http://dundeesnp.org/index.php/archives/1989
A Dundee MSP has called for the City Council to seriously consider introducing a cap on number of taxi-licences in Dundee in line with other local authorities in Scotland
Except most in Scotland don't restrict and Aberdeen and West Lothian have removed the cap. Edinburgh is beleaguered in a de-restriction battle with appeals in Court and a Human Rights case coming around the corner. I guess taxi owners in Dundee failed to explain this to him.
Dundee West MSP Joe FitzPatrick said: “I have had a lot of contact with taxi-drivers over the last few years and many of them are finding it difficult to make ends meet.
Taxi drivers? Or taxi owners? Wouldn't it be interestting to know? And I wonder how many members of the travelling public have lobbied him to restrict taxis?
“If we want to improve the professionalism of the taxi service in the city, capping the number of licence-holders is an idea that might benefit everyone in the city, taxi-users and the taxi-trade too.
Balderdash, if you want to improve the service you implement quality controls. Capping taxis creates shortage, inflates plate premiums, inflates rentals for drivers and ultimately means less taxis for hire on the streets. That's one heck of an improvement, eh?
“I have contacted other Councils to find out whether they have caps and how they operate their taxi-services.
“Edinburgh operates a limit on the number of taxis and frequently reviews the demand for taxis and commissions regular surveys of demand.
And as stated is heading for de-restriction. It's not going to be out of court until the battle has been won. And it is shelling out bucketloads of cash to defend the policy. Cash that it can barely afford.
Oh and BTW, the surveys are bogus. Jacobs managed to "fail" to find a demand throughout the period when Edinburgh's economy was burgeoning according to the Council Leader, yet Halcrow manage to "find" a demand during the worst recession in almost 100 years.
That'll be no corruption of the process by the council there then, eh?
“Glasgow City Council has a maximum number of taxi licences of 1428 considered necessary to meet the demand and considers there will be no significant unmet demand until the number of licences falls below 1418 and then it considers applications for new licences according to a number of rules
Yes, and Glasgow also has over 3000 private hire, less regulated and reportedly under assault and control by criminal elements.
So, the stark choice is a quality taxi service with WAV type vehicles or a barely fettered hinterland of less controllable private hires, not WAVs, and must be pre-booked - hardly providing the public the service it needs at peak periods when the police interests are for the streets to be cleared ASAP.
Also, according to the stated position of Glasgow that it considers there will be no significant demand until the number of licences falls below 1418, then this is a breach of the Law. Glasgow would be pre-determining demand levels without adhering to the burden of Section 10(3) which requires them to have satisfied themselves that there is no demand which is being unmet.
It is councils' positions like this that demonstrates just how corrupt and discriminatory Section 10(3) is. It is going to be challenged.
“Perth & Kinross has a cap of 70 taxis in the City of Perth which it is soon to review having been open to consultation for ‘about the past 12 months’.
“Aberdeen City introduced a cap in 1994. The decision was revisited in 2000 when the maximum number of licences was set at 915 but the limit was removed by the Licensing Committee on 9 January 2006.
And the Corporate Services Director stated at the time that restriction was untenable and that it was commercially unsound for this market sector to be given protection that is not afforded to anyone else.
“So it would probably be correct to say that many, perhaps most Councils do operate caps and it seems to me like an idea that needs to be given serious consideration in Dundee.”
Completely untrue.
Scotland
There are 32 licensing authorities in Scotland.
In 2003, the Office of Fair Trading’s report “The regulation of licensed taxi and PHV services in the UK” cited only 14 (45%) of Scottish Local Authorities operating a restriction policy on taxi licences, the majority 18 (55%) choosing not to.
Since then Aberdeen, and West Lothian have changed policy to remove such restriction. This gives a notional current figure of circa 11 (34%) which still restrict and 66% (21) who have removed restrictions, a ratio of 2 : 1 without restriction.
England and Wales
In England and Wales there are 343 licensing authorities.
The number of licensing authorities who currently choose as a matter of policy to retain taxi licence restriction is 87, or 25.4%.
The remaining 256, the overwhelming majority of 74.6%, either do not currently restrict or have taken a policy decision to remove taxi licence restrictions, a ratio of 3 : 1 without restriction. The overwhelming norm, the established custom and practice, whether in England and Wales or Scotland, is for there to be no restrictions on the number of operating taxi licences, which allows the demand in the market place to stimulate the supply to meet it – substantially the situation with all other business which require a licence to operate.
Earlier in the week, several city councillors called on the Council’s Licensing Board to cap the number of taxis in Dundee, an idea which has often been put forward by the taxi trade in the city.
Representing a vested interest and ignoring common sense.
If there is an over supply of taxis because of current poor economic conditions, then restricting the numbers at the current level is not going to improve matters. It just locks the problem in.
The free market however, given the chance to work, will cause people to leave the trade and the supply demand situation will equalise itself.
Being currently unrestricted, there is no barrier to this, indeed licence holders should be encouraged to suspend their involvement with the trade through council measures to allow "mothballing" of licences and re-entry in the future with no penalty.
This flexibility would help the free market to correct the situation much more quickly. What is needed therefore is less regulation, not more.
Finally, there are clear implications for public safety with a policy to cap the number of taxis.
In the Scottish Government's Taxi and PH licensing Best practice Guide, section 9 states:
"... if the supply of taxis or PHCs has been unduly constrained by onerous licensing conditions then that person's safety might be put at risk by having to wait for a taxi or PHC to arrive; he or she might even be tempted to enter an unlicensed vehicle with an unlicensed driver plying for hire."
In taxi capped Edinburgh two such situations are known to have been recorded - two serious sexual assaults on young women.
In the first the miscreant absconded and has left the country.
In the second case the matter went to trial before Lady Smith. Jailing the criminal for 5 years she told him,
"All she wanted was a taxi ..." the reality that the warning in the Best Practice Guide, ignored by City of Edinburgh Council, had tragically been borne out.
So, Mr FitzPatrick, please explain to us how your proposed cap on the number of Taxis in Dundee benefits the public?