Glasgow Reviews Taxi and Private Hire Limits Amid Transport Concerns

Glasgow's Taxi and Private Hire Limits Under Review Amid Late-Night Transport Concerns

Glasgow City Council has initiated a public consultation to reassess its policy on the number of taxis and private hire vehicles allowed to operate in the city. This follows increasing concerns over the availability of transport, particularly late at night, as research indicates that difficulties in securing a ride home are discouraging visitors from staying in the city center after dark. The review could lead to modifications in the current cap on licensed vehicles, a matter that has drawn mixed reactions from business leaders, ride-hailing companies, and driver associations.

The debate over Glasgow’s taxi and private hire regulations has intensified in recent months, with some stakeholders pushing for reforms. A recent discussion on the issue highlighted the ongoing clash between Uber and the Scottish Private Hire Association regarding the private hire cap, as both sides present contrasting views on market regulation and driver earnings.

Under existing regulations, Glasgow permits a maximum of 1,420 taxis and 3,450 private hire cars. While private hire numbers have already reached their limit, taxi numbers remain below the cap, with only 1,227 currently operating. Over the past year, hundreds of applications for new private hire licences have been rejected. The consultation aims to gather input from stakeholders such as businesses, emergency services, community groups, and the general public.

Cllr Alex Wilson, chair of the licensing and regulatory committee, emphasized the importance of public participation in shaping the future of the city’s taxi and private hire trade:
Alex Wilson remarked:

"Glasgow’s taxis and private hire cars are a key part of the city’s transport system and are vital for getting people safely to and from the city center at night."

He acknowledged the significant challenges the industry has faced, including the COVID-19 pandemic, the expansion of ride-hailing apps, and evolving consumer habits. These factors, he noted, necessitate a reassessment of current policies:
Alex Wilson explained:

"Given the shifting landscape, it is right that the licensing committee reflects on whether our policies are still proportionate and necessary. Gathering the widest possible range of views will help us ensure our policies strike the right balance for both operators and passengers."

Research commissioned by Glasgow City Council, conducted by market research agency Progressive Partnership and Glasgow Caledonian University’s Moffat Centre, has underscored the economic impact of limited late-night transport options. Their findings suggest that difficulties in securing a taxi or private hire car are discouraging people from staying out late, negatively affecting businesses reliant on nighttime customers.

Business leaders and ride-hailing firms, including Uber, have advocated for removing the cap entirely, arguing that a greater supply of vehicles would meet public demand more effectively. However, the Scottish Private Hire Association has expressed concerns that such a move could lead to market oversaturation, making it harder for individual drivers to earn a sustainable income.

During the previous review in 2023, the council approved an additional 255 private hire car licences to accommodate peak-hour demand. However, reports indicate that the key issue is not merely a shortage of vehicles but a lack of drivers, raising questions about whether lifting the cap alone would resolve the city's transport concerns.

Councillors will review the feedback from the consultation, which remains open until May 28, before deciding whether to raise the cap or maintain restrictions on the number of vehicles operating in Glasgow.