Unlike the article the other day, this is Aberdeen City Council as opposed to Aberdeenshire.
But they've both come up with the same 5% rise
But the logic here just doesn't make sense, either from the council's perspective, or the trade reps quoted.
I mean, what does it matter if taxis do more than the normal mileage, as the rep claims? If a set of tyres has gone up 9%, say, then that's all the formula needs to take account of?
But I suspect something has been lost in the translation here...
Aberdeen taxi fares to rise by 5% amid spat over ‘pie in the sky’ council calculations
https://www.pressandjournal.co.uk/fp/ne ... rise-2026/
Taxi chiefs produced invoices showing the soaring costs in running their fleets as they fought for fares to go up.
Aberdeen taxi fares will be bumped up by 5% amid a spat over the soaring costs of keeping cabs on the road.
Taxi bosses pleaded with licensing chiefs to agree a “fair rise”, but were initially left fuming with the council’s calculations.
The rise had originally been set at 2%, until industry leaders showed invoices documenting the soaring costs of running their fleets.
Elected members today said they need to meet a compromise where “drivers can make a living while the public can afford it”.
Following the crunch talks, Rainbow City Taxis chief Russell McLeod said they’ll have to wait and see whether the rise is “adequate enough” to ensure Aberdeen numbers remain healthy.
It comes after years of controversy over the trade in the city, with Uber being approved in a bid to tackle late night queuing.
How are Aberdeen taxi fares calculated?
Back in 2013, the council hired a group of consultants to come up with the formula used to determine the fares set in the city.
They work out how the price of running a can has risen.
This takes into account vehicle purchases, spare parts, services, fuel and more.
For the past 18 months, the calculations came out at just a 1.56% increase in total.
This figure was aided by what the council say is a near 50% drop in costs for both spare parts and service labour, which was strongly disputed by the city’s taxi chiefs.
Mr McLeod had produced a set of invoices for one of the cars on his fleet, showing a 9% increase in the cost of tyres – compared to the 1.9% decrease the local authority had come to from their own formula.
The Rainbow Taxis boss told the room: “We as a trade feel that all the information used is based on normal motoring and not taxi operation.
“For example a taxi will, on average, cover almost twice the annual 19,000 mileage of a normal car. That obviously means twice as much servicing, replacement parts, and tyre wear.
“In short, we don’t think it’s comparing like with like.”
He added that the Taxi and Private Hire Consultation Group, a cohort of the industry’s biggest names, “maybe need to discuss this formula”.
What did councillors say about Aberdeen taxi fares?
Licensing chief Sandy Munro highlighted how councillors were asked to set a “fair tariff”, and that the 2% figure was only to be used as guidance.
Other local authorities such as those in Aberdeenshire, Dundee and Edinburgh have already agreed a 5% increase for the coming 18 months.
The Granite City is currently the 233rd most expensive place in the UK when it comes to taxi fares.
While councillor Steve Delaney defended the calculations, he called for the same rise that has already been agreed in other parts of the country.
Fellow member Neil Copeland added: “I think 5% would be reasonable, but we’ve also got to think of the paying public as well and the costs there.
“We have to find a balance between taxi drivers being able to make a living but the public being able to afford it.”
Councillors unanimously approved this figure, which will come into force in November.
‘Council’s figures were pie in the sky’
Following the decision, Mr McLeod and Aberdeen Taxis boss Chris Douglas seemed accepting of the compromise.
The Rainbow Taxis chief said: “Whether it’s adequate or not, the next 12 months will tell us, but five (percent) is certainly better than two.”
With regards to aspects of the council’s calculations, he told The P&J that he “didn’t know where they got that number from” and branded it “pie in the sky”.
Mr Douglas commented: “Anything that helps drivers absorb some of the rising costs will be appreciated by them I’m sure.
“I think the 5% pays sympathy to the public across the board and helps the drivers.”
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