Taxi fares could increase as proposals brought in for taxi industry to rebuild post pandemic

Author: Sasha WyliePublished 10th Sep 2021

More support measures could be brought in to help the taxi industry as they rebuild following the Covid pandemic, which would see an increase in fares.

The measures include wiping DVA fees for new taxi drives in 2021/22 and a taxi far review.

The Infrastructure Minister Nichola Mallon also announced her department is planning to wipe DVA fees for one taxi meter test required to implement a fare charge.

Proposals include:

• Wipe DVA fees for new taxi drivers in 2021/22.

• A taxi fare review with the consultation launching next week.

• Wipe DVA fees for one taxi meter test required to implement a fare change.

Making the announcement, the Minister said: “I continue to meet and listen carefully to the taxi industry and I am very well aware of the impact of Covid on their business.

"That is why I provided £16.7million of support to existing drivers from the two financial support schemes and regulatory support that I put in place last year.

"I welcome the fact that business has picked up considerably with the lifting of restrictions, however I recognise that there is currently a shortage of drivers and the sector has asked for my support in encouraging new drivers to join the industry.

“I am also announcing a targeted consultation on a taxi fares review which would address another concern of the industry around profitability and future viability, given that a fares review was last implemented in 2011.

In doing so, my Department will consult with the Consumer Council to understand their views and ensure that the interests of customers are fully considered. Should a taxi fares review be implemented following that consultation, I would intend to provide further support to the industry by waiving the fee for the necessary taxi meter test, so that the taxi industry can receive the full benefit of any change to taxi fares.

“I intend to follow all necessary processes to put these support measures in place, including public expenditure processes, ensuring that I have the necessary budget to make this happen and also proposing the required changes to regulations."