Torbay taxi drivers can charge less to compete with Uber, councillors say

As Torbay considers a hackney carriage fare increase, councillors said the proposed tariff would set a maximum charge, leaving drivers free to charge less to compete with Uber.
The comments came as Torbay Council’s Cabinet considered proposed changes to the hackney carriage tariff. The revised fares are due to take effect on 4 November 2026, subject to the council’s decision.
The report recommends approving the table of fares as advertised. It proposes average increases of 4.6% under Tariff 1 and 3.8% under Tariff 2. The council sets maximum fares for hackney carriages operating under its control, but does not set fares for private hire journeys.
Two objections were received during the consultation. Both opposed any taxi fare increase, but neither suggested an alternative fare structure. The objections meant the proposals had to return to Cabinet for consideration and a new start date to be set. The tariff had originally been due to take effect on 1 October.
The proposed changes followed a request from the Torbay Licensed Taxi Association. The council’s Licensing Department held discussions with the association, the Torquay United Licensed Driver Association and other members of the hackney carriage trade.
Torbay last increased its taxi tariff in October 2024. The report cites rising vehicle purchase, maintenance and fuel costs, arguing that the existing fares no longer absorb those increases. It says a tariff that does not keep pace with operating costs could discourage drivers from entering or remaining in the trade, potentially reducing service availability.
The two additional tariffs for vehicles carrying five to eight passengers would see larger increases. The report says these tariffs incorporate existing extra charges into the meter fare, making charges clearer for passengers.
Torbay has 188 hackney carriage vehicle proprietors and 549 dual licensed drivers who can drive either a hackney carriage or a private hire vehicle. The council described the number of objections as a very small proportion of licensees.
The report also acknowledges that higher fares could place pressure on people on low incomes and residents who rely on taxis to reach healthcare, work, education and other essential services. It says existing transport assistance schemes will continue.
On the topic of Uber’s arrival in the Torbay area, Cllr Alan Tyerman (Con, Churston with Galmpton) said: “We are not setting a rate that has to be charged, but a maximum rate. People are entitled to charge less if they want to.”
Cllr Adam Billings (Con, Churston with Galmpton) added: “The market mechanism exists for those competing for business, to allow them to put their best foot forward to compete with Uber.”
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