Posted on the 5th December 2025 in PHTM News

GOVERNMENT MOVES TO TIGHTEN TAXI LICENSING WITH RIGOROUS VETTING TO TACKLE OUT OF AREA DRIVERS

The Government has issued a statement detailing its plans to overhaul taxi licensing under The English Devolution and Community Empowerment Bill, specifically aiming to tackle the controversial issue of 'out-of-area' working by drivers.

Under the proposed reforms, all taxi drivers would be subject to “rigorous vetting” as part of a planned national minimum standard.

Parliamentary Under-Secretary of State for Local Transport, Lilian Greenwood, stated the Bill “seeks to introduce powers to set national minimum standards for taxi and private hire vehicle licensing.”

She added that if passed, these standards would “set robust standards for licensing across England, to keep all members of the public safe, wherever they live or travel.”

Ms. Greenwood further explained the goal is to “reduce the variability of licensing standards across the country, which is a significant factor in inducing drivers to license with an authority other than that in which they intend to work.” 

She concluded by saying the Department “continues to consider further options for reform, including out-of-area working and enforcement.”

Local government minister Miatta Fahnbulleh confirmed the standards will focus on “safeguarding passengers and improving accessibility.” 

This follows an audit by Baroness Casey, which identified “many cases of group-based child sexual exploitation” as having links with taxis, urging the Government to “close these loopholes urgently” caused by a “lack of stringency means that drivers who are unscrupulous can apply to a lax neighbouring borough.”

Ms. Fahnbulleh told MPs: “National minimum standards will set a high but proportionate standard for licensing that is focused on safeguarding passengers and improving accessibility of these services for everyone.”

She stressed the impact on safety, noting it means people “such as women and girls and people with disabilities, can be reassured that the drivers, such of these services, have undergone rigorous vetting where they are in the country, wherever they are in the country.”

She called this an “important first step to tackle some of the issues that have arisen from the practice of out-of-area working.”

Transport committee chair, Labour MP Ruth Cadbury, supported the move, noting her committee found the current lack of common standards encourages “licence shopping,” where drivers seek less onerous standards elsewhere.

Ms. Cadbury insisted that common standards should be “not basic minimum standards, but high and absolute standards.”

The broad Bill, also expands regional mayor powers and creates a tiered system of strategic authorities. Transport, planning and housing will be devolved to new unitary local authorities, under its proposals.

The Bill passed its third reading in the House of Commons by 322 votes to 179, majority 143. It is now set to be scrutinised by the House of Lords.


Read another story