Hyndburn Taxi War Sees Fares 'cheaper than buses'
Tuesday 25th August 2009
A taxi war has broken out in Hyndburn which has seen some fares slashed by half.
Rival Hyndburn private hire firms are currently charging minimum fares of £1.50, slashed from the previous £3, to travel an average distance of one mile.
It has led some private hire users to say using cab firms in the area has become cheaper than taking the bus.
Unlike hackney cabs, the council has no powers to set the minimum fare of private hire vehicles, meaning that prices are completely subject to competition.
One operator said competition with rival firms in the borough meant that things were tough for private hire drivers financially right now.
Mohammed Ishaq, owner of Central Cabs and A&B taxis, which have both recently cut their fares, said: “Of course we’re not making much money charging such low fares but we don’t have much choice.
“That’s what our rivals, Max Cabs, are charging. We have to go along too or we will go out of business.
“The money is not really worth it for anyone at the moment with prices rising for insurance and petrol. There’s enough business, the problem is with companies trying to undercut you.”
However a cab driver at another firm, who asked not to be named, said there was a problem with too many drivers and not enough fares to go around.
He said: “Ten years ago there were only 100 drivers in Hyndburn, now there’s closer to 400 but less people are going out than ever before.
“The nightclubs have shut down and there’s lots of drivers who have been made unemployed from other jobs who have decided to go on the cabs.
“The money just doesn’t add up though. Petrol is up, insurance is up, everything is very tight.”
Another firm, Bash Cars, also known as Diamond, said they also matched their prices to Max Cabs.
One retired driver who contacted the Lancashire Telegraph said: “The public must realise that it is virtually impossible for drivers to make a living with these ridiculously low fares.
"It costs an average of £9,000 a year to run a taxi and a driver has to make a minumum of £190 a week before even beginning to make a wage.”
One customer said: “For some journeys it’s cheaper than the bus though I don’t see it lasting forever.
"I’ve travelled from Oswaldtwistle to Burnley for £7 which is incredible when you think about it.”
Max Cabs were unavailable for comment.
Source; BlackburnCitizen.co.uk
Login
Register
FAQ
Not that I have that problem cos I don't throw things