Posted on the 17th June 2025 in PHTM News

GOVERNMENT VOWS TO CLOSE "TAXI LOOPHOLE" TO COMBAT GROOMING GANGS

The government has pledged to crack down on "out of area" private hire vehicles as a crucial step in its broader strategy to tackle child sexual exploitation by grooming gangs.

Home Secretary Yvette Cooper announced the commitment to close "loopholes" that allow PHVs to operate outside their licensing areas, a move that follows persistent calls from figures such as Greater Manchester Mayor Andy Burnham.

The decision comes in response to a "damning" report by Baroness Louise Casey, which includes 12 recommendations, among them an urgent call for the Department for Transport to take "immediate action" on out-of-area taxis.

Ms. Cooper told MPs on Monday, June 16, that the government accepts all recommendations within the "deeply disturbing" report.

Concerns over out-of-area PHVs have intensified, with local authorities expressing frustration over their inability to regulate standards of vehicles and drivers operating within their areas but licensed elsewhere.

The Manchester Evening News previously revealed that 35% of private hire drivers in Greater Manchester are licensed in Wolverhampton, highlighting the scale of the issue.

In its official response, the government stated its intention to legislate to address these inconsistencies and "inconsistent standards" in taxi licensing.

While working "as quickly as possible" and "considering all options," interim measures will also be put in place. This includes a consultation on transferring responsibility for taxi and private hire vehicle licensing from individual councils to local transport authorities.

Explaining the necessity of these reforms in the House of Commons, Home Secretary Yvette Cooper emphasised: "There are many local authorities across the country who have worked to ensure that they have raised standards and checks in their licensing arrangements particularly those in areas where there have been serious problems and where there have been criminal cases that have taken place."

She further stressed the undermining effect of the current system: "However, those checks and safeguards can end up being undermined by the licensing of other areas that do not have those checks. So, we are looking to take forward reforms to the law."

The Home Secretary concluded by reiterating the government's commitment to addressing the issue directly: "The transport secretary is looking at exactly this issue to make sure we can find a way to close that loophole."


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