Economics

Taxi drivers urge council to agree 8% fare hike

Taxi fares could rise by 8% to help drivers combat rising fuel prices and the cost of living.

Taxi drivers in North Tyneside are advocating for an 8% increase in fares to offset rising fuel costs and the general cost of living. The North Tyneside Hackney Carriage Association (NTHCA) has presented this proposal to the North Tyneside Council, which would bring the average cost of a three-mile journey to £5.52 per mile.

These proposed fare adjustments specifically pertain to hackney carriages, which are taxis that can be flagged down on the street or found at designated taxi stands, as opposed to pre-booked private hire vehicles.

However, Labour councillor John O'Shea has expressed reservations about the 8% increase, suggesting a more "balanced arrangement" is needed, given that North Tyneside residents are also grappling with the cost of living. The NTHCA's rationale for the fare hike primarily cites the escalating prices of fuel and vehicle components, in addition to the broader cost of living increases.

Further proposed adjustments include an increase in fines for car theft, from £125 to £130, and a rise in charges for transporting dogs and other animals (excluding service animals) from £3 to £4, as reported by the Local Democracy Reporting Service.

Councillors have voiced apprehension regarding the proposed fare increase, particularly concerning its potential impact on the elderly population of North Tyneside. Councillor O'Shea stated, "I just don't think we have got the right balance." He acknowledged that the taxi industry has experienced "significant uplifts in fuel and insurance and things like that, so they've been suffering for a little while." Yet, he also emphasized that "residents in North Tyneside who have been suffering as well with the cost of living." He concluded by recommending to the director of public health "to look at a balanced arrangement, not the 8% that has been suggested."

Should the director of public health approve the taxi fare proposals, they will be made public for a minimum of 14 days, during which objections can be submitted to the North Tyneside Council.

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