Minister says no legal definition of OPERATING BASES for private hire firms in “archaic, fragmented and inconsistent” licensing regime
- Perry Richardson
- 8 minutes ago
- 2 min read
The UK Government has confirmed that “an ‘operating base’ is not defined in law” and that no formal guidance has been issued to licensing authorities, leaving a key element of private hire regulation open to interpretation as digital platforms reshape the sector.
In a written parliamentary response on 22 April 2026, Lilian Greenwood stated: “No guidance has been issued on this matter. An ‘operating base’ is not defined in law. All guidance is kept under review and the need for any amendments or additions considered.”
The statement came after a question from Connor Naismith, who asked what direction is provided to local licensing authorities and whether the Department for Transport had assessed the adequacy of existing definitions, particularly as app-based operator models become dominant.
Greenwood pointed to recent updates in broader guidance, adding: “The Department consulted on revised best practice guidance in 2022 and it was subsequently updated in 2023.” However, no specific clarification was provided on how an operating base should be interpreted within that framework.
Ministers acknowledge regulatory gaps as app-based models challenge existing taxi licensing framework
The lack of a statutory definition presents operational challenges for both regulators and operators. Historically, an operating base has been understood as a fixed location where bookings are accepted. That assumption has been weakened by app-based firms that dispatch vehicles remotely, often without a single identifiable premises tied to a specific licensing area.
This ambiguity contributes to ongoing inconsistency across England’s fragmented licensing system. Local authorities retain discretion in how they interpret requirements, while enforcement becomes more complex in cases where bookings are accepted digitally and journeys are carried out across multiple jurisdictions.
Acknowledging wider concerns, Greenwood said: “The licensing regime in England is archaic, fragmented and inconsistent.” She added: “We are considering, holistically, how the regulation of taxis and private hire vehicles could be reformed to achieve the best overall outcome for passengers by enabling the sector to deliver the range of safe, available, affordable and accessible services they need.”
For operators, particularly those reliant on app-based dispatch models, any future definition could affect licensing structures, compliance obligations and geographic operating strategies.
For local authorities, the absence of clear legal footing is likely to sustain varied approaches to enforcement until further reforms are introduced.
