Minicabit Faces Criticism Over Late Payments to Ipswich Taxi Firms

Local taxi operators in Ipswich have raised concerns over delayed payments from Minicabit, a taxi comparison app. Several businesses claim they have not received hundreds of pounds owed for completed rides. Ipswich Councillor Ruman Muhith has intervened to help operators recover their money, calling the situation "unacceptable."

Taxi Operators Left Waiting for Payments

Taxi companies in Ipswich have reported that Minicabit, an app allowing users to compare and book rides from various operators, has withheld payments for services rendered. Some operators, including IP Express Cabs, claim that payments amounting to hundreds of pounds were delayed for months. Issues surrounding payment reliability have been a growing concern in the industry, with taxi bosses in Belfast discussing the decline of 2,000 taxis in Northern Ireland, highlighting financial pressures faced by operators across the UK.

Mamun Miah, co-founder of IP Express Cabs, stated:

"We had not been paid over £500 for rides we had completed. Even after calling and emailing, we got no response. We kept trying to communicate with them and at one point even said we would leave their app, which did not go down well and has really affected our business since."

Similar concerns have been raised by other operators, including Royal Rides, whose owner, Mohammed Anwar Miah, alleged that his company had been owed £750 over the past three months.

Mohammed Anwar Miah stated:

"It is quite unfair that they don't pay us on time for our services."

Councillor Muhith Intervenes on Behalf of Operators

Faced with a lack of response from Minicabit, taxi operators sought assistance from Ipswich Councillor Ruman Muhith, who took the matter to social media. He persistently messaged the company on LinkedIn in an effort to secure payments for local businesses.

Cllr Muhith explained:

"It is unacceptable that only after public outcry and the intervention of notable figures did Minicabit finally settle payments owed to IP Express Cabs, a taxi operator based in my ward, Priory Heath in Ipswich."

The councillor further criticized Minicabit’s handling of the issue, emphasizing the impact on small businesses.

"It is deeply concerning to see a large company, which should be setting an example, failing to pay hard-working, local businesses for completed services."

Minicabit’s Response and Public Scrutiny

Minicabit, founded by Amer Hasan and featured on Dragons' Den in 2014, allows customers to compare taxi fares and book rides via its platform. Users make payments through the app, which are then meant to be transferred to taxi operators upon completion of the service. However, reports from Ipswich businesses suggest that this process has not been consistently followed.

Following the social media campaign led by Cllr Muhith, operators began tagging prominent figures, including Dragons' Den investor Deborah Meaden, who was linked to Minicabit during its 2014 pitch on the show. Meaden responded publicly, clarifying that she had no financial ties to the company.

Deborah Meaden stated:

"Hi, just to let you know the deal did not proceed and we have not and have never had any business interest or investment in Minicabit."

Within an hour of Meaden's statement, Minicabit reportedly transferred the outstanding amount to IP Express Cabs. However, other operators, including Royal Rides, are still awaiting payment, prompting continued pressure on the company.

A Minicabit spokesperson responded to the issue, saying:

"At Minicabit, we strive to deliver an outstanding service, but we recognise that sometimes things may not go as planned. Your satisfaction is our priority, and we are committed to addressing any concerns you may have."

Ongoing Concerns for Local Taxi Operators

Despite the payments made following public pressure, concerns remain over Minicabit’s payment system and its impact on taxi operators reliant on the platform for business. With more complaints emerging, Cllr Muhith has vowed to continue pushing for timely payments to all affected taxi companies.

Cllr Muhith stated:

"As a councillor, I will not stand by while large corporations treat Ipswich’s businesses and residents in this manner. I am calling on Minicabit to take immediate action to clear all outstanding debts and demonstrate integrity in their business practices moving forward. This community deserves better."