Mayor Calls for Urgent Reform in Greater Manchester Taxi Licensing

The mayor of Greater Manchester, Andy Burnham, has expressed concern over what he described as a "broken system" of taxi licensing. His comments center around the growing issue of private hire vehicles being licensed outside of the region, particularly in Wolverhampton, despite operating in Greater Manchester.

Burnham highlighted the risks to public safety posed by the current system, noting that nearly half of the private hire vehicles operating in Greater Manchester were licensed elsewhere. This, according to Burnham, is unacceptable and creates significant challenges for local authorities in maintaining control over the standards of both drivers and vehicles.

Andy Burnham stated:

"It is unacceptable that almost half of the private hire vehicles operating in Greater Manchester are licensed elsewhere. This presents a clear risk to public safety."

In response to this issue, Burnham has called for more devolved powers to manage the licensing of private hire vehicles. He emphasized that local authorities should have the authority to regulate and issue licenses within their own areas to ensure a safer and more accountable taxi system. Burnham also suggested that the existing deregulation, which allows private hire drivers to obtain licenses from any local authority regardless of their residence, has only worsened the problem.

The government has acknowledged the concerns raised by Burnham and stated that passenger safety remains a top priority. A spokesperson for the Department for Transport commented:

"Passenger safety is our top priority, and since 2023, local authorities have been required to use a national database that tracks when licenses are refused, suspended, or revoked on safety grounds."

Burnham also pointed out that this issue isn't limited to Wolverhampton, suggesting that if it wasn't for the West Midlands city, other regions would likely follow suit. He stressed the need for a national approach to prevent one local authority from undercutting another in the pursuit of faster and cheaper licensing procedures. This growing concern has been echoed by others in the sector, with recent reports detailing steps the government is taking to address the situation. More on these efforts can be found here.

Andy Burnham stated:

"If it wasn't Wolverhampton, it would be somewhere else. We need a national approach to ensure fair and safe taxi licensing across the country."

Local taxi drivers in Greater Manchester are expected to be consulted on proposed solutions, which may include providing incentives for drivers to apply for licenses within their own region. Burnham has also called for the government to consider exemptions for VAT in the taxi trade to support the industry in tackling these issues.

The City of Wolverhampton Council responded by clarifying that its licensing regime is strictly regulated and that the fees collected from licensing are legally ringfenced for related activities. Despite this, Burnham remains firm in his stance, calling for urgent reforms to protect both drivers and passengers.