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Home Secretary responds to latest call for urgent end to cross-border taxi licensing amid safeguarding concerns


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The issue of cross-border taxi licensing has returned to Westminster, with Liberal Democrat MP Lisa Smart calling for urgent action to tackle what she described as an ongoing loophole that puts public safety at risk.


Speaking in Parliament last week, Smart referenced key recommendations from two major reviews into child sexual abuse and exploitation — the 2022 report by Professor Alexis Jay and the more recent June release from Baroness Casey. Both reports highlighted concerns about how taxi licensing practices may undermine safeguarding efforts.

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Smart said the fragmented licensing system continues to allow taxi and private hire drivers to obtain licences from councils with more lenient standards, then operate in entirely different areas. She pointed to Greater Manchester, where many vehicles working locally are reportedly licensed in Wolverhampton, over 100 miles away.


Smart pressed the Government to implement national standards for taxi licensing and driver regulation, arguing that the current system allows serious gaps in oversight. She suggested that the ongoing passage of the English Devolution and Community Empowerment Bill offers a legislative opportunity to make the necessary changes.

Smart said: “Baroness Casey was clear about one of her key recommendations: the Government must end the practice of out-of-area taxis by introducing stronger national standards for taxi licensing and driver regulation.


“Across Greater Manchester, we know that problem all too well; for years, drivers have exploited the fragmented system by securing the easiest licences to obtain from councils in one area and then operating elsewhere. As a result, many taxis working in Greater Manchester are licensed 100 miles away in Wolverhampton.


“What work is the Minister doing to address that specific issue? It feels like there is an opportunity to do so this afternoon through the English Devolution and Community Empowerment Bill, but that opportunity has not yet been taken. If an amendment to the Bill is the way to achieve that aim, will the Minister work with colleagues across the House to ensure that this important recommendation from Baroness Casey can be delivered?”

In response, Jess Phillips, the then Secretary of State for the Home Department, acknowledged the problem and said that the Government is actively seeking a suitable legislative route to tighten taxi licensing rules. Phillips said she had recently met with the Department for Transport to discuss the matter and confirmed the Government intends to address the legacy of past deregulation that has led to safeguarding concerns.


Phillips also expressed willingness to work with MPs from all parties to deliver reforms, echoing calls from victims’ families and campaigners for cross-party cooperation.


No fixed timeline was given for legislation, but ministers signalled that change is on the agenda, dependent on identifying an appropriate legislative mechanism.

Phillips said: “I met the Department for Transport on the issue of taxi licensing last week—this is about looking for a legislative vehicle. The Government have said that we will undo some of the harm caused by the deregulation legislation of the past, including the dangers that have come about related to safeguarding and taxilicensing.


“The hon. Lady invited Members to work across the House. In every interaction—there have been many—that I have had with victims of this crime since the last time I or the Home Secretary stood at the Dispatch Box making a statement, they have asked if we could just work together and stop throwing mud at each other. I will happily work with anyone on this issue. We are currently looking for legislative vehicles, but we do seek to legislate.”

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