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Uber could face £2m bill after TfL announces changes to mini cab permit fees

April 20, 2017 - Martin Hoscik@MayorWatch

Uber could be facing a £2m bill to continue operating in the capital after Transport for London unveiled changes to the fees it charges mini cab operators.

Currently the capital’s transport agency has two charging tiers, with firms operating 2 vehicles charged £1,488 for a five year permit and those operating three or more vehicles charged £2,826.

Under TfL’s proposals these would be replaced by a new five tier structure designed to ensure operators pay fees commensurate to the resources required to regulate their businesses. 
 
The new rules would see operators with 10 or fewer vehicles pay £2,000 for a five year licence, and those with more than 1,000 vehicles paying £167,000 plus £68 per car.

According to TfL, around half of all operators have 10 vehicles or fewer, with just five per cent of companies in charge of fleets of over 100 vehicles. 

Uber, which uses around 30,000 drivers in the capital, would be the hardest hit by the new fee structure which is subject to a public consultation.
 
Helen Chapman, General Manager of Taxi & Private Hire, said: “The operator fees system is no longer fit for purpose. 

“It is only fair that licence fees for private hire operators accurately reflect the costs of enforcement and regulating the trade. 

“The changes to fees would also enable us to fund additional compliance officers to help crackdown on illegal and dangerous activity.”

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