ROUND THE COUNCILS GLASGOW:
CONSULTATION ON VEHICLE NUMBERS
A debate took place in Glasgow over a potential cap on the number of taxis and private hire cars, with business leaders and ride-hailing companies urging its removal to boost the night-time economy, while a drivers’ group warns of a potential “flood” of vehicles and a decline in driver earnings. The current policy limits the number of licensed vehicles in the city to 3,450 which has meant over 680 bids for private hire car licences, from May to the end of 2024, have been rejected. The policy was last reviewed in 2023, when Glasgow’s licensing committee agreed to make 255 more private hire car licences available to address demand at busy times. However, recent reports by a market research agency and Glasgow Caledonian University’s Moffat Centre, commissioned by the council, indicated “the late night city centre economy continues to face a number of post-covid challenges”. The vehicle restriction has been challenged by businesses and companies such as Uber. They argue the cap stifles growth, limits passenger choice, and discourages late-night visitors. “A vibrant night-time economy is crucial to our recovery,” stated Stuart Patrick, CEO of Glasgow Chamber of Commerce, emphasising that the cap “is actively deterring people from coming to town.” Uber echoed this sentiment, highlighting the potential for increased driver earnings and improved passenger options. “Scrapping the cap would support local businesses, particularly in the night-time economy,” an Uber spokesperson said. However, the Scottish Private Hire Association (SPHA) vehemently opposes the removal of the cap, fearing it would lead to oversaturation and a “race to the bottom” for drivers. “Massive firms, like Uber, would flood the market,” warned Eddie Grice, SPHA General Secretary. “Driver earnings would plummet, inevitably leading to drivers being forced to work more and more hours on the road which in turn gives rise to public safety concerns.” The debate comes as Glasgow City Council’s licensing committee considers a potential overhaul of the policy.
While acknowledging the concerns of businesses, committee chair Alex Wilson expressed reluctance to remove the cap entirely.
PHTM FEBRUARY 2025
He stated that feedback from the trade has suggested there are currently enough cars, but drivers are choosing not to work at peak times. He believes firms should incentivise their drivers to work at these times, which include weekend evenings, adding: “I think the cap has worked well and it is keeping the market competitive.” On Wednesday 15 January, the council agreed to conduct a public consultation on the issue, seeking input from all stakeholders. The outcome of this consultation will ultimately determine whether the city will maintain, adjust, or abolish the existing cap on taxi and private hire vehicles.
LUTON: INCREASE IN HACKNEYS OVER 3 YEARS
Luton Borough Council has approved an increase in the number of licensed hackney carriages operating within the borough over the next three years. Following a review conducted by independent transport consultants, the council's administration and regulation committee agreed to raise the cap from the current limit of 170 to 185 vehicles. The review, conducted between February and July 2024, aimed to assess whether significant unmet demand for taxi services existed within Luton. While the report acknowledged that overall demand for hackney carriages remained relatively low,
it
highlighted several factors contributing to a recent increase in demand: Return of Airport Traffic: The recovery of passenger traffic at London Luton Airport has significantly increased demand for taxi services, particularly impacting service levels at main town centre ranks. Driver Shortages: Issues such as a focus on better work-life balance, private car incursion at ranks, and a tendency for drivers to avoid weekend work have further exacerbated the situation. Tony Ireland, LBC’s
service manager for public
protection, explained to the committee that the decision to increase the number of licences was based on a "balance of probability" regarding unmet demand. The committee approved the immediate issuance of five revoked licences and authorised the gradual release of five additional licences per year for the next three years, ultimately increasing the total number of licensed hackney carriages from 165 to 185.
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