TaxiPoint October 2021 Edition 30

The UK’s #1 Taxi News Source Over 1.5

Edition 30 | OCTOBER 2021

million magazine reads in the last year

TRADE REACTION TO NEW BILL | EVITO HEATHROW FEES | SURGING | TAXI POTENTIAL INSURANCE | CAR WASHES | WORLD NEWS

WWW.TAXI-POINT.CO.UK

OCTOBER 2021 - Edition 30

1

2

OCTOBER 2021 - Edition 30

EDITORIAL

BACK IN THE SEAT

FULL-TIME

TaxiPoint Chief Editor: Perry Richardson TaxiPoint Editor: Michael Murphy TaxiPoint Publishing & Advertising Manager: Lindsey Richardson Visit us online at: www.taxi-point.co.uk Write to us at:

Image credit: LEVC

What a month this has been. It’s been a rollercoaster of emotions and the return to normal work levels has been a godsend for many. I’ve returned to pre-pandemic hours in the cab like many others as we now try to claw back 18 months of lost earnings.

Despite the booming demand for taxis, the fuel crisis has thrown a spanner in the works for some. Fingers crossed this is resolved quickly, however despite reassurances it remains unknown how long some fuel pumps will keep running dry.

October will probably see more drivers return to the industry and it’s yet to be seen whether work levels are impacted by those that have lost final furlough benefits.

From a personal point of view returning to the cab on a regular basis has been a reminder of how much I do actually enjoy the job. Meeting a diverse cross section of the public on a daily basis who have also missed that human interaction has been a fantastic experience. However, like any job, it has had its challenges too. The readjustment to working life away from home and the move back to a more sedentary life style in the saddle have been the hardest changes I’ve found. That said, I certainly wouldn’t swap it!

contact@taxi-point.co.uk Advertising enquiries at: advertising@taxi-point.co.uk The publishers reserve the right to refuse, withdraw, amend or otherwise deal with all advertisements without explanation. All advertisers must comply with the British Code of Advertising practice.

The views expressed in this publication are not necessarily those of the publishers.

All written and image rights are reserved by the author as displayed.

Reproduction in whole or in part without prior permission from the publisher is strictly prohibited.

Copyright brand TaxiPoint 2021.

Creative Common image licenses displayed where applicable.

Fingers crossed the corner has now been turned and hope you enjoy this bumper edition of TaxiPoint. If you would like to leave any feedback please do get in touch.

Be lucky,

Perry Richardson TaxiPoint Founder and Chief-Editor

OCTOBER 2021 - Edition 30

3

4

OCTOBER 2021 - Edition 30

TAX CHECKS 2022

Image credit: HMRC

HMRC have released the first insight into new taxi and minicab TAX CHECKS arriving as part of the drivers’ licensing process.

As part of these new checks, cabbies will be asked to provide details on when they first received their licence and how long their most recent licence was valid for.

HMRC REVEALS NEW 2022 TAXI TAX CHECKS PROCESS AND WHAT QUESTIONS THEY WILL BE ASKING DRIVERS

Jamie Horton, HMRC Assistant Director, Hidden Economy, Customer Compliance Group, detailed the process taxi drivers and those working in the private hire sector must take from April 2022 during the Licensed Private Hire Car Association (LPHCA) Road Show.

The fresh measures come as HMRC looks to clamp down on lost revenue in the ‘hidden economy’. The new policy will also affect licensing bodies in England and Wales that administer licence applications.

From 4 April 2022 licensing bodies will be required to signpost first-time applicants to HMRC guidance about their potential tax obligations and gather confirmation that the applicant is aware of the guidance before considering the application.

OCTOBER 2021 - Edition 30

5

TAX CHECKS 2022 Where the application is not a first-time application, for example a renewed application, the licensing body must, before considering the application, obtain confirmation from HMRC that the applicant has completed a tax check.

critical that a) we make the industry aware that this is coming because we don’t want it to be a barrier to entry to the drivers, and b) the licensing authorities are up to speed on this.”

Wright finished by saying “we do not need another The driver must then digitally run through questions delay” pushed onto the drivers’ licensing process. on the subject of past and current employment and receive a ‘Tax Check Complete’ code to then forward to the licensing authority.

Within the tax check, taxi drivers who hold a taxi licence, but currently work elsewhere outside of being a cabbie, will be able to detail the other employment.

At the LPHCA Road Show there were however worries over how prepared the industry was for the changes. Concerned driver representatives were keen to warn the checks should not become a barrier to entry.

Steve Wright, LPHCA Chairman, said: “It’s absolutely

6

Steve Wright, LPHCA Chairman

OCTOBER 2021 - Edition 30

Charity

OCTOBER 2021 - Edition 30

May 2019 | www.taxi-point.co.uk | 20

7

TAX CHECKS 2022

NEW 2022 TAXI

TAX CHECKS: SHOULD DRIVERS HAVE ANYTHING TO FEAR? With the new tax check policy entering the industry in April 2022, we ask... does the sector have anything to fear?

The new licensing measure comes as HMRC seeks to clamp down on lost revenue in the ‘hidden economy’.

The hidden economy consists of individuals and businesses with sources of taxable income that are entirely hidden from HMRC. According to HMRC this deprives the Government of funding for vital public services. The hidden economy tax gap (the difference between the amount of tax that should, in theory, be paid, and what is actually paid) is estimated to be £2.6billion for 2018 to 2019.

Jason Short, Short and Son Accountants Director, said: “Taxi specialists Short and Son Accountants believe the taxi (and PHV) industry has been targeted due to a small number of drivers vastly under-declaring their income, or not completing a tax return at all. The policy notes this is targeting Taxi, Private Hire, and Scrap metal dealers. We can’t remember there being another instance where taxi drivers are pooled in the same group as scrap metal dealers!

8

Image credit: HMRC

“As I am sure many readers are aware, in the most extreme case there are drivers who have relocated to other countries but come back for part of the year just for cash to take back abroad. Obviously, this is designed to bring them back into the fold taxwise.

“Ironically, the rise of apps in the last 6 years has meant customers are far more likely to pay in-app or by card. This has made earnings far more transparent to the Government, and in our opinion, the 'hidden economy' in the taxi trade is probably at

OCTOBER 2021 - Edition 30

OCTOBER 2021 - Edition 30

9

TAX CHECKS 2022 its lowest point in history and continuing to dwindle Jason Short said: “If you are working as selfas expenses are on the rise.” employed and are filing your self-assessment you should have nothing to be concerned about.

Paul Reed FMAAT, Reed Accountants Director, also confirmed HMRC’s intentions, saying: “The new conditional tax check will be brought in to reduce the number of tax evaders and a strategy to tackle the hidden economy. They are committed to levelling the playing field for compliant businesses, so those who meet their tax obligations aren’t disadvantaged, or undercut by those who don’t.”

The impact to taxi drivers currently licensed and completing their self-assessment tax returns should be minimal, but drivers should, as always, be mindful of the tax obligations they are under.

10

“You should be aware though, that HMRC are always looking at people’s returns and it is up to you to demonstrate you are able to live on the amount of income you are declaring within your tax return.

Another red flag is unusually high costs compared to the amount of income, typically in London this used to be £10 fuel per £100 income, but in recent years has increased to £12-15 of fuel per £100 income.

Obviously, this varies depending on where you work, the vehicle, and the dead miles involved in finding a customer.

“As always, we recommend keeping all your receipts so you can prove your costs. We also recommend using a cloud drive to store them as they can fade or get lost over time.”

Paul Reed added: “HMRC has said it will take an

OCTOBER 2021 - Edition 30

TAX CHECKS 2022 online process that takes only a few minutes, therefore it should not impact many taxi drivers currently licensed and working unless they are the ones not declaring their income.”

So, should cabbies be fearful of the changes coming into effect next year in England and Wales? Overall no, unless of course you are currently not declaring your income, but there are still some unanswered questions.

Jason Short questioned how the tax checks would work for licensed taxi drivers currently not working as taxi drivers. Short said: “The big question is what happens to drivers who are renewing a licence but are working elsewhere? Drivers who are now working elsewhere might have an issue when renewing their licence if they have stopped being self-employed but wish to continue to hold a licence. This is especially pertinent in London where the Green Badge takes 4 or more years to complete at considerable cost to the driver.

OCTOBER 2021 - Edition 30

“Could Transport for London (TfL) refuse to renew the much sought green badge if you are not registered as self-employed? We will need to wait to see how the policy unfolds between these governing bodies and hope the solution is fair to the applicant.”

Paul Reed added: “This is certainly nothing to worry about if you are already completing your selfassessment, it’s a very simple process and HMRC has said there will be extra support and guidance for those who require it.”

11

AIRPORT FEES

HEATHROW CHARGE EXEMPTION FOR BLACK CABS WILL “FALL AWAY” REGARDLESS OF THE OUTCOME OF A TFL CONSULTATION SAYS AIRPORT OFFICIAL Heathrow Airport will bring in a £5 drop-off fee on 1st November ‘regardless of the outcome’ of a consultation being run by regulators Transport for London (TfL) on the topic, says Heathrow Airport spokesperson.

A spokesperson speaking at the LPHCA Road Show event said: “It’s worth highlighting the reasons we are exempting the black taxi trade for that short period of time is very much to allow Transport for London to put in place their consultation in terms of The airport recently pushed back on plans to charge changing the taxi meter.

London taxi drivers a £5 fee for dropping off “As an airport we have not got that ability or control passengers at its terminal forecourts. A £5 charge over it, and there is a regulatory process that per visit will apply to all other vehicles, but licensed Transport for London have to go through and the taxis will be exempt until April 2022. earliest that could play out is 1 April. So regardless of the outcome of the consultation the exemption The ‘Terminal Drop Off Charge’ will apply to all for black taxis will fall away on 1 April.” vehicles entering the forecourts of Heathrow’s terminals, although licensed taxis have joined an exception list that includes blue badge holders, emergency vehicles, operational vehicles, coaches, colleague buses and motorcycles.

London regulators TfL are now set to conduct a public consultation, the results of which could see a change to the black cab meter tariff as the passenger could have to pay the £5 fee rather than the taxi driver.

Regardless of the outcome of the consultation Heathrow Airport plan to push the charge on to the fully wheelchair accessible black cab industry.

12

There were also concerns put to the Heathrow official over possible ongoing price hikes to the new fee. The new charge was introduced to cover some of the losses experienced by the airport due to the effects of the coronavirus pandemic.

The Heathrow official could not guarantee there would not be any future price rises, saying: “What I can’t do and what I’m not going to do is be able to give you a guarantee that the £5 is going to stay forever, but what I can do is say the last thing we want to do is increase it in such a way that it deters passengers.”

OCTOBER 2021 - Edition 30

OCTOBER 2021 - Edition 30

13

NEW TAXI BILL

The new Taxis and Private Hire Vehicles (Safeguarding and Road Safety) Bill has now entered the ‘Committee Stage’ after a successful second Parliamentary reading on 10 September.

The new Bill proposes that all taxi and private hire vehicle licensing authorities in England share information of recent adverse licensing history. These include refusals, suspensions or revocations of a licence.

It is hoped that forming nationwide data will mitigate the risk that unsuitable people are granted or hold a taxi or private hire vehicle (PHV) driver licence.

The Committee Stage is where detailed examination of the Bill takes place. It usually starts within a couple of weeks of a Bill's second reading, although this is not guaranteed.

Government Bills are usually formally timetabled after they have received a second reading.

14

Peter Gibson MP

OCTOBER 2021 - Edition 30

NEW TAXI BILL According to Parliamentary Explanatory Notes, the Bill will set two main provisions. The first will require licensing authorities in England to input into a central database instances where the authority has suspended, revoked, refused to grant or refused to renew a taxi or PHV driver’s licence because of certain safeguarding or road safety concerns relating to that driver.

Other licensing authorities in England must then have regard to that information when considering whether to grant or renew a taxi or PHV driver’s licence.

The second set of provisions in the Bill requires licensing authorities in England to report certain serious safeguarding or road safety concerns about a taxi or PHV driver working in its area to the licensing authority in England, Wales or Scotland that granted a licence to that driver. The Bill then requires licensing authorities in England to take notice of any such reports received and consider whether the relevant taxi or PHV driver should remain licensed.

The MP presenting the new Bill, Darlington’s Peter Gibson, said the Bill was needed to keep up pace with ‘rapid innovation’ and to manage the ‘evolution’ in public transport. From the few details released, the focus will be placed on safeguarding rather than vital legislation around cross-border hiring and clearer definitions on plying-for-hire.

THE RESPONSE Overall the response has been positive within the taxi trade, however there is a feeling that the Bill could have gone further in tackling important longstanding issues within the sector.

Steve McNamara, General Secretary of the Licensed Taxi Drivers’ Association (LTDA), said in TAXI Newspaper: “This Bill would help to ensure that only those fit to hold a licence would be entrusted to carry the public by requiring all licensing authorities in England to record instances where they have refused to grant or renew a driver’s licence or have suspended or revoked a licence, because of safeguarding or road safety concerns, into a database. When processing applications, licensing authorities would also be required to search the database for any entries relating to applicants, request the relevant information and subsequently take this into account when deciding whether to grant a licence.

“This isn’t a perfect system but it’s better than what we have now where everything is voluntary.”

During the second reading of the Bill MPs were disappointed that the requirements to access and input into a national database weren’t extended to the devolved nations outside of England. Peter Gibson MP assured those in the room that devolved nations could access the database, but only on a voluntary basis.

The second huge issue that is not covered at all in the Bill is cross-border hiring. Touching on the issue, McNamara said: “What this won’t solve is crossborder hiring, which continues to allow drivers to shop around for a licensing authority with weak licensing conditions, get a licence and then work in London or wherever else they choose with impunity.

Steve McNamara, LTDA General Secretary

OCTOBER 2021 - Edition 30

“The only way to address this properly is through legally enforceable national minimum standards, which the Government continues to avoid legislating for. They say they plan to, but as always, the question is when?”

15

TAXI WORK LEVELS SOAR

Image credit: LEVC

Taxi drivers are experiencing a work-level BOOM as restrictions lift and workers return to the workplace once again.

At the height of the pandemic numerous taxi drivers were forced to turn to different jobs and employment to tide them over. Work levels have now spiked since school holidays have ended and employees begin to head back to the capital’s offices.

According to London’s biggest taxi fleet rental, Colts Cabs, the firm reported card payment transactions hitting its highest figure since the COVID pandemic forced restrictions in March 2020. More than 40,000 transactions were recorded on Thursday 9 September. In comparison, a daily number of card transactions in June 2020 fell below 3,000 payments.

A spokesperson from Colts Cab added: “Thank you for the belief in the trade to the drivers who have toughed it out daily so to get this far down the line.

Here’s hoping for a winter free lockdown.”

The data supplied by Colts Cabs focuses on one of the four debit card transaction firms within the taxi

16

OCTOBER 2021 - Edition 30

TAXI WORK LEVELS SOAR industry. The data does not take into account work levels on the three other card payment providers, taxi apps, handheld payment units, radio circuits and cash work, but does provide an insight into work-level trends.

Taxi payment solutions provider Cabvision also backed up the surge in demand and work levels directed at the black cab industry. A spokesperson said: “In further positive news, we've just completed our best consecutive 7 days since February 2020.”

FREE NOW have introduced a reward scheme to entice taxi drivers to cover more work on their platform too. However, with street work busy the option of paying no app fees and running no deadmiles to the pick-up destination could mean operators may continue to struggle for driver coverage.

More drivers are expected to return to the industry in the coming months, but a shortage of vehicles in some regions may hamper the industry’s recovery in terms of returning to pre-pandemic fleet numbers.

The spokesperson added: “In the past two weeks, some days are exceeding Pre pandemic levels.

“But as we know, more is being taken on cards, therefore, we cannot assume that drivers earnings have done the same.”

Taxi booking apps have also seen a surge in demand.

Gett recorded over 17,000 uncovered jobs in one week as taxi drivers struggled to cover demand across the capital, but most notably in the Kensington and Chelsea area.

OCTOBER 2021 - Edition 30

17

FEATURE

SURGING YES SURGE, NO SURGE? Surge pricing within the ridehailing industry has always been a hot topic, but never more so than it is currently.

With work slowly increasing and driver numbers suspected of being lower than pre-pandemic levels, users of apps such as Uber and Bolt have seen an upturn in surge-priced journeys.

A number of industry representatives have given their take on the argument over whether surge pricing is a good or bad thing for the trade and why it actually exists.

Ride-hailing app, and the firm that introduced surge pricing, Uber, has explained the concept behind the pricing method. A spokesperson for the company told TaxiPoint: “The Uber app uses dynamic pricing to respond to the levels of supply and demand at any one time.

18

and there aren’t enough available cars, fares automatically rise to encourage more drivers to go to the busy area and earn a higher fare.

“Users will always see a fare estimate in advance so they have the choice to book a car or share the trip with others. We are encouraging 20,000 new drivers to sign up in order to meet rider demand as cities get moving again.

“We are confident that we will grow our driver base as Uber is the only operator to provide all drivers with a guaranteed wage, holiday pay and a pension.

Drivers work with multiple operators and deserve the same standard of work on every trip, which currently they do not get with other apps such as Bolt."

Bolt, who also use surge pricing as a fare calculation method, told TaxiPoint: “There’s been record “When a large demand for journeys since number of coronavirus restrictions were people in a specific area are lifted. Drivers are free to choose booking a trip at when they work and what trips they take. the same time

OCTOBER 2021 - Edition 30

FEATURE “Surge is a way to encourage them to go online which helps to keep waiting times low. We’re keen to provide a great service to both sides - our surge is capped at a lower level than our competitors whilst we offer great commission rates (as low as 10% for EVs) to encourage more drivers to sign up. We’re seeing this offer be welcomed - especially by the 3.5m passengers now registered - as we continue our expansion across the country.”

But are these reasons appreciated and accepted by those who use the apps to book trips? A number of social media posts would suggest not. Many disgruntled passengers have recently vented their anger and disappointment at such inflated fares.

In some cases fare quotes have reached up to 4 times their usual price, resulting in potential passengers turning to alternative companies or modes of transport.

on surge pricing and the negative impact of such a controversial pricing method.

McNamara said: “It’s called market forces, unrealistic predatory pricing has resulted in 4/5 apps competing for the same drivers who now shop around for the best prices, going to the highest bidder.

“Most of their customers only used them because they were cheap. They are still getting the same ‘convenience’ and ‘service’, but many are now screaming because they have to pay a realistic going rate.”

Steve Garelick, GMB Union’s Regional Organiser, told TaxiPoint: “Ultimately I want to see rates increase to give more parity to both private hire and taxi drivers.

Private hire rates have been reduced over the years and the cost of living for both sides of the trade are not helping because hackney have been scared to increase.

“The consumer is put first rather than the driver. This Steve McNamara, the General Secretary of the Licensed model cannot continue forever.”

Taxi Drivers’ Association (LTDA), has also aired his views

OCTOBER 2021 - Edition 30

19

FUEL CRISIS

The panic-buying of petrol and diesel has sparked abuse towards cab firms unable to provide cars and prompted the taxi industry to be part of emergency plans should the issue continue.

A spokesperson from A1 Sheffield Taxis said: “We would just like to inform our customers that our services are currently being affected by the "Fuel situation" we currently find ourselves in.

Panic-buying at fuel stations has prompted some of the biggest operators to ration fuel. Large queues have formed at forecourts after BP originally shut 20 fuel stations and limited supplies at up to 100 more.

20

“Our drivers are having to come off the road, being prevented from coming to work due to not being able to get the fuel they need or driving round multiple stations to fill up, due to people unnecessary panic buying fuel Despite reassurances from the from stations.

Government, forecourt pumps “We will continue to service across the UK have continued our community as much as we to run dry as the public panic- can but please bear with us.” buys fuel.

A spokesperson from Fareway Taxi firms across the UK were Taxis in Chelmsford said: “Can forced to ask customers for we just let all customers know, their patience, with some we are in the same position as cabbies forced off the road due everyone else with regards to to not being able to fill up on the fuel situation, we are doing fuel. One operator even our upmost to accommodate reported incidents of abuse everyone for their journeys, due to an inability to supply a and our drivers are doing their taxi on demand. very best to get fuel where they can and if they can.

OCTOBER 2021 - Edition 30

FUEL CRISIS “Unfortunately there has been a few incidents where staff have been abused for not being able to supply a taxi, this will not be tolerated, your numbers will be blocked and you won’t be able to use us again.

crisis".

Steve McNamara, the General Secretary of the Licensed Taxi Drivers’ Association (LTDA), has repeatedly called for taxi drivers to be added to an emergency workers list to access dwindling fuel stocks.

Diesel and petrol shortages in and around the capital has meant as much as 25 to 30 per cent of LTDA members were unable to work on some given days.

we are working closely with the government to help ensure fuel is available to be delivered to stations across the country.

McNamara went on to add that "a taxi driver without fuel is unemployed".

The Mayor of London, licensed taxi representatives and private hire leaders have all lobbied the Government “Please can we ask you treat to ensure the sector is all staff as you would wish to included on any emergency be treated. Have a lovely day fuel register should the fuel all.” crisis worsen.

The panic-buying of petrol However, in a joint statement and diesel across the UK also on behalf of the fuel industry prompted London’s black cab issued by the Department for industry to request taxis Business, Energy and remain on the emergency Industrial Strategy (BEIS), it fuel supply register in the said: “There is plenty of fuel capital should the situation at UK refineries and escalate further. terminals, and as an industry

“As many cars are now holding more fuel than usual, we expect that demand will return to its normal levels in the coming days, easing pressures on fuel station forecourts.

“We would encourage everyone to buy fuel as they The trade leader spoke to usually would. We remain BBC Radio 4's Today enormously grateful to all programme calling for the forecourt staff and HGV Government to bring in drivers working tirelessly to designated emergency maintain supplies during this forecourts for critical workers time.” to "take the sting out of the

OCTOBER 2021 - Edition 30

21

GUEST FEATURE

Image credit: LEVC

Image credit: LEVC

22

•

More and more people will work either fully remotely or in a hybrid way – working full-time in offices is now a thing of the past.

•

We need to better protect the most vulnerable in society.

Global pandemics now stand alongside climate change as the biggest existential threats to mankind, and both are As we slowly and cautiously move out of beginning to crystallise. The past two the COVID-19 pandemic, the ‘new normal’ years have highlighted how damaging they can be and how ill-prepared we are feels as if it’s beginning to emerge from as a global community in preventing the gloom: further risks from developing.

• Basic infection control (masks, I believe the two risks are not mutually cleaning regimes and regular exclusive. In fact, I think if you can testing) is here to stay.

OCTOBER 2021 - Edition 30

GUEST FEATURE stabilise one, the other will also stabilise too.

Human transportation and mobility are the single biggest risk factor in the spread of COVID-19 infection. If we did not live in a globalised world with millions of transcontinental flights, packed train journeys and car/bus rides, COVID-19 would have been a localised mutated infection affecting thousands, if not hundreds of people in the Wuhan locale in China. Similarly, the Spanish Flu of 1918-1920 would not have ravaged western Europe, if it were not for the mass movement of people at the end of WW1.

Taxis are the single most flexible and costeffective vehicle in the world, and they have been desperately underused to date.

Image credit: LEVC

The burning of fossil fuels to power transportation across the globe is one of, if not, the single biggest risk factor contributing to global warming and the climate crisis. We can see the impact transportation has by the substantial reduction in pollution due to national COVID-19 lockdowns across the globe. China – the world’s largest polluter – saw a 25% reduction in CO2 in 2020 because of travel bans and factory shutdowns but this has now returned to pre-pandemic levels.

Taxis have been around since 1654 – well before the concept of a combustible enginepowered automobile was invented. Individual drivers have never been subsidised by national or local governments (save for some COVID-19 relief in certain countries) unlike all other public transport modes, and drivers are predominantly self-employed with full autonomy on how they work and use their vehicle. Yet despite the innate usefulness of If we can create safer global transport modes, taxis since their inception - and that they prewhilst at the same time reducing the date other public transport modes - for some emissions they produce, we can begin to inexplicable reason they are too often not stabilise two of the biggest risks we face: considered part of the public transport global warming and global pandemics. Clearly, network by governments or authorities. This global adoption is not going to happen is despite the fact vehicles carry public hire straight away. What is required is a localised insurance, and local taxis are used as an trial in one country, capturing vital data and emergency back-up fleet of vehicles to demonstrating a model which shows others perform emergency transport duties, such as: how transit modes can be safe to use for all, • Mass transit of train and bus passengers whilst also reducing the usage, and sheer when there are service issues. number of, polluting vehicles on our roads.

What would this model look like?

We think it can be boiled down to one global vehicle…

Taxis (yes, you heard me correctly).

OCTOBER 2021 - Edition 30

•

Moving people in and out of hospital.

•

Taking children to and from school.

•

Emergency evacuation after major incidents.

Recently, technological advances via major start-ups have enabled users to access taxi-

23

GUEST FEATURE like vehicles in a simpler way - negating the need to physically hail a traditional taxi on the street or at a rank. These companies have used clever marketing to re-purpose the concept and brand of ‘Taxi’, in one case creating the replacement noun of the company itself ‘Uber’, sometimes even creating a verb - to ‘Uber’. Yet, the fundamentals of the industry remain the same: the vehicles are essentially acting like Taxis. They may be licensed privatehire vehicles, but they fulfil an identical purpose for the user. They are a highly flexible vehicle which can be pre-booked or ondemand and will take the user anywhere they want to go as long as it’s passable by road.

Even so, despite billions in revenues, the global technological companies behind the apps have struggled to find a route to profitability, have been embroiled in myriad court cases across the globe and operate an often-questionable approach to driver/user welfare. Meanwhile, a flexible resource of vehicles for hire in towns and cities, which are regularly called upon when all other transport modes fail, and which are usually owned by the individual driver, has been a concern since Oliver Cromwell was Lord Protector of Great Britain.

I am passionate about the potential of taxis to improve our towns and cities and I think the approx. 80k taxi vehicles in the UK should be far better utilised by local and regional authorities. They are the most flexible form of public transport and can effectively enable modern public transport systems (alongside active modes of transport e.g., scooters and bikes) to provide a meaningful alternative to private vehicle ownership. Uber’s value to investors was its belief it could replace private vehicle ownership and public transport in big cities and in backing this claim estimated a total global addressable market of $5.7 Trillion (yes, trillion…). In London, in combination with transport public policies designed to restrict

24

vehicle travel (LTNs, Congestion and Low Emission Zones), the majority of 25 – 35-yearolds do not own a vehicle. Access to taxis and taxi-like vehicles via apps have enabled people to live and work without owning a car.

However, the vehicles provided by ride-hailing apps are only used for taxi rides. Drivers may not have the necessary training or skills to safely deal with: •

Getting children to and from school on behalf of local authorities.

•

Getting people to and from hospitals on behalf of the NHS.

•

Transporting disabled people who need specific assistance.

This has meant the vehicles used by apps have proliferated alongside traditional taxis and public transport without replacing them, thereby substantially increasing the number of vehicles on the road and thus pollution.

I believe if taxis can be connected to the maximum amount of potential use cases, they will naturally replace the traditional vehicles which are less efficient at performing those types of journeys and/or where there are question-marks regarding adequate training and insurance. For example: •

Subsidised bus routes with little to no passengers.

•

Non-emergency patient transport performed by ambulances.

•

Non-emergency patient transport performed by volunteer drivers.

•

Home to school transport performed by private vehicles.

•

Last mile deliveries to homes (e.g., food, parcel, and e-commerce).

•

Community transport for Adult Care Services performed by council owned vehicles.

OCTOBER 2021 - Edition 30

GUEST FEATURE A localised, flexible fleet of carbon-neutral wheelchair accessible taxis, if connected to the above services and consumers in a technologically simple way, can substantially reduce other vehicle types from the road. And best of all, the taxis are already in existence.

•

convert the country’s taxis to fully electric wheelchair accessible vehicles.

•

reduce mass private vehicle ownership.

Furthermore, safe, green, and accessible taxi fleets will provide a critical mass of local vehicles to be used as and when required by The simple financial incentive of accessing users at fair prices (after all, the less these new types of booking types for local taxi congested the streets are, the lower the drivers will quickly upgrade local taxi fleets to metered fare is). This will reduce costs for green and accessible vehicles, as this is everyone who uses the service i.e., who precisely what is required to meet the new previously invested in a depreciative private demand. vehicle asset and the spiralling public sector Sustainable, fully accessible, localised fleets transport costs within the NHS and regional/ will also need sufficient training to mitigate local authorities. the new risks and to ensure the multitude of Less vehicles but maximum usage. users are safe.

I see this is a carrot approach to transport policy instead of a stick which creates driver buy-in and bridges the gap between policymakers and policytakers.

Mobility Exchange have therefore created the first ever safety accreditation for the taxi industry in the world, benchmarked to the high standards required in the ambulance industry – we call it Hummingbird. Named after the first electric taxi to drive the streets of London at the end of the 19th Century, Hummingbird includes several training modules to ensure these new taxi fleets are as safe as possible for all the possible use cases.

A fully flexible fleet of well trained, green, and accessible taxis in every local area might just be the model which can be adopted throughout the world to markedly reduce global infection transmission and pollution levels. The UK founded the concept of a taxi way back in the 17th Century and has been at the forefront of the industry’s development ever since. Now’s the time we finally unlock the taxi’s potential, not just for us here in the UK but for everyone.

Across the country, Hummingbird accredited taxis, which are safely incorporated onto local Joe Mealing is a Founding Partner of public transport networks, and connected to Mobility Exchange LLP and is the CEO the maximum number of use cases, can: •

reduce infections arising from global pandemics.

OCTOBER 2021 - Edition 30

of WAEV – a new marketplace for users to access accredited taxis at fair prices.

25

TAXI VEHICLE

Image credit: Mercedes–Benz Vans

200+ MILE RANGE HOW IS IT PERFORMING IN THE TAXI TRADE? The eagerly awaited all-electric Mercedes-Benz eVito Tourer arrived on the market last summer, at a price which raised eyebrows across the UK taxi industry at the time.

Since its market launch how has the eVito Tourer faired in the taxi industry and is it the future heir to the throne of its older Mercedes-Benz Vito model?

Phoenix Taxis were one of the first licensed taxi firms to put the new eVito Tourer into action.

Michael Carling, Managing Director of Phoenix Taxis, was impressed with the range. He said: “There’s always a concern about range with electric vehicles and at first we weren’t certain if it was going to be viable… but the van has a good enough range that we haven’t had to make any significant changes to our day-to-day operation.”

With its combined WLTP range of 217-221 miles and ability to rapid charge up to 80% in just 40 minutes, on paper the eVito Tourer should safely meet the Michael was also impressed with the rapid charging demands of most taxi drivers. Northumberland based capabilities. “We charge ours on site between

26

OCTOBER 2021 - Edition 30

TAXI VEHICLE journeys,” Michael says, “so we don’t have to pay anyone externally… but in and around Northumberland the Council have done a very good job of providing the infrastructure to make electric vehicles work.”

bought electric vehicles off the back of getting in a Phoenix Taxi.”

Customers have also fed back to the firm’s Managing Director to note the quieter journeys in the fully electric 8-seater, and praise the ability to now offset From their beginnings in 1990, Phoenix Taxis have their carbon footprints by choosing an electric option. supported their local community with their service. In “We’ve been at the forefront of using electric cars as 2012, Phoenix put the UK’s first ever electric taxi on taxis since they were first available,” says Michael. the roads and have since been at the forefront of “The Tourer is the first fully electric vehicle that’s electric vehicle technology entering the taxi sector. been a realistic option to use as a taxi – and as soon as we knew it was available, we wanted to be the first Phoenix Taxis are highly renowned in the Northeast to get it on the road… it works for us.” and beyond for their 80-strong fleet of electric and hybrid taxis, which make them one of the most Based on the eVito Tourer L2 PRO model prices start environmentally focused taxi firms in Europe. at £51,950. The price is competitive, but for licensing authorities that require enhanced turning circle Michael is optimistic about this enthusiasm for capabilities and wheelchair access, the price to electric catching on: “If we can make electric vans work as a taxi company, where we need to have our convert is expected to be too high. However, for those cabbies less restricted this is definitely one to vehicles on the road 24 hours a day and 365 days a look at. year – then anyone can make it work… I’d be convinced that at least a few of our customers have

Watch Michael Carling explain how he’s found the new eVito taxi...

OCTOBER 2021 - Edition 30

27

ELECTRIC TAXIS

Image credit: LEVC

According to data released by the Parliamentary Under Secretary (Department for Transport), Rachel Maclean, since the introduction of the Plug -in Taxi Grant (PiTG) in 2018 and up until March 2021, a total of 4,411 vehicles have received ‘approved’ funding from the scheme.

The Plug-in Taxi Grant was introduced with the aim to support the new market for ULEV purpose range of 70 miles or more and emissions of less than 50g CO2/km.

-built taxis.

Category 2 PiTG (up to £3,000) – a zero emission The PiTG scheme offers a discount on the price of eligible taxis of up to a maximum of £7,500 or £3,000 range of 10-69 miles and emissions of less than 50gCO2/km.

– depending on the vehicle’s range, emissions and design. It is available to all taxi drivers and businesses buying or leasing a new purpose-built taxi at the point of purchase from the dealership or manufacturer.

Under the scheme, eligible taxis are allocated into one of two categories based on their carbon emissions and zero-emission range: Category 1 PiTG (up to £7,500) – a zero emission

28

In data also released by Rachel Maclean it showed that almost 5,000 PiTG taxi orders had been lodged since January 2018. Maclean noted that orders are allowed 9 or 12 months to complete – the point at which the vehicle is registered and delivered to the customer and the grant subsequently paid. For this reason the number of approved vehicles placed in the November to March 2021 period is likely to increase.

OCTOBER 2021 - Edition 30

OCTOBER 2021 - Edition 30

29

UK TAXI NEWS

In what could be a major setback for private hire firms nationwide, an Employment Tribunal has ruled that private hire drivers at Northampton based Bounds Taxis are workers.

In a case brought by Shafqat Shah and Samuel Adjei and backed by the App Drivers & Couriers Union (ADCU), the Employment Tribunal has confirmed that Bounds Taxis must respect the right of drivers to earn at least the minimum wage, holiday pay and be protected from discrimination. Employment Judge Postle ruled that Bounds drivers are ‘workers without doubt’.

A spokesperson for the ADCU said that Bounds has for years operated a business model which insists that drivers are self-employed yet “drivers were

30

subject to intense micro management and a harsh disciplinary process”.

The Union says drivers were required to wear a Bounds uniform under threat of suspension if they did not do so, and were penalised if they missed or refused a job dispatched by the firm’s app.

Commenting on this regime of misclassification the Judge noted in his ruling: “It is clear from the factual basis that each driver had no choice, that was imposed upon them by the Respondents no doubt to avoid any potential employer-employee obligations.”

According to the Union, Bounds required their driver workforce to pay the company £9,000 in ‘rent’ with no guarantees about how much work, if any, they might receive. The Judge found that ‘rent’ was

OCTOBER 2021 - Edition 30

UK TAXI NEWS collected weekly and if drivers were late with payment they were ‘fined’ £10 per day by management.

In a withering assessment of the evidence presented at the Employment Tribunal by Bounds the Judge remarked in his ruling: “Their evidence was largely unhelpful, disingenuous and evasive on occasions.”

250,000 people nation-wide. The ADCU will not hesitate to protect our members wherever they may be and there will be plenty more similar cases to come. If the government will not enforce the law to protect the most vulnerable workers in this trade, then we will.”

Shaqat Shah, Chair of ADCU Northampton and claimant in the case, said: “I am so pleased and relieved that Bounds drivers are now finally recognized as the workers we always were. The era of brutal exploitation in the local minicab trade must come to an end but Northampton City Council, who both license Bounds and use its services, must no longer turn a blind eye to the abuse that has gone on for too long.”

Yaseen Aslam, President of ADCU, said: “This case once again proves that the problem of worker abuse in the private hire sector is widespread and deeply rooted in an industry that employs more than

OCTOBER 2021 - Edition 30

31

UK TAXI NEWS

CAUTION!

Car owners, taxi drivers and members of the public • A suspiciously low cost: anything under £9 for a should be cautious of hand car washing firms charging small car exterior wash is unlikely to be viable if under £9 for an exterior clean and requesting cash workers are receiving the national living wage. only, says organisation founded to promote • A request for cash only and a refusal to accept compliance and raise standards in the car wash other methods of payment. industry.

• A lack of protective clothing and equipment: for BBC flagship programme, Crimewatch Live, recently example, operatives should be equipped with featured the Responsible Car Wash Scheme (RCWS) in gloves and waterproof shoes. a report on labour exploitation in hand car washes.

The programme outlined how members of the public Teresa Sayers, Managing Director, RCWS, says: “Potential indicators of worker exploitation include can spot signs of abuse and malpractice and help in low cost of a wash, cash-only payment options and a the fight against them. lack of protective equipment and clothing being used Spokespeople from the Gangmasters and Labour by workers. We ask car owners and drivers to choose Abuse Authority (GLAA) and The Clewer Initiative also responsible car washes that offer a fair wash. That appeared to explain the issues with some hand car means looking after their workers, protecting the washes. These include non-payment of the national environment, caring for their customers and trading living wage, health and safety breaches and, in some legally. Operators that meet our RCWS standard will cases, modern slavery. They also detailed their display the RCWS logo.”-employment-status initiatives to ensure that hand car washes are lawabiding, responsible businesses.

Taxi drivers, professional drivers and members of the public using a car hand wash should be alert for the following:

32

OCTOBER 2021 - Edition 30

UK TAXI NEWS

LESS THAN HALF OF TAXI LICENSING AUTHORITIES SUBMIT DATA TO NEW REFUSED AND REVOKED DATABASE Less than half of licensing authorities in England are submitting data to the National Register of Taxi and Private Hire Licence Revocations and Refusals scheme according to government data.

The National Register of Taxi Licence Refusals and Revocations, which is also known as NR3, allows councils to record details of hackney carriage or private hire vehicle (PHV) licences that have been refused or revoked. Crucially it also allows local authorities to check new applicants against the register.

Transport Minister Rachel Maclean responded: “As at 31 March 2021 48% of authorities submitted data to the National Register of Taxi and Private Hire Licence Revocations and Refusals scheme (NR3), and 50% used NR3 when making licensing decisions.”

The data held on NR3 helps licensing authorities fulfil their statutory duty to be satisfied that a person is a fit and proper person to hold a licence.

However according to sources, only half of licensing authorities were currently using the NR3 database when making licensing decisions at the end of March 2021.

Richard Holden, Conservative MP for North West Durham, asked the Secretary State of Transport which local authorities are members of the National Register of Taxi and Private Hire Licence Revocations and Refusals scheme (NR3).

OCTOBER 2021 - Edition 30

33

UK TAXI NEWS

Image credit: Addison Lee

Taxis in Scotland will be used to transport patients in non-threatening conditions to hospitals in a bid to ease NHS Scotland’s ambulance crisis it has been announced.

As part of a new £20m emergency plan announced by the Scottish Health Secretary, 225 members of the Armed Forces will also be used to assist the struggling Scottish Ambulance Service.

According to sources, Nicola Sturgeon, Scotland’s First Minister, acknowledged the challenges ahead, saying: “I believe that this winter will be the hardest that the NHS has faced in the memory of any of us.”

Private transport provider Addison Lee has announced its plan for a rapid transition to electric vehicles, to be completed by 2023.

The London operator has chosen the Volkswagen ID.4, recently awarded 2021 World Car of the Year, to begin its transition to a fully electric fleet.

Over the next two years, Addison Lee will invest £160 million to shift its 4,000 strong fleet to electric. The initial roll out will begin in November 2021, adding 200 fully electric vehicles into the fleet every month from this point onward. The commitment also marks the largest single order of electric vehicles in the private hire industry.-

34

OCTOBER 2021 - Edition 30

INSURANCE ARTICLE BY:

THE FACTS When you’re self-employed or a contractor, you get the sweet perk of being your own boss, but you wave goodbye to traditional employee benefits like company sick pay.

Getting income protection is one step you could take to provide a financial safety net if you’re unable to work because of illness or injury. Here Aviva, the UK’s leading insurer, runs through everything you need to know about income protection if you’re selfemployed.

What is income protection insurance?

Income protection insurance is a helping hand that gives you money each month if you’re ill or injured and can’t work. It’s meant to replace some of your lost earnings, helping you pay the bills and carry on living life as normally as possible. So, you’re

OCTOBER 2021 - Edition 30

able to focus on getting better and back to earning a living.

And it’s not just about the money. If you need to claim, you’ll also get support to help you get working again as quickly and effectively as possible.

Do you need income protection insurance if you’re selfemployed?

When considering if income protection insurance is right for you, there are a few questions to ask yourself.

If you get ill or are injured and can’t work, will you still be able to look after yourself and your loved ones financially? If you stop receiving any income, is there anything else that could help you get by, like savings.

35

INSURANCE Think about how you would pay everyday bills such as your mortgage or rent, utilities, food, and other general living costs.

As well as continuing to support loved ones, you also may have to think about other things, like how to keep your business afloat.

How income protection insurance works when you’re self-employed

How much income protection do you need when you’re selfemployed?

When you’re self-employed, you may not earn the same consistent amount each month, as you do with a fixed salary.

So, when considering how much income protection you would need, look at what you spend each month.

Write a list of essential expenses that would continue Income protection insurance gives you regular money if you couldn’t work, such as mortgage or rent, utility bills, food, and childcare. each month if you can’t work because of illness or injury. Depending on the policy you choose, and if Remember, income protection isn’t designed to cover your claim’s successful, you’ll receive payments until all your lost earnings or all your monthly outgoings, you’re either fit to return to work, for a set amount of just some of them. time, the end of the policy term, or you retire.

With most income protection insurance, you can make as many claims as you like while the policy lasts.

When you first take out the policy you can normally choose how much money you’ll receive if you need to make a claim, how long your policy lasts for and how long the deferred period is. However, depending on the specific income protection policy you decide on, there may be certain limits or restrictions to this.

Deferred periods explained A deferred period is how long you need to wait until you get your first payment after making a successful claim. This can be anything from four to 104 weeks.

You’re normally able to choose how long this deferred period is when you first take out the policy. Though the specific income protection policy you choose may have some limits or restrictions.

When deciding how long your deferred period is, ask yourself how long you could wait for your first payout before money got tight.

36

OCTOBER 2021 - Edition 30

INSURANCE The costs of income protection The amount you pay in premiums each month depends on your particular circumstances.

Some things that can change the amount you pay, include: Your job – The riskier your job, the higher your premium will be. For example, if you work on a building site, you’re more likely to have an accident while working than an office worker is.

Your age – The older you are when you take out a policy, the higher your premium will be because you’re more likely to suffer an injury or become ill.

Your health – If you have any pre-existing conditions, depending on how severe they are, this might cause increased premiums, or the condition could be excluded from your cover.

How much income protection benefit you’ll receive – the more you’ll receive the more you’ll have to pay each month in premiums.

How long your deferred period is – The longer your deferred period is, which means the longer you go before receiving your first payout, the lower your premium could be.

When you want your policy to end – you may want your policy to run until your planned retirement age or until a long-term financial commitment, like your mortgage, ends. The longer your policy lasts, the higher your premiums could be.

Things to be aware of

all of our income protection policies give you. We won’t offer you anything less.

There are other definitions that give less cover, but they might come with extra conditions, such as having to return to work in a different but suitable role based on your skills, qualifications, and experience. Or they may only cover you if you’re unable to do certain daily activities, such as climb the stairs without help.

Remember, income protection insurance supports you financially if you’re unable to work because of injury or illness. It doesn’t pay out as a result of you being made unemployed.

Income protection insurance pays out if you’re unable to work because of illness or injury. But who decides Policies have no cash-in value, and if you stop paying your premiums, your cover stops, and you get nothing if you’re able to work or not? back.

Every insurer or policy has a definition of what Visit Aviva for more 'incapacity’ is. Those offering ‘own occupation’ will pay out if you can’t do the type of job you have at information on all types of the point of making a claim. Own occupation is what insurance:

https://www.aviva.co.uk

OCTOBER 2021 - Edition 30

37

GLOBAL NEWS

Image credit: 13cabs

Taxi company, 13cabs, has introduced a fleet of private hire vehicles to its platform. The taxi company will allow drivers to moonlight using company cars and ride requests will be sent through to cabbies on the clock. The fleet of private hire vehicles will be marked with the number ‘13’.

General Manager, Matt McLachian, said: “It allows us to level the playing field. This is a platform or a business model that the Government has approved to allow Uber to operate.

We’re just now going to use that platform ourselves to benefit the taxi industry.”

Mayor Bill Blasio announced that the city’s $65 million Medallion Relief Program (MRP), which could result in $500 million of debt forgiveness for thousands of drivers, has delivered nearly $700,000 in relief for the first three owners to fully restructure their loans. The Taxi and Limousine Commission (TLC) is poised to close deals with 13 more owners in the very near future.

In Vienna and Graz, the ‘eTaxi Austria Project’ is starting a large-scale test run of a new type of charging-pad charging technology over the next two years. With the Easelink system, electric taxis can charge with a connection to a charging pad at the taxi rank.

Image credit: Easelink

38

OCTOBER 2021 - Edition 30

GLOBAL NEWS

A Dutch court has ruled that Uber drivers are entitled to the same employment benefits as taxi drivers. Judges said drivers working on the ridehailing app fall under the Dutch taxi drivers’ collective labour agreement.

The court argued that Uber’s relationship with drivers operating on the app ‘conforms to all the characteristics of an employment contract’, therefore requiring drivers to be treated as employed on a permanent basis.

Undercover police in Istanbul have taken to the streets to tackle alleged “scams” by some of the city’s taxi drivers who are being accused of over-charging tourists.

In a bid to curb the issues, officers have disguised themselves as Arab tourists to catch those drivers disobeying taxi rules. As well as undercover operations, officers have also increased random inspections on taxi drivers.

OCTOBER 2021 - Edition 30

39

WORLD TAXI FEATURE

Welcome to part four of our ongoing series of global taxis. We continue looking at the world’s most distinctive looking cabs outside of the iconic black taxi we see and love in most big UK cities.

Budget Direct have released a new series of

40

illustrated posters, showcasing different taxis from every country.

We will be running through the A-Z of the 57 most iconic taxis. In this edition we look at Germany, Ghana, Greece, Guatemala, Hong Kong and Hungary.

OCTOBER 2021 - Edition 30

WORLD TAXI FEATURE

OCTOBER 2021 - Edition 30

41

ACCOUNTANTS

Cab Accounts – Specialist Taxi Driver Accountants Accounts + Tax Return from only £125.

Rated 4.99 by over 300 Taxi Drivers.

Visit our website for more details here or call 0800 567 7246.

INSURANCE We have been arranging specialist insurance since 1989, and have become a one stop shop for all your taxi insurance needs. We offer exclusive rates from a panel of leading insurers, tailored to your exact needs.

FINANCE

Click here for a quote or more information.

At mymoneycomparision.com, we have a proven track record of working with taxi insurance specialists. We help you source and compare cheap taxi insurance cover, which suits your business needs.

Get your quote by visiting: www.mymoneycomparison.com/taxi-insurance

42

Compare cheap taxi insurance quotes to find the best deal on your next private or public hire policy.

Get your quote by clicking here. #insurance #taxiinsurance

OCTOBER 2021 - Edition 30

BUY, RENT OR REPAIR A TAXI

APPS

COMMS

Challenger provide fleet management trackers, cameras and integrated software to access vehicle location, record driver behaviour, optimise your route planning and take advantage of fuel cost savings.

Challenger provides business mobiles backed up with award-winning support, and with its market leading app you can keep your drivers safe with lone worker protection.

OCTOBER 2021 - Edition 30

43

CLAIMS

EMISSIONS SYSTEMS HJS HJS are Europe's leading manufacturers of emission reduction systems for commercial vehicles. Retrofit your taxi to meet EURO VI standards.

For more information visit the website by clicking here or phone 01344 566050.

MEMBERSHIP

CARD PAYMENTS

TAXI SCREENS

CARD PAYMENTS

44

OCTOBER 2021 - Edition 30