
owners of PHVs to acquire a special PSV operator licence and register a route with
the traffic commissioner. A dedicated leaflet has been sent to licensing authorities
to distribute to PHV owners in their area alerting them to this new provision.
95. The Department is very keen to encourage the use of these types of services.
More details can be found in the Department’s publication ‘Flexible Transport Services’
which can be accessed at:.
http://www.dft.gov.uk/pgr/regional/buses/bol/flexibletransportservices

LOCAL TRANSPORT PLANS

96. The Transport Act 2000 as amended by the Transport Act 2008, requires local
transport authorities in England outside London to produce and maintain a Local
Transport Plan (LTP), having regard to any guidance issued by the Secretary of State.
The latest guidance published in July 2009 will cover the next round of LTPs from 2011.
LTPs set out the authority’s local transport strategies and policies for transport in their
area, and an implementation programme. 82 LTPs covering all of England outside
London have been produced and cover the period up to 2011. From 2011 local authorities
will have greater freedom to prepare their LTPs to align with wider local objectives.

97. All modes of transport including taxi and PHV services have a valuable part to play
in overall transport provision, and so local licensing authorities have an input to delivering
the LTPs. The key policy themes for such services could be availability and accessibility.
LTPs can cover:
quantity controls, if any, and plans for their review;
licensing conditions, with a view to safety but also to good supply of taxi and PHV
services;
fares;
on-street availability, especially through provision of taxi ranks;
vehicle accessibility for people with disabilities;
encouragement of flexible services.

TAXI AND PRIVATE HIRE VEHICLE LICENSING: BEST PRACTICE GUIDANCE
Useful questions when assessing quantity controls of taxi licences
Have you considered the Government’s view that quantity controls should be removed unless
a specific case that such controls benefit the consumer can be made?
Questions relating to the policy of controlling numbers
Have you recently reviewed the need for your policy of quantity controls?
What form did the review of your policy of quantity controls take?
Who was involved in the review?
What decision was reached about retaining or removing quantity controls?
Are you satisfied that your policy justifies restricting entry to the trade?
Are you satisfied that quantity controls do not:
– reduce the availability of taxis;
– increase waiting times for consumers;
– reduce choice and safety for consumers?
What special circumstances justify retention of quantity controls?
How does your policy benefit consumers, particularly in remote rural areas?
How does your policy benefit the trade?
If you have a local accessibility policy, how does this fit with restricting taxi licences?
Questions relating to setting the number of taxi licences
When last did you assess unmet demand?
How is your taxi limit assessed?
Have you considered latent demand, ie potential consumers who would use taxis if more were
available, but currently do not?
Are you satisfied that your limit is set at the correct level?
How does the need for adequate taxi ranks affect your policy of quantity controls?
Questions relating to consultation and other public transport service provision
When consulting, have you included etc
– all those working in the market;
– consumer and passenger (including disabled) groups;
– groups which represent those passengers with special needs;
– local interest groups, eg hospitals or visitor attractions;
– the police;
– a wide range of transport stakeholders eg rail/bus/coach providers and
traffic managers?
Do you receive representations about taxi availability?
What is the level of service currently available to consumers (including other public transport
modes)?
Annex B

TAXI AND PRIVATE HIRE VEHICLE LICENSING: BEST PRACTICE GUIDANCE

Notice for taxi passengers – what you can expect from the taxi trade and what the
taxi trade can expect from you
The driver will:
Drive with due care and courtesy towards the passenger and other road
users.
Use the meter within the licensed area, unless the passenger has agreed to
hire by time.
If using the meter, not start the meter until the passenger is seated in the
vehicle.
If travelling outside the licensed area, agree the fare in advance. If no fare
has been negotiated in advance for a journey going beyond the licensing
area then the driver must adhere to the meter.
Take the most time-efficient route, bearing in mind likely traffic problems and
known diversions, and explain any diversion from the most direct route.
The passenger will:
Treat the vehicle and driver with respect and obey any notices (e.g. in
relation to eating in the vehicle).
Ensure they have enough money to pay the fare before travelling. If wishing
to pay by credit card or to stop on route to use a cash machine, check with
the driver before setting off.
Be aware of the fare on the meter and make the driver aware if it is
approaching the limit of their financial resources.
Be aware that the driver is likely to be restricted by traffic regulations in
relation to where s/he can stop the vehicle.
Notice for PHV passengers – what you can expect from the PHV trade and what the
PHV trade can expect from you
The driver will:

Ensure that the passenger has pre-booked and agrees the fare before setting
off.
Drive with due care and courtesy towards the passenger and other road
users.
Take the most time-efficient route, bearing in mind likely traffic problems and
known diversions, and explain any diversion from the most direct route.
The passenger will:
Treat the vehicle and driver with respect and obey any notices (eg. in relation
to eating in the vehicle).
Ensure they have enough money to pay the fare before travelling. If wishing
to pay by credit card or to stop on route to use a cash machine, check with
the driver before setting off.
Be aware that the driver is likely to be restricted by traffic regulations in
relation to where s/he can stop the vehicle.
Annex C
TAXI AND PRIVATE HIRE VEHICLE LICENSING: BEST PRACTICE GUIDANCE
Assessing applicants for a taxi or PHV driver licence in accordance with C1
standard
Exceptional circumstances under which DVLA will consider granting licences for vehicles
over 3.5 tonnes or with more than 8 passenger seats.
Insulin treated diabetes is a legal bar to driving these vehicles. The exceptional
arrangements that were introduced in September 1998 were only in respect of drivers
who were employed to drive small lorries between 3.5 tonnes and 7.5 tonnes (category
C1). The arrangements mean that those with good diabetic control and who have no
significant complications can be treated as “exceptional cases” and may have their
application for a licence for category C1 considered. The criteria are
To have been taking insulin for at least 4 weeks;
Not to have suffered an episode of hypoglycaemia requiring the assistance of another
person whilst driving in the last 12 months;
To attend an examination by a hospital consultant specialising in the treatment of
diabetes at intervals of not more than 12 months and to provide a report from such a
consultant in support of the application which confirms a history of responsible diabetic
control with a minimal risk of incapacity due to hypoglycaemia;
To provide evidence of at least twice daily blood glucose monitoring at times when C1
vehicles are being driven (those that have not held C1 entitlement in the preceding 12
months may provide evidence of blood glucose monitoring while driving other
vehicles);
To have no other condition which would render the driver a danger when driving C1
vehicles; and
To sign an undertaking to comply with the directions of the doctor(s) treating the
diabetes and to report immediately to DVLA any significant change in condition.

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