Posted: Tue 12th Sep 2023

Taxi fares set to rise in Denbighshire as firms fear 20mph limit will hit profits

North Wales news and information
This article is old - Published: Tuesday, Sep 12th, 2023

Denbighshire will consider raising taxi tariffs this week – as firms fear the incoming speed limit reduction from 20 mph to 30 mph will hit profits.

The council’s licensing committee meet this Wednesday to debate tariffs, following a request by a taxi driver to review the current charges.

The taxi firm is not named in the report but approached the council, requesting to increase all tariffs and extras by 10%.

But licensing officers have recommended a rise of 5% instead.

The request follows drivers citing inflation as well as fuel costs rising at an “alarming rate”.

In a report to be presented to the committee, the request includes details of other rising costs such as wage rises, garage charges, and electric bills increasing by over 50%.

In a letter to Denbighshire, the taxi driver wrote: “We also have the imminent imposition of the 30mph to 20mph speed reduction on September 17.

“This will increase journey times. As taxis charge by the mile, the drivers will be able to earn less per hour as they will be able to cover less miles.”

The letter also pointed out that taxi firms were hit by bank charges.

“More customers than ever wish to pay by card,” the letter read.

“In real terms this is a 2-3% reduction in the fare due to processing fees.”

A consultation report revealed 47 of 56 responses from 280 drivers were in favour of the fare increase. One taxi driver responded to the consultation asking for a 15% rise.

“Fares being increased by 10% is simply not enough,” they said.

“It’s impossible to attract drivers to the job because we taxi drivers do not get looked at fairly. We have had to struggle for 12 months through the economic crises, and now this insulting offer (of 5%), which will no doubt get dragged out for six months and then get rejected.

“People in high places need to look at why we can’t attract drivers to the job, but again, they won’t. Fares should increase but by 15% minimum, then a small increase every year like every other industry.”

The committee has the option of going with the officers’ recommendation and accepting the 5% rise, accepting the proposed 10% rise, or not raising fares at all.

Once agreed, the council will publish a statutory notice with an implementation period of 28 days.

By Richard Evans – Local Democracy Reporter



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