Pendle Council taxi licensing audit finds record-keeping gaps despite moderate assurance rating
- Perry Richardson
- 9 hours ago
- 2 min read
Pendle Borough Council’s taxi licensing service has been handed a Moderate Assurance rating following an internal audit that identified several weaknesses in record keeping, licence administration and inspection processes despite finding that key controls are largely in place.
The review, published as part of the council’s latest Internal Audit Progress Report, examined Taxi, Alcohol and Entertainment Licensing. Within the taxi licensing function, auditors concluded that the overall control environment was adequate but highlighted one high-risk finding alongside three medium-risk recommendations requiring management action.
The most significant point centred on the council’s record keeping for mandatory vehicle compliance checks. Auditors found evidence relating to vehicle recall checks and vehicle tax verification was not consistently documented or retained, creating a gap in the audit trail. Testing also found that half of the taxi driver licences sampled were issued outside the council’s target of processing validated applications within two working days. The report attributes the delays to a rise in application numbers, with an additional member of staff subsequently recruited to help address the backlog.
Auditors also identified shortcomings in governance and data management. The report found there was no independent officer oversight after licensing decisions had been authorised, while duplicate licence records, conflicting renewal dates and licences recorded as expired were identified within the licensing database. The council has agreed to introduce additional checks, including monthly database reviews and quarterly sampling, to improve data quality and strengthen oversight.
Inspection arrangements also came under scrutiny. The audit found the authority had not fully implemented a formal risk-based inspection programme and lacked a structured system for recording and monitoring licensing inspections. Spot checks of licensed taxis had reduced because of staffing pressures and legal constraints, prompting recommendations for a more robust inspection framework supported by enhancements to the council’s Idox licensing system.
Despite the findings, auditors acknowledged a number of positive controls already operating within the service. Pendle has an adopted Taxi Licensing Policy, publicly available application guidance, an electronic register of licensed vehicles and drivers, and a 15-point enforcement scheme under which drivers who accumulate sufficient penalty points within a three-year period can face suspension of their licence.
Council officers accepted all of the audit recommendations. Measures already completed include electronically retaining evidence of mandatory vehicle checks, introducing daily monitoring of validated applications awaiting issue and carrying out quarterly compliance audits. Further work to introduce independent decision oversight is scheduled for completion during 2026, while a new risk-based inspection process is due to be fully implemented by the end of the year.
The audit also recommended updating the Taxi Licensing Policy to include a formal review cycle, ensuring the document is reviewed at regular intervals rather than relying solely on update dates.
