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Sheffield Council evidence backs licensing reform to tackle cross-border PHV work and raise national standards


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Sheffield City Council has reiterated its support for tougher national standards and reform of out-of-area working, as part of evidence submitted to the Transport Committee’s inquiry into taxi and private hire regulation.


The Council says the current framework no longer enables effective oversight and enforcement, particularly following the Deregulation Act 2015. The legislation, which allowed sub-contracting between operators in different areas, is blamed for a rise in private hire vehicles licensed far from where they operate.

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According to the submission, this has left licensing teams under-resourced and unable to enforce standards consistently. Sheffield said local authorities cannot adequately monitor vehicles licensed hundreds of miles away, whose drivers may have bypassed stricter standards elsewhere.


The Council has called for legislative changes to close these gaps. These include repealing elements of the Deregulation Act and requiring private hire operators to use geo-fencing technology to ensure drivers mainly work within the licensing area. Authorities should also be allowed to require drivers to be licensed where they live or predominantly work.

Sheffield argues this would restore trust, allow proper enforcement, and support public safety and environmental aims. The authority said local drivers face extra costs to comply with clean air policies while others avoid them by licensing elsewhere.


Inconsistency between licensing regimes was also said to be fuelling confusion for the public and unfair competition for compliant drivers. Sheffield says it supports a national licensing framework that provides clear, enforceable minimum standards while still allowing local conditions where justified.

On enforcement, the Council said a lack of shared powers and knowledge of other authorities’ conditions makes it unrealistic to expect officers to fairly regulate out-of-area vehicles. Licensing fees are also retained by the issuing council, meaning enforcement is funded locally even when vehicles come from outside.


The Council also highlighted concerns about digital ride-hailing platforms. It said while these offer convenience, they operate across boundaries and pose challenges for local enforcement. Greater cooperation with local authorities and clearer data-sharing obligations are needed, it said.

On the NR3S register for revocations, refusals and suspensions, Sheffield welcomed its potential but noted barriers including time-consuming processes. It called for bulk data checks and mandatory participation to improve consistency.


Looking ahead, Sheffield urged the Government to provide national guidance on autonomous vehicles. It warned of gaps in local authority knowledge and called for any new regulation to prioritise safety and public confidence.

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