Agenda item

To consider appending a surcharge to the existing Blackpool Hackney Carriage tariffs, that takes into consideration the increasing fuel prices.

Mr Lee Petrak, Trading Standards and Licensing Manager, presented the Sub-Committee with a proposal to introduce a surcharge to existing Hackney Carriage tariffs which would take into consideration the increase in fuel prices.

Members were reminded that the Council had discretionary powers under the Local Government (Miscellaneous Provisions) Act 1976 to set Hackney Carriage fares within its area. The current fare structure had been agreed by the Sub-Committee at its meeting in September 2021 but since that time fuel prices had escalated, in part due to the impact on supplies following the Russian invasion of Ukraine.

Mr Petrak reported on concerns within the trade that it may not be viable for taxis to continue to operate on the current fare structure should prices continue to escalate. Rather than amend the fare structure, the Sub-Committee was presented with details of a proposed a surcharge to be added to each journey on an incremental basis according to the price of diesel and unleaded as published by the Department for Business, Energy and Industrial Strategy (BEIS) on a weekly basis.

A previous surcharge agreed by the Sub-Committee in April 2008 was recommended to be replaced by the new proposal. Members were advised that the proposed surcharge was currently undergoing a period of statutory advertisement until 31 March and Mr Petrak requested that the Sub-Committee approved the proposal subject to no representations raising additional issues being received. For clarity, the intention was that the new surcharge would therefore be effective from 1 April not 31 March as recommended in the report.

Members acknowledged the impact of rising fuel prices on the trade but requested further details on how the implementation of the surcharge would be monitored to ensure it was applied correctly. Mr Petrak explained that signs were being produced to display in vehicles which explained the surcharge to customers including a link to the BEIS website where current fuel prices could be checked to ensure the correct level of charge was being applied. Members were assured that any reports of fraudulent charging would be dealt with in the strictest possible terms and that all Blackpool’s main operators and taxi association would be advised that fraudulent charging would not be tolerated.

The Sub-Committee concluded that the proposed surcharge was reasonable and therefore agreed in principle to approve the implementation of a tiered surcharge structure subject to no representations being received by the end of the statutory notification period.

Resolved:

1.      To agree, in principle, to the implementation of a tiered surcharge schedule according to fuel prices as published by BEIS:

Diesel

•          £1.50 or above 1 extra surcharge of 30p to be added for each journey

•          £1.65 or above – 2 extras added

•          £1.80 or above – 3 extras added

•          £1.95 or above – 4 extras added.

Unleaded

•          £1.48 or above 1 extra surcharge of 30p to be added for each journey

•          £1.63 or above – 2 extras added

•          £1.78 or above – 3 extras added

•          £1.93 or above – 4 extras added.

2.      To delegate approval of the implementation of a tiered surcharge schedule to the Trading Standards and Licensing Manager with effect from 1 April 2022 to 31 March 2023 following the end of the statutory notification period if no further representations raising additional issues were received by that date.

3.      To delegate approval to the Trading Standards and Licensing Manager to remove the existing fuel surcharge from the Hackney Carriage fare structure at the same time the new fuel surcharge is introduced.