Sheffield City Council licensing committee is to hold a meeting next week to discuss a proposal put forward by the Sheffield Taxi Trade Association to increase local cab fares.
A potential fare increase in the city was brought up at a committee meeting in November 2012 but was postponed until early this year. The Council said it needed more evidence on how much of a profit is made by taxi drivers from each journey.
Insurance Brokers Back Increase
Sonny Ullah, of Avant Garde Insurance Brokers, Sheffield, backed the proposal saying that taxi insurance premiums had risen significantly by 25 percent n 2010-11 and by a further 20 percent in 2011-12.
Mr Ullah commented: “The taxi trade faces an increase in costs due to the fact that many insurance underwriters have pulled out of the market. This reduces competition within the market and leaves the new underwriters who are selling taxi insurance to dictate inflated terms, conditions and prices.”
If the fare proposal is accepted by the Council it would see an increase of 20p in the pick-up fee and an extra 12p added per mile thereafter.