Issue details

Sections 53 and 70 of the Local Government (Miscellaneous Provisions) Act 1976 (“the Act”) allow the Council to charge fees for the grant of licences in respect of hackney carriage and private hire drivers, vehicles and operators.

Taxi licensing fees are separated into 5 licence types, these are:

·         Hackney Carriage Vehicle

·         Private Hire Vehicle

·         Hackney Carriage Driver

·         Private Hire Driver

·         Private Hire Operator

The cost of issue and administration can be recovered for drivers’ licence fees. In respect of vehicle and operator licences the reasonable cost of inspecting and enforcement may be charged. Additionally, the reasonable costs of providing hackney carriage stands and any reasonable administrative or other costs in connection with the foregoing and with the control and supervision of hackney carriages and private hire vehicles can be included in the fees.

The Local Government Association guidance states Initial application costs can include: -

·         Administration

·         Initial Visit/s

·         Third Party Costs

·         Liaison with interested parties

·         Management Costs

·         Local democracy costs

·         On Costs (internal recharges)

·         Development, determination, and production of licensing policies

·         Web Material

·         Advice and Guidance

·         Setting and Reviewing Fees

In addition, further compliance and enforcement costs could include:

·         Additional Monitoring and inspection visits

·         Local democracy costs

·         Registers and national reporting

Within Kirklees the last detailed review of private hire and hackney carriage licence fees was carried out in 2015, with subsequent inflationary increases being implemented in 2016 and 2017.

In 2023, the service carried out a robust review of its private hire and hackney carriage fees to-

·         Ensure that the service receives sufficient resources to ensure continued service delivery.

·         Carry out its administrative and inspection activities and maintain its enforcement role.

·         Achieve cost recovery.

This detailed review resulted in proposals to increase the fees as outlined in appendix 1 to this Decision Notice.

In line with Legislation the proposed fees at appendix 1 were consulted upon. It should be noted there is no legal duty to consult upon changes to the private hire / hackney carriage drivers fees; however, given the level of increase the service thought it necessary and appropriate to consult upon those fees.

Following consultation, a total of 114 representations against the fees was received along with one petition.

The main themes of the representations received are –

·         The trade is already struggling due to downturn in customers,

·         Increased costs in petrol / diesel, and insurance

·         Increased costs because of the cost-of-living crisis

·         That there appears to be no rhyme reason as to why different fees have increased by different percentages

·         That the service had made a surplus in previous years and whether that has been factored into this review.

While the service is confident that the proposed fees have been calculated in line with legislation, case law and best practice, the strength of view from the trade and the issues raised need to be explored further.

Legislation dictates that, following consultation on proposed fees, a decision on whether to implement the proposals or maintain the current fee level must be taken within two months form the date of the end of the consultation period.

Given the issues raised, it is proposed that the current fee level be maintained pending further investigation relating to the representations.