Labour has launched a consultation to overhaul how taxi and private hire vehicle licences are issued across England. The move aims to curb drivers operating “out of area” and to raise safety standards, following national audits that linked weaknesses in local licensing to group-based child exploitation.
Major shift in taxi licensing: from many councils to 70 authorities
The government proposal would consolidate the current patchwork of licensing bodies. At present, around 263 different councils and agencies grant licences. The plan would cut that number to roughly 70.
- Responsibility would move to the existing Local Transport Authorities.
- These 70 bodies already run regional transport planning.
- The aim is to create more consistent rules and enforcement.
Reducing the number of issuing authorities is presented as a way to standardise checks and enforcement nationwide.
Why ministers say the overhaul is needed
Officials point to criminal investigations and national audits that found taxi licences can be exploited. Drivers able to obtain a licence far from where they actually work have been a recurring concern.
Campaigners and some politicians argue that inconsistent local standards made it easier for offenders to slip through safety checks.
What the consultation proposes in plain terms
The public consultation asks for views on several reforms designed to tighten licensing rules.
- Make all Local Transport Authorities responsible for taxi and private hire licensing.
- Introduce national minimum standards for drivers and operators.
- Close the so-called loophole allowing licence applications from outside the intended operating area.
- Strengthen enforcement powers to prevent out-of-area working.
The proposals are intended to improve passenger safety, especially for women and girls, by reducing regional inconsistencies.
How national minimum standards could work
- Uniform background checks for drivers.
- Consistent vehicle safety and maintenance rules.
- Shared databases to track licences and sanctions.
Links to high-profile reviews into child exploitation
The consultation follows the publication of Baroness Casey’s National Audit on Group-Based Child Sexual Exploitation and Abuse. That audit urged action to prevent exploitation routes that involve taxi services.
Previous reports, including inquiries into Rotherham and the 2014 Jay Review, identified taxi drivers as one recurring factor in exploitation cases.
Authorities say closing licensing loopholes is an important step to limit opportunities for criminal networks.
Reaction from politicians and the trade body
A Labour MP involved in transport policy said shifting licensing to transport authorities would encourage consistent standards and better enforcement.
The Licensed Private Hire Car Association welcomed the consultation. It argued that fewer licensing authorities could bring efficiencies and uniform safety rules for taxis and private hire vehicles.
Industry groups believe national oversight could raise protection for passengers while simplifying the licensing landscape for operators.
Practical implications for drivers and passengers
- Drivers may need to apply to a different authority to get a licence.
- Operators could face harmonised vetting and licensing fees.
- Passengers may see more consistent safety checks and quicker enforcement.
Local enforcement changes could also reduce the practice of drivers licensed in one area operating regularly in another.
What to expect while the consultation runs
The consultation will collect views from councils, industry groups and the public. Responses could shape new statutory rules on taxi and private hire licensing.
If adopted, the reforms would be phased in and backed by regulatory changes to close existing loopholes.
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