Transport Committee launch inquiry into taxi and private hire licensing standards ranging from cross border to self-driving cabs
- Perry Richardson
- Jul 16
- 3 min read
Updated: Jul 18
A new inquiry by the Transport Committee will review the state of licensing and regulation across the taxi and private hire vehicle (PHV) sectors. The aim is to identify how standards can be made more consistent across the country.
Licensing responsibilities currently lie with local authorities, including Transport for London, city councils and combined authorities. While these bodies work within a statutory framework, they are allowed to set their own safety, conduct and accessibility rules. This has led to inconsistent standards between areas.
The Committee is expected to focus on cross-border licensing, where drivers obtain licences from authorities with fewer restrictions before working elsewhere. Wolverhampton City Council has become a notable case, having issued 96% of its taxi and PHV licences to drivers who live outside the city. In Greater Manchester, it was revealed through a Freedom of Information request that 9,000 drivers licensed by Wolverhampton actually reside in that region.
The inquiry will consider whether national rules should be tightened or better enforced to address such imbalances. MPs will examine how enforcement and inspection regimes operate and how best practice in areas like accessibility and safety can be applied more widely.
There will also be a look at how standards differ between traditional taxis, PHVs and app-based operators including Uber and Bolt. The inquiry will assess how to prepare the regulatory system for future changes, such as the potential introduction of self-driving vehicles.
This review follows the Committee’s recent report into accessible transport, which raised concern over the lack of wheelchair-accessible vehicles and the treatment of disabled passengers.
Ruth Cadbury MP, Transport Committee Chair, said: “When it comes to the licensing and regulation of taxi and private hire vehicles, a strange patchwork of driver and vehicle standards now exists across every town and city in the country.
“This inconsistency has given rise to a situation that just isn’t good enough for drivers or for the public, who can unknowingly leave themselves vulnerable when getting into the back of a stranger’s car.
“This Committee will investigate whether a more standardised, more rational regulatory and enforcement regime could do away with the phenomenon of one city receiving applications from all over the country. We want to examine how an improved system could give greater confidence to consumers, particularly disabled people, women, children and other vulnerable people. And we need to look at how the system could make it clear who a passenger can complain to if standards aren’t met.”
Call for evidence
The Transport Committee now accepts written evidence submissions from those with knowledge of the sector. Submissions should be made via the Committee’s website, by 11.59pm on 8 September 2025.
Do current licensing arrangements and tools enable local authorities to effectively regulate and oversee the taxi and private hire vehicle (PHV) sector across England, in terms of safety, accessibility and quality of service? If not, what improvements could be made?
What is the impact on the travelling public and drivers of variation between licensing authorities? Is reform needed to bring greater standardisation?
What would be the practical implications for licensing authorities and operators of more stringent or standardised licensing conditions in respect of safety, accessibility, vehicles and driver conduct?
What steps should the Government take to address the challenges posed by cross-border licensing in the taxi and PHV sector?
What would effective reform look like in terms of enforcement, passenger safety and safeguarding, and regulatory consistency? Is there a role for regional transport authorities?
How are digital ride-hailing platforms impacting standards in the sector, and is further regulation in this area required?
How effective, accessible, and trusted are complaints and incident reporting systems in the taxi and private hire vehicle (PHV) sector, for both passengers and drivers?
How effective is the National Register of Licence Revocations and Refusals (NR3) in supporting consistent licensing decisions across local authorities? What barriers, if any, are limiting its use or impact?
What are the implications for taxi and PHV licensing of the future rollout of autonomous vehicles?
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