EXECUTIVE
17 March 2009
ITEM 7
REPORT BY DIRECTOR OF RESOURCES
REVIEW OF TAXI FARES FOR THE SCOTTISH BORDERS
1 PURPOSE
1.1 To report on the consultation with the taxi trade representatives and to seek approval for the proposed taxi charges for 2009.
2 BACKGROUND
2.1 On 27 January 2009 the Executive approved proposals for the review of taxi fares for 2009 and the methodology for subsequent years.
2.2 The Officers Working Group have now met with the taxi trade representatives in each of the five Area Committee areas.
3 OTHER ISSUES
3.1 It was also agreed that trade views be sought on a number of other issues which have been raised from time to time over the years and that a report be brought to a future meeting of the Executive in respect of:
• Plates
• Zones
• Use of Trailers
• Ranks
• Enforcement of Conditions
• Licence Duration
• Age of vehicles
• Training
3.2 The Executive also requested that the views of the trade in forming a Scottish Borders-wide Trade Association be sought during the consultation process.
4 RESULTS OF THE CONSULTATION
4.1 All taxi and private hire car operators were invited by letter to attend a meeting in their local area. Meetings were arranged in each of the 5 Area Committee areas, as follows:
• Duns, 11 February 2009. 1 Trade representative attended
• Hawick, 13 February 2009. 4 Trade representatives attended
• Galashiels, 13 February 2009. 5 Trade representatives attended
• Peebles, 16 February 2009. 2 Trade representatives attended
• Kelso, 16 February 2009. 6 Trade representatives attended
In addition, 1 operator e-mailed his views to the Working group.
4.2 With one exception, the meetings were chaired by the Chairman of the local Area Committee. The outcome of this consultation is summarised by area in Appendix 1. Although attendance was low, the meetings were frank and open and it was evident that there was consensus amongst the trade on most issues, with a few exceptions.
4.3 Methodology. The basis for calculation was welcomed and the 45% to 55% ratio between the Consumer Price Index motoring factors and the Scottish Borders wages year on year difference was accepted for 2009 and subsequent years.
4.4 Resultant Increase for 2009. The trade was asked if the 1.73% increase for 2009, rounded to £1.50 per mile, seemed a fair balance of their needs and their customers’ ability to pay.The effects of this proposal are as shown in Fare Tariff Sheet shown Appendix 2 to this report
4.5 Unsocial Hours Premium. The issue of charges for unsocial hours was raised at two meetings. A proposal was put forward by the trade at the Kelso meeting that a premium of 25% for unsocial hours, between 10pm and 6am, should be considered. The current £1 flat rate failed to cover driver costs, particularly when there is ‘dead mileage’, that is where a taxi takes a customer some distance without being able to pick up a return fare.
4.6 Valeting costs. Trade representatives raised a concern over the actual cost of a car valet following customer misuse and the loss of potential income whilst the car is being cleaned and account was made of these in the proposed tariff.
4.7 Trade Association. There have been moves recently by a Jedburgh taxi operator to re-form the Roxburgh Taxi Association and to extend this to a Scottish Borders-wide representative body. This would be welcomed by most operators but there remains an amount of scepticism due to past failures to form such an organisation. Any assistance from the Council would be welcomed. It is proposed that the Planning and Economic Development Department be requested to take this initiative forward.
4.8 Other Issues. A number of other items, mainly questions, were raised and it is proposed that these matters be taken forward and included in the report to be brought later in the year on the matters referred to in para 3.1. They are:
• Scottish Borders Council school contract tenders were advertised too close to the due start date to enable operators to decide whether they should apply.
• School dropping-off places were being used as parking places or were not adequately signed. Jedburgh was a particular concern.
• Could CCTV cameras be positioned to cover the main taxi ranks?
• The benefit of centralisation of licensing into a single unit was questioned.
• Could drivers’ badges be produced in-house in the same way as staff identity badges?
• Would it be possible to provide a web directory of licensed vehicles and drivers.
5 COMPARISON OF TARIFFS WITH OTHER AREAS
5.1 The ‘Private Hire and Taxi Monthly’ February 2009 edition was used to provide a cross-Scotland comparison, as shown in the following table, together with the Scottish Borders proposals:
All Scotland Scottish Borders Proposed
Tariff 1 Tariff 2 Tariff 1 Tariff 2
Flagfall average £2.38 £3.06 £2.00 £3.00
1 Mile fare average £3.10 £3.94 £3.50 £4.50
2 Mile fare average £4.61 £5.66 £5.00 £6.00
5 Mile fare average £9.19 £10.85 £9.50 £10.50
10 Mile fare average £16.85 £19.61 £16.50 £17.50
Running mile average £1.53 £1.74 £1.50 £1.50
Night Rate See below 25%
5.2 The additional charge for night hire (unsocial hours) varies greatly across Scotland, from 40 pence to £1.50 and from 2.24% to 43%. Looking at Scottish Borders Council’s regular benchmarking ‘family’ shows rates of:
• Dumfries & Galloway £1
• Highland 43%
• Angus 25%
• Argyll & Bute 17.61%
• Moray £1.60
6 PROPOSALS
6.1 The Working Group met to consider the outcome of the consultation and to develop its final recommendations. These are shown in section 12 of this report.
6.2 In terms of the 1982 Act , section 17(3) the taxi trade will be further consulted on the proposed charges. There will be a statutory public advertisement in the press inviting comments within 28 days prior to being brought back to the Executive for consideration of any representations.
7 FINANCIAL IMPLICATIONS
7.1 There are no financial implications to the Council arising directly from the charges proposed this report. Any changes to the cost of providing driver licences or plates will be reflected in the charges/deposits paid by the trade.
8 RISK COMMENTARY
8.1 There is a risk that if an open and accountable basis of carrying out the review of fares is not selected, future reviews will be met with adverse outcomes.
8.2 There is a risk that, if the methodology selected is not maintained for a number of years, there will be an inconsistency in the process. This will lead to loss of support from the trade and public and much officer time will be required to select a methodology each year.
8.3 There is a risk that, unless a decision is made, the Council will not be able to carry out the statutory fare review within the fixed time limit. This is 18 months from 25 June 2008, namely 24 December 2009. The Council has, however agreed to hold annual reviews, which means implementation by 24 June 2009.
8.4 There are no environmental risks associated with this report.
9 EQUALITIES
9.1 It is anticipated there will be no adverse impact due to race, disability, gender, age, sexual orientation or religion/belief arising from the proposals contained in this report.
10 CONSULTATION
10.1 The Directors of Social Work , Planning and Economic Development, Technical Services , Education and Lifelong Learning , the Chief Financial Officer and the Acting Head of Corporate Administration have been consulted and their responses will be reported to Members.
11 SUMMARY
11.1 The report advises of the informal consultation carried out with trade representatives and seeks approval to consult formally on the proposed taxi fares and charges for 2009 in terms of the Tariff as shown on Appendix 2.
12 RECOMMENDATION
12.1 I recommend that the Executive approves the following actions:
(a) That the charges proposed in Appendix 2 be approved for the statutory consultation process;
(b) That it be delegated to the Director of Planning and Economic Development to assist the development of a Scottish Borders-wide Taxi Association;
(c) That the Head of Legal Service bring a further report to the Executive after the statutory consultation process; and
(d) That the Head of Legal Services bring a report to a future meeting of Executive on the issues raised in paragraphs 3.1 and 4.8.
Approved by
Name Designation Signature
Tracey Logan
Director of Resources
Author(s)
Name Designation
Ian Wilkie Head of Legal Services
Background Papers:
Previous Minute Reference: Executive 16 September 2008
Note – You can get this document on tape, in Braille, large print and various computer formats by contacting the address below. Corporate Administration can also give information on other language translations as well as providing additional copies.
Contact us at: Anne Isles, Corporate Resources, Scottish Borders Council, Albert Place, Galashiels, TD1 3DL. Telephone - 01896 754751, Fax 01896 662711 or E-mail
aisles@scotborders.gov.uk.
Appendix 1
Taxi and Private Hire Car Charges. Consultation with trade representatives 2009.
Issue Duns (1) Hawick (4) Galashiels (5) Peebles (2) Kelso (6)
Method of calculation Acceptable Accepted Accepted Makes sense Accepted
1.73% Rise Tight but reasonable Accepted but review unsocial hours night rate 6-12pm Agreed Accepted Accepted but consider changing unsocial hours (10pm to 6 am to 25%. This would only affect fares of more than £4. Consider Bank Holidays premium
Valeting costs £70, therefore £45 rate does not cover costs
Plates Change to high visibility, inside at front with compartment for driver’s badge.
Have concealed plates for private hire prestige vehicles Like idea of 2plates only, fixed external at rear + internal Could plates be fixed to roof signs? (not a shared view)
Small rear plate on a fixed bracket and internal double-sided seems a good idea Would prefer fixed plates front and rear. If changing must use Mogo system for security features, rather than a local version. Would prefer new plates to be phased in Want to change but prefer the ‘local version’ rather than the Mogo which appears too complex
Zones Keep 4 zones to stop customer poaching by larger firms 3 in favour of current 4 zones, 1 for a single Borders zone to reduce amount of dead mileage Dead mileage is an issue. Unspoken rule is to stay in your own area. Dual plating should not be allowed. Keep 4 zones Leave in 4 zones as is but don’t allow dual plating Keep 4 zones as is.
Some in favour of dual plating, some against. Leave as is
Trailers Plate and inspect annually. Must be approved type of trailer Plate and inspect annually. Must be approved type of trailer Plate and inspect annually. Must be approved type of trailer Don’t allow taxis to pull trailers Risky but accept if plated and tested. Must be approved type of trailer
Taxi Ranks Needed in larger towns Proposals for Oliver Place/Bridge St (Bus office/Jobcentre welcomed), also Saturday night at bus stop opposite Office Bar Ranks at Tesco and Asda would help and they were in the original plans. No agreed solution to issues but will wait until interchange is complete Ranks are not being policed. Peebles rank could have 1 additional place. Would marshals help? Extension of existing Kelso rank is planned and 6 spaces should cover needs.
Licence
Conditions Happy with 3 year term but limit vehicle age to 10 No particular view of 1 or 3 year vehicle licence. Drivers licences should remain as 1 year. Keep 10 year age limit
Keep vehicle test regime Leave vehicle and drivers as is.
Keep 10 year age limit.
Annual + quarterly checks are adequate Would prefer a 3 year driver licence and a 1 year vehicle licence. Age should be arbitrary provided tests are passed. Tests adequate Leave vehicle and drivers as is.
Age should be arbitrary provided tests are passed. Tests adequate
Training Absolutely necessary – should have refresher courses every 5 years Value of First Aid questioned – can’t apply due to risk of litigation. Some say it’s a waste of time Course fees are an issue for part-time drivers Drivers say it is a waste of time apart from the talks by Taxi Enforcement Officers. Can’t apply first aid due to insurance and legal risks. Suggest an in-house SBC course First aid is a waste of time. Licensing and police input is interesting. Cost is off-putting. Consider making it a half-day course.
Trade Association Borders- wide wouldn’t work but interested in Kelso branch R. King proposes a Borders-wide group with satellite branches in main towns Support a Borders-wide Association- try to get representatives/office bearers from all towns. No support Has failed in the past but prepared to try to make it work. Secretary and Treasurer were present.
Other issues 1. A register of vehicles and drivers on the web
2. Would like to apply for ELL school contracts but late details make it impossible to engage SCRO approved drivers 1. Private cars park on and obscure zig-zag lines at schools and signs are unclear at drop-off points (Safer routes to School should be informed) 1. Timescale for school tenders
2. Not enough dropping-off places at schools
3.CCTV to cover taxi ranks? 1. Concern over creation of a central SBC licensing office
2. Could driver’s badges be made by SBC using same system as SBC Identity Cards? None
Appendix 2
CIVIC GOVERNMENT (SCOTLAND) ACT 1982
TAXI FARE STRUCTURE
MAXIMUM FARE LEVELS
Notice is hereby given that, in terms of Section 17 of the Civic Government (Scotland) Act 1982, the Taxi Fare levels to be effective from 25 June 2009 are as follows:-
Social Hours No. of PASSENGERS
1 to 4 5 to 8
Initial Hire- not exceeding 117.33 yards (107 metres) £2.00 £3.00
Each additional 117.33 yards (107 metres) or part thereof £0.10 £0.15
After 60 seconds each 35 seconds £0.10 £0.15
Unsocial Hours
(a) In addition to social hours from 10.00pm to 6.00am plus 25%
(b) Festive Season:-
Between 6.00pm on 24 December until 6.00am on 27 December and between 6.00pm on 31 December until 6.00am on 3 January.
Initial Hire - Not exceeding 117.33 yards (107 metres) £3.00 £4.50
Each additional – 117.33 yards (107 metres) £0.15 £0.25
After 60 seconds each 35 seconds £0.15 £0.25
Car valeting charge for customer misuse: £70.00
I. WILKIE
Head of Legal Services
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