26/09/2024
Birmingham's iconic black cabs, a familiar sight navigating the city's bustling streets, could soon be subject to fare increases. The Birmingham City Council is preparing to launch a public consultation on proposals that would allow Hackney carriage drivers to raise their prices. This move comes as drivers grapple with the escalating cost of living, increased fuel prices, and the general rise in operational expenses. Simultaneously, a spotlight is being cast on the significant expenditure associated with the council's home-to-school transport service, particularly for children with disabilities and special needs, with questions arising about value for money and the awarding of contracts.

Black Cab Fare Proposals Under Review
The National Union of Rail, Maritime and Transport Workers (RMT) has formally requested that the city council endorse a revision of the 'maximum chargeable fares' for black cabs. This plea is rooted in the economic pressures faced by drivers, exacerbated by the current cost-of-living crisis. The union's proposal aims to provide much-needed financial relief to drivers who have seen their overheads soar.
Coun Majid Mahmood, the cabinet member for transport, acknowledged the council's role in setting these fares. He emphasised the need to strike a delicate balance, ensuring that the revised tariffs are both acceptable to drivers and sustainable for passengers. "We, as a council, have the power to set these fares," Coun Mahmood stated at a recent meeting. "We must strike a balance between setting a fare that both taxi drivers and customers find acceptable." He highlighted that the previous tariff adjustment occurred two years ago, following a decade of no changes, a period during which drivers experienced a significant increase in the cost of fuel, inflation, vehicle maintenance, and insurance.
Details of the Proposed Fare Changes
A report presented to the cabinet recommended the approval of the RMT's proposal for public consultation. If these changes are implemented, passengers can expect the following adjustments:
| Charge Type | Current Fare | Proposed Fare | Percentage Increase |
|---|---|---|---|
| First Mile Charge | £5.40 | £5.60 | 3.7% |
| Mileage Charge | £1.92 | £2.04 | 6.25% |
| Waiting Time Charge | (Implied, to be calculated per hour) | £1.78 per hour | 10.5% |
Additionally, the proposal includes a change to the fare timing, with days commencing at 7 am instead of 4 am. Tariff two, which carries higher mileage charges, would be applicable from 10 pm to 7 am. The initial charge is proposed to remain at £3.20, and importantly, extra charges for bank holidays would be removed. This latter point could be a welcome change for passengers travelling on public holidays.
An Alternative Proposal and Driver Support
It's worth noting that an 'individual' also submitted a proposal with different adjustments. This alternative included increasing the initial charge from £3.20 to £3.60, modifying the mileage charge, and shifting the start time for night-time fares to 8 pm. Following the report's publication, council officers received a petition signed by over 250 Hackney carriage drivers expressing support for this alternative proposal. However, Coun Mahmood noted that officers had not yet had the opportunity to verify the petition's validity. He also mentioned that any petition would require references due to the recent submission of the final version of this proposal.
Historically, the council has often agreed on a recommended option for fare rises, which the trade generally accepts as a reasonable compromise. However, Coun Mahmood acknowledged that this might not be the case this time. The consultation period is crucial, allowing for objections to be lodged. Council officers are set to meet with representatives of the petition to discuss the union's proposals, underscoring the council's commitment to listening to both the trade and its customers.
The Home-to-School Transport Conundrum
In parallel to the black cab fare discussions, significant concerns have been raised regarding the cost and efficiency of Birmingham City Council's home-to-school transport service. Reports have emerged detailing allegations of a taxi firm charging the council an astonishing £200 per day to transport a child just three miles to school. This has prompted a probe into potential overpayments, with figures indicating that the council is currently spending over £19.4 million annually on this service, a substantial increase from £12.7 million in the 2017/18 financial year.
Councillors Meirion Jenkins and Shabrana Hussain have voiced strong criticism over these costs. Coun Hussain questioned whether such a daily charge for a short journey could be classified as fraud, while Coun Jenkins sarcastically remarked on the apparent reasonableness of such a fare. Coun Alex Yip has also expressed considerable concern, citing repeated issues with the cost and awarding of contracts for home-to-school transport, which he believes is an inefficient method of transporting children.
Council's Defence and Contractual Issues
Coun Karen McCarthy, cabinet member for children, young people, and families, defended the council's efforts, stating that care for the most vulnerable children is inherently expensive. She highlighted the council's success in ensuring that the vast majority of children reached their correct schools at the right time at the start of the academic year, with a 99.9% success rate on the busiest day. She attributed the higher costs to the needs of children with profound disabilities and complex medical requirements, who necessitate specialised vehicles and one-to-one supervision during journeys.
Sue Harrison, strategic director for children and families, provided an explanation for the awarding of contracts. She detailed how a contract with North Birmingham Travel was terminated in 2021 due to a significant breach related to DBS checks for drivers. This led to an emergency procurement exercise, resulting in a one-year contract with HATS at a significant premium due to the short notice. She explained that this was a necessary measure to fulfil statutory duties and ensure children could attend school. Subsequently, Green Destinations Ltd was awarded a large number of contracts for smaller vehicles and single-occupancy journeys as they represented the best value. AFJ was also successful for contracts offering good value. HATS, she noted, was unsuccessful in subsequent bids because they were more expensive and specialised in larger vehicles, while there was an increasing demand for solo transport.

The Path Forward for Transport in Birmingham
The ongoing discussions surrounding both black cab fares and home-to-school transport highlight the complex challenges faced by Birmingham City Council in balancing the needs of service providers, users, and the public purse. The public consultation on black cab fares will be a critical juncture, allowing for diverse perspectives to be heard and considered. Similarly, the scrutiny of home-to-school transport spending will likely lead to a review of existing contracts and procurement processes to ensure greater efficiency and accountability. The ultimate goal for the council remains to provide reliable, accessible, and affordable transport services for all its residents, from daily commuters to vulnerable children attending school.
Frequently Asked Questions
Will black cab fares definitely increase in Birmingham?
Proposals for fare increases are going to public consultation. The final decision will depend on the outcome of this consultation and any objections received.
What are the proposed changes to black cab fares?
The proposals include increases to the first mile charge, mileage charge, and waiting time charge. There are also proposed changes to when tariffs are applied and the removal of bank holiday surcharges.
Why are black cab drivers seeking fare increases?
Drivers are facing increased costs due to the cost-of-living crisis, higher fuel prices, and general inflation affecting vehicle maintenance and insurance.
Is there any opposition to the proposed fare increases?
While the RMT union supports the proposals, another individual submitted an alternative proposal, and a petition has been lodged in support of that alternative. The public consultation period is designed to gather all views.
What are the main concerns regarding home-to-school transport?
Concerns centre on the high daily cost charged by some taxi firms for transporting children, particularly those with special needs, and questions about the value for money and the awarding of contracts.
What is the council's response to the high school transport costs?
The council states that care for vulnerable children is expensive and highlights its success in ensuring children get to school. They also explain that higher costs are linked to the complex needs of some children requiring specialised transport and one-to-one supervision.
What is the current annual cost of home-to-school transport in Birmingham?
The council is currently spending over £19.4 million annually on this service.
What is the success rate of the home-to-school transport service?
The council reports a 99.9% success rate in getting children to the right schools at the right time during the initial days of term.
If you want to read more articles similar to Birmingham Black Cabs: Fare Hikes and School Transport Woes, you can visit the Transport category.
