Posted on the 10th September 2025 in PHTM News

KIRKLEES COUNCILS PROPOSED TAXI FEE HIKE SPARKS BACKLASH

Kirklees Council is facing strong opposition from local taxi drivers over a plan to raise licensing fees to cover rising service costs and to offset a £132,000 deficit in its hackney carriage and private hire licensing department. Prior to 2015, the service was running at a surplus.

The council proposes a three per cent fee increase by 31 March 2026, followed by two per cent hikes, or the rate of inflation if it is lower, in both 2026/27 and 2027/28.

According to a council report, the increases are necessary for the service to break even by March 2027.

For example, a three-year driver’s licence would rise from £249.20 to £257 with the initial three per cent increase, eventually reaching £267 by 2027/28.

The cost of a five-year operator licence which covers three or more vehicles would rise from £1,166 to £1,201, with the three per cent uplift. By 2027/28, the cost would have risen by a total of £82.

However, the proposal has been met with a strong backlash from drivers.

The council received 160 objections, many of which cited ongoing economic hardships being experienced by drivers and operators and were critical of the council’s licensing department, calling for greater transparency. 

One objection, signed by 31 people, said: "The current proposal to raise fees places an unfair and disproportionate burden on taxi drivers and operators, many of whom are already struggling with ongoing economic pressures, including rising fuel, insurance, and maintenance costs

"What is even more concerning is the complete lack of transparency regarding the financial rationale behind these increases.

“Prior to 2015, it is a known fact within the trade that the licensing service generated substantial surpluses. Despite repeated calls for disclosure, Kirklees Council has failed to release any financial documentation or justification relating to how those surpluses were generated, used, or carried forward.

"This refusal to disclose critical financial data undermines trust in the process and raises serious questions about the legitimacy of the proposed increases.”

Another objection signed by group of 32 drivers added that the fee increases would be an "unfair and unnecessary burden," especially while many are "still recovering from the financial hardships caused by the pandemic."

The Licensing and Safety Committee is set to meet on Monday, September 15, to decide on the proposed changes. The council’s finance service carried out a full review of the hackney carriage and private hire budget looking back to 2015 - the time of the last full review.

Officers have recommended that the committee approve the fee increases.


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