Posted on the 11th November 2025 in PHTM News

ADCU CONDEMNS GOVERNMENT REFUSAL TO ALLOW CAPPING OF PRIVATE HIRE VEHICLE NUMBERS

The App Drivers & Couriers Union (ADCU) has today condemned Transport Secretary Heidi Alexander’s decision to rule out granting Transport for London (TfL) and other licensing authorities the power to cap private hire vehicle (PHV) numbers, despite growing concerns from local representatives, industry experts, and drivers about the scale of unrestrained growth in the capital.

The decision, communicated in a letter to London Assembly Member Elly Baker, has been met with disappointment and anger among professional drivers who say London’s PHV sector has reached breaking point - causing congestion, falling driver earnings, and declining safety and service standards.

ADCU President Cristina-Georgiana Ioanitescu said: “The Government’s refusal to empower local authorities to manage private hire vehicle numbers is an abdication of responsibility. London’s roads are now choked with underpaid, overworked drivers competing for too little work, while the app operators continue to flood the market in pursuit of market share.

TfL, the Mayor, and the Assembly have all repeatedly warned about the unsustainable scale of growth in the sector. Yet instead of listening to those on the front lines, the Transport Secretary has sided with the big tech platforms who profit from this chaos.”

The ADCU says the continued oversupply of PHVs in London—now exceeding 100,000 licensed vehicles - has driven down driver incomes, increased unpaid waiting time, and amplified safety and environmental risks.

The union argues that app operators’ unchecked recruitment practices—often onboarding thousands of new drivers with no regard for market demand - amount to a form of exploitation that leaves drivers working excessively long hours just to cover basic costs.

“The Transport Secretary’s claim that this decision has been taken to “support choice for consumers” and ensure both taxis and PHVs are able to operate within the market shows how disconnected ministers are from the daily realities of the gig economy,” says Ioanitescu.

“Passengers and the public will simply face more congestion and pollution, and drivers will continue to be trapped in poverty pay conditions, as oversupply drives down earnings. The only people who will benefit from this are the app-companies, who are already making eye-watering profits from a system that is unregulated, and out of control.”

The ADCU is calling on the Government to reconsider its position and commit to:

• Granting TfL and other licensing authorities the power to set local caps on vehicle numbers, based on demand, congestion, and air quality data.

• Introducing a minimum fare and waiting time pay standard to prevent app operators from pushing prices below sustainable levels.

• Requiring algorithmic transparency from platforms to ensure fair dispatch and pricing practices.

“Without sensible limits, there is no pathway to fair pay, safe working conditions, or a sustainable transport network,” added Ioanitescu. “The Government must stop shielding app-based corporations from accountability and start protecting the workers and communities who keep our cities moving.”


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