The Transport Committee has published the government’s response to its report on the licensing of taxis and private hire vehicles. The report was published in June, amid concern about fragmented regulation that varies from one area of the country to another.
The government had announced in November 2025 that it would legislate to introduce national minimum standards for taxis and private hire vehicles, while some in the sector had called for tougher absolute national standards.
In its report the Committee warned the government that its plan for national minimum standards for taxis must not mean “low by default” and the government has partially agreed with this recommendation.
“We recognise the Committee’s concern that standards set too low, or with excessive scope for local variation, could perpetuate the incentives for licence shopping and undermine confidence in the regulatory framework,” the response stated.
It added that core safety and safeguarding requirements will be set nationally, but there could be a role for “local flexibility in certain areas, allowing licensing authorities to respond to specific local circumstances and policy priorities”.
Elsewhere in the response, the government accepted some of the Committee’s recommendations including on comparison of licensing models and ‘fit and proper’ guidance and CCTV consultation, while other recommendations were rejected or only partially accepted.
The government plans to publish a draft bill on regulation of the taxi and PHV trade during the current Parliamentary session.
Transport Committee Chair Ruth Cadbury MP said:
“The Transport Committee looks forward to seeing the details of the government’s proposals to support the taxi and PHV sectors and the consumers who rely on it in everyday life.
“We particularly urge the government to pay heed to our conclusions about the problems large-scale out of area working can cause for local accountability and public confidence, and to come up with a plan to address these.”
(Picture: TfGM)
