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Civic Government (Scotland) Act 1982 - Taxi Fare Review

North Ayrshire Council · 10 December 2025
Back to Licensing Committee — 10 December 2025 and its agenda

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NORTH AYRSHIRE COUNCIL 
10 December 2025 
Licensing Committee 
Title:    Civic Government (Scotland) Act 1982: Taxi Fare Review 
Purpose:  To continue the Taxi Fare Review 
Recommendation:  That the Committee
a) Review the current scale and approve in draft the scale set out
as Appendix D to this report, as varied by the Committee;
b) Instruct the Chief Executive to give notice of that draft;
c) Continue consideration of the Review until a further meeting of
the Committee at least one month after that public notice has
been given. 
1. Executive Summary 
1.1 Under of the Civic Government (Scotland) Act 1982 (“the Act”), the Council, as
Licensing Authority, must from time to time review the maximum fare that taxis operating
within North Ayrshire may charge. The Act requires that this should be done at intervals
of not more than eighteen months, counted from when the current Scales came into
effect. The current Scales are attached at Appendix A.
1.2 When the Committee last considered this matter it adopted a Staged process for review,
namely: 
Stage (a) - Meeting with taxi trade representatives/taxi operators to discuss proposals,
consider revisions and finalise draft tariff 
Stage (b) - Licensing Committee meeting to approve the draft tariff for consultation and
authorise advertisement of the proposed tariff in local press 
Stage (c) - Public Consultation – to invite representations following advertisement 
Stage (d) - Licensing Committee meeting to consider representations and to fix the new
Scales 
Stage (e) - Notification of the Scales to the Trade 
Stages (f) and (g) – Advertisement of the new Scales, depending whether there is an
appeal to the Traffic Commissioner

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1.3 The fares fixed by the Committee are the maximum fares which may be charged.
Operators may charge less if they wish. While the Council must review the level of fares,
it does not require to alter them..
1.4 Once the fares have been reviewed and fixed, taxi operators have a right of appeal to
the Traffic Commissioner for the Scottish Traffic Area if they disagree with the Council's
decision.
2. Background 
2.1 The current Scales took effect on 18 November 2024, following the previous review. 
2.2 In accordance with the statutory timetable, officers have now commenced the next
review. The Stage (a) consultation meeting with representatives of the taxi trade was
held on 23 October 2025. A Minute of that meeting is attached as Appendix B.
2.3 In preparing draft Scales, the Committee should have regard to: 
a) Scottish Government guidance to licensing authorities on taxi fare reviews; 
b) the current Scales; 
c) general economic indicators relevant to taxi operating costs; and 
d) the views of the trade.
(a) Government Guidance 
2.4. The Government Guidance is in "Taxi and Private Hire Car Licensing: Best Practice for
Licensing Authorities", Second Edition, April 2012, Paragraph 6.2. This adopts the
guidance in Scottish Development Department Circular 25/1986. The relevant part of
that is Paragraph 2.37:
"The Secretary of State expects that in fixing fares authorities will want to pay primary
regard to the costs incurred by the trade, having regard to the capital costs. (including
interest payments) of the vehicles, the costs of maintaining and replacing them to the
standards required by the licensing authority, the costs of employing drivers, and the
prevailing levels of wages and costs in related road transport industries. In the Secretary
of State's view the public interest is better served by ensuring the maintenance of an
adequate taxi service by giving the trade a fair return than by depressing fares for social
reasons, however understandable. If fares are fixed at a level higher than the market
can stand, the trade is free to reduce them."
(b) the current Scales 
2.5. The current Scales are attached at Appendix A to this report.

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(c) General Economic Indicators 
2.6 Appendix C (“Economic Indicators”) summarises relevant statistical indicators obtained
from the Office for National Statistics and other official sources. These include:
 The Consumer Prices Index (CPI – “all items”);
 CPI components for transport and motor fuel; and
 Changes in the National Living Wage/National Minimum Wage.
The figures are presented from November 2024, when the current Scales took effect,
to the most recent available “release date”. They are intended to give an indication of
how general prices and specific elements of taxi operating costs have moved over that
period. 
(d) the views of the Trade 
2.7 The views expressed at the Stage (a) consultation meeting are recorded in Appendix
B, in so far as stated at the Consultation meeting. In summary:
 Representatives highlighted ongoing increases in insurance, repairs and
maintenance, fuel and wage costs;
 They considered that the current flag fall was no longer sufficient to reflect these
costs;
 They proposed a modest increase to the initial charge under Tariffs 1 and 2,
while leaving the mileage and waiting-time elements unchanged; and
 They suggested that the festive tariff should begin at 7pm on Christmas Eve and
7pm on New Year's Eve, to reflect demand and operating conditions on those
evenings. 
3. Proposals 
3.1 A draft set of revised Taxi Fare Scales has been prepared by officers, taking into
account of the guidance, the economic indicators and the representations from the
trade. The draft Scales are attached at Appendix D. This is only a draft and has been
prepared by officers, not the Committee, for the purpose the purpose of facilitating
discussion. It is open to anyone participating in the review process to suggest that the
Licensing Committee should consider other factors or that an alternative charging basis
should be adopted. In order to keep to the statutory timetable, anyone making any
representations about the draft should make them during the subsequent public
consultation.
The Committee should review the Scales, adopt a draft proposal, and instruct the Chief
Executive to give public notice of that draft.
3.2    In summary, the draft Scales would:
 Increase the Tariff 1 flag fall from £3.50 to £4.00 for the first three-quarters of a
mile, with no change to the mileage or waiting-time charges;
 Increase the Tariff 2 flag fall from £4.00 to £4.50, again with no change to the
mileage or waiting-time charges;
 Make no changes to the boundary zone, large-vehicle or soiling charges; and

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 Amend Tariff 3 so that the festive tariff should begin at 7pm on Christmas Eve
and 7pm on New Year's Eve.
3.3 The Committee may wish to note that because only the flag fall is altered, the
percentage increase is greater on short journeys and tapers off on longer journeys.
This is demonstrated on the table below:
Tariff Example
Journey
Current
Fare (£)
Proposed
Fare (£)
Increase (£) Approx. %
Increase
1 (Normal) 1 mile 4.08 4.58 0.50 12.3%
1 (Normal) 2 miles 6.38 6.88 0.50 7.8%
1 (Normal) 5 miles 13.27 13.77 0.50 3.8%
2 (Higher) 1 mile 4.75 5.25 0.50 10.5%
2 (Higher) 2 miles 7.75 8.25 0.50 6.5%
2 (Higher) 5 miles 16.75 17.25 0.50 3.0% 
Assumptions
- First ¾ mile charged at the flag fall then the remaining distance at the per-mile rate.
- No waiting-time or extra charged included
- Figures rounded to the nearest penny. Actual metered fares will be in 10p increments
and may differ slightly. 
3.4 At this Stage (b) meeting, the Committee is invited to adopt a draft proposal for
consultation and to instruct the Chief Executive to give public notice of that draft in
terms of section 17 of the Act. The consultation period (Stage (c)) must be at least one
month. After the consultation period, the Committee will meet again (Stage (d)) to
consider any representations and to fix the Scales. 
4. Implications/Socio-economic Duty 
Financial 
4.1 The Taxi fare structure has substantial implications for both the trade and the
community. In addition, legal costs to the Licensing Authority may arise if the fare review
becomes subject to an appeal to the Traffic Commissioner, which may affect future
Licence fees.
Human Resources
4.2 None 
Legal 
4.3 The review and fixing of taxi fares is a statutory function under section 17 of the Civic
Government (Scotland) Act 1982. The procedure described in this report is designed to
ensure compliance with those requirements and to preserve the right of appeal for
operators.

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Equality/Socio-economic 
4.4 A screening exercise indicates that a full Equality Impact Assessment is not required at
this stage. No specific socio-economic implications have been identified, although any
issues identified during consultation will be brought to the attention of the Committee. 
Climate Change and Carbon 
4.5 None
Key Priorities 
4.6 North Ayrshire Council has priorities for “Communities and Local Democracy” and
“Wellbeing” in the Council Plan 2023-2028. An effective licensing system, e.g.
monitoring the 'fit and proper' status of hire-car drivers and the safety of their cars, helps
achieve Strategic Aim-Wellbeing. 
Community Wealth Building 
4.7 There are no Community Wealth Building issues. 
Islands Communities Impact Assessment (ICIA) 
4.8 None 
United Nations Rights of the Child (UNCRC) 
4.9 None 
Consumer Duty 
4.10 The review of taxi fares supports consumer protection by ensuring that fare structures
remain transparent, proportionate and are fair to both the Trade and the general public. 
5. Consultation 
5.1 The Stage (a) consultation meeting with trade representatives is described in section 2
and Appendix B. Wider consultation with the trade and general public will take place
by way of statutory public notice at Stage (c). 
Aileen Craig 
Head of Democratic Services 
For further information please contact Raymond Lynch, Senior Manager (Legal), on
raymondlynch@north-ayrshire.gov.uk

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Background Papers 
Appendix A - Current NAC Taxi Fare Scales (from 18 November 2024)
Appendix B - Minute of Trade Consultation Meeting, 23 October 2025 
Appendix C - Economic Indicators
Appendix D – Draft Proposed Taxi Fare Scales

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Taxi Fare Scales 
These are maximum fares – the driver can: 
- choose to charge less than the meter, or 
- agree a fixed fare with the passenger before the journey
starts (so long as the agreed fare is not more than the Scale
fare) 
Tariff 1 (Normal)
Up to the first 3/4 mile - £3.50
Then each mile - £2.30 (in 10p units)
Waiting: up to 10 minutes - £3.50 (and then 10p every 20 seconds or
part) 
Tariff 2 (Higher)
Up to the first 3/4 mile - £4.00
Then each mile - £3.00 (in 10p units)
Waiting: up to 10 minutes - £4.00 (and then 10p every 20 seconds or
part) 
Tariff 2 applies if the journey starts and/or ends: 
- in the period 12.00 p.m. (midnight) to 7.00 a.m. ("Night") 
- on a Sunday 
- on the following Public Holidays:
Good Friday
early May Bank Holiday
Spring Bank Holiday
Summer Bank Holiday

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30 November (St Andrew’s Day) 
If a Bank Holiday is on a weekend, the following Monday is
treated as the Bank Holiday 
Tariff 3 (Festive period) 
If the journey starts AND/OR ends from 25th December until 26th
December at 7am or from 1st January until 2nd January at 7am, the
fare is double Tariff 1. 
Boundary Zone Charge 
If the journey is from the Zone for which the vehicle is licensed to
another Zone in North Ayrshire: the fare is whichever of Tariff 1, 2 or
3 would otherwise apply, plus 50%. 
Large Vehicle Charge (5 or more passengers) 
If the vehicle starts by carrying more than 4 passengers, the fare is
charged as an extra 50% on whichever of Tariff 1, 2 or 3 would
otherwise apply. The higher fare applies until the hire ends, even if
some of the passengers leave the vehicle earlier and there are fewer
than 5 left in the vehicle. 
Extra Charges 
Soiling Charge - £50 
Notes 
1. If two Tariffs could apply to a journey, the driver can charge the
higher one. The metered charge is the maximum which can be charged.
The driver can always charge less. 
2. These Scales apply to journeys which both start and end within
North Ayrshire. The Council do not set fares for journeys beyond the

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Council area. The passenger and the driver should agree the fare before
the start of the journey. 
3. Luggage shall be carried free if it is of a size which can reasonably
be accommodated in the car. 
4. Tariffs apply as soon as the journey starts and do not change. For
example, if a journey starts at 6.30 a.m. (Tariff 2 is "Higher") but ends at
7.30 a.m. (Tariff 1 is "Normal"), then the fare is still Tariff 2 because the
journey started at night. 
5. The meter can only be started immediately before the vehicle
moves off and must be stopped when the vehicle arrives at its destination.
The meter cannot be used while the vehicle is being loaded before moving
off or being unloaded after the vehicle stops at its destination, unless the
passenger has asked the driver to wait. 
6. There is no extra charge for loading, carrying or unloading
passengers with wheelchairs, assistance animals or anything the
passenger wants to have carried.

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Civic Government (Scotland) Act 1982: Taxi Fare Review
Minute of Trade Consultation meeting under Section 17(4A)(a) held on Thursday 23 October
2025 at 10.00 am at Cunninghame House, Irvine 
Councillors Present:
Eleanor Collier (Convenor), Ronnie Stalker and Donald L Reid
Council Officers Present:
David Grier (Solicitor, Legal), Christopher Pollock (Licensing Manager), Drew Robertson (Civic
Licensing Standards Officer) and Ashley Kellas (Administration Assistant)
Operators of Taxis in Attendance (and Licence Numbers):
Billy Bruce (77, 97 and 240) (Member of 3 Towns TOA)
James McDowall (241) 
The Convenor opened the meeting by explaining that the purpose of today’s meeting was to
gather the views of operators in advance of a meeting of the Licensing Committee to make a
proposal for draft Taxi Fare Scales. This would only be a draft, not a decided tariff, and would be
published in newspapers. The public, including the operators present, would have 28 days to
make any comments they wanted. There would then be a further meeting of the Committee,
which would make a decision on the scales and that decision would include an effective from
date.
David Grier confirmed this was Stage B of the Taxi Fare Review process, Stage A was approved by
the Licensing Committee in August.
The Convenor invited those present to make comments.
James McDowall (241)
He stated that the fares are fair enough, however the flag fall could perhaps be increased from
£3.50 to £4.00 under Tariff 1, and from £4.00 to £4.50 under Tariff 2.  He said that would make a
difference for Taxi operators.  Also, if Tariff 3 could start at 7 pm on Christmas Eve and New Years
Eve that would help a lot with attracting drivers to work at those times.
He advised that costs have went up, insurance in particular which for him was now £7,000 for an
annual policy.  Fuel and garage repair costs are also increasing. 
Billy Bruce (77, 97 and 240) 
He said he agreed with Mr McDowall’s comments.  The vast majority of hires are local / short
journeys.  This is a particular issue for Saltcoats and the 3 Towns area where most journeys tend
to be short and ‘round in a circle’.  He added that the national minimum wage is also a problem
given how much the taxi actually makes.

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Eleanor Collier
She noted and referred to a written submission made by another operator, Mr McGuiness, who
was not present.  She noted it was similar to Mr McDowall’s and Mr Bruce’s points but also
included a suggestion to increase the mileage rate.
James McDowall (241)
He said he was not against an increase in the milage rate if the Committee were to implement
that, however for him the main issue was the current flag fall.  He said that he thought both East
Ayrshire and South Ayrshire had higher flag fall rates.
David Grier 
He explained the next steps in the process and that a draft proposal would be brought to a
Committee meeting, most likely in December, and the matter would then go out for public
consultation.
He asked Mr McDowall and Mr Bruce if they had any views on additional fees being charged to
customers for card payments.
James McDowall (241)
He said he was not aware of any issues with card payments, and nothing was required in relation
to that.
Drew Robertson
He said that he had received queries / complaints regarding the charging of fees for card
payments and said that it was dubious whether this was a legal practice or not.  He added that he
would be looking into this matter further. 
David Grier 
He asked Mr McDowall and Mr Bruce what their views were in relation to a local Taxi Forum.
James McDowall (241)
He said he thought that would be a good idea and would help to give the Council an accurate
picture of what things were like on the ground for the taxi trade.  He then highlighted that
sometimes drivers and operators can have issues with applying for licences online.
Ashley Kellas
She offered to help anyone who is having any issues with making applications.
James McDowall (241)
He thanked Ashley for this offer and for the assistance she provides to operators and drivers.
Meeting minutes ended: 10.22 am

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Economic Indicators 
Notes
1. The index numbers in the table are taken from the OƯice for National Statistics inflation
time series data, using the series IDs referred to in the table.
2. November 2024 represents the point at which the current North Ayrshire taxi fare scales
were last reviewed and left unchanged. October 2025 is the latest data available at the
time of preparing this report. The ‘Total Change’ column shows the percentage
movement over that period. 
3. Over this period, the general ‘All Items’ CPI index has increased by 3.5%, with motoring
related expenditure increasing at a higher rate of 5.8%. Petrol prices have been broadly
flat overall, while diesel prices have risen modestly. 
4. In addition, the statutory National Living Wage for workers aged 21 and over has
increased from £11.44 per hour (1st April 2024) to £12.21 per hour (1st April 2025), an
increase of 6.7% over the period since the last review. This is relevant to the earnings of
many taxi drivers and to the overall cost base of the trade. 
Index Name November 2024 October 2025 Total Change
All Items
Series ID: D7BT
135.1 139.8 3.5%
Purchase of
Vehicles
Series ID: L543
122.6 124.7 1.7%
Motoring
Expenditure
Series ID: DOCT
606.4 640.6 5.6%
Petrol
Series ID: L7FP
121.5 121.4 -0.1%
Diesel
Series ID: L7FO
122.2 124.4 1.8%

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Taxi Fare Scales 
These are maximum fares – the driver can: 
- choose to charge less than the meter, or 
- agree a fixed fare with the passenger before the journey
starts (so long as the agreed fare is not more than the Scale
fare) 
This is only a draft and has been prepared only to assist discussion.
It cannot be taken as indicating that the Council have decided any
matter or are likely to make a particular decision. 
Tariff 1 (Normal)
Up to the first 3/4 mile - £4.00
Then each mile - £2.30 (in 10p units)
Waiting: up to 10 minutes - £3.50 (and then 10p every 20 seconds or
part) 
Tariff 2 (Higher)
Up to the first 3/4 mile - £4.50
Then each mile - £3.00 (in 10p units)
Waiting: up to 10 minutes - £4.00 (and then 10p every 20 seconds or
part) 
Tariff 2 applies if the journey starts and/or ends: 
- in the period 12.00 p.m. (midnight) to 7.00 a.m. ("Night") 
- on a Sunday 
- on the following Public Holidays:

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Good Friday
early May Bank Holiday
Spring Bank Holiday
Summer Bank Holiday
30 November (St Andrew’s Day) 
If a Bank Holiday is on a weekend, the following Monday is
treated as the Bank Holiday 
Tariff 3 (Festive period) 
If the journey starts AND/OR ends at any time between 7pm on 24
December and 7am on 26 December, or between 7pm on 31
December and 7am on 2 January, the fare is double Tariff 1. 
Boundary Zone Charge 
If the journey is from the Zone for which the vehicle is licensed to
another Zone in North Ayrshire: the fare is whichever of Tariff 1, 2 or
3 would otherwise apply, plus 50%. 
Large Vehicle Charge (5 or more passengers) 
If the vehicle starts by carrying more than 4 passengers, the fare is
charged as an extra 50% on whichever of Tariff 1, 2 or 3 would
otherwise apply. The higher fare applies until the hire ends, even if
some of the passengers leave the vehicle earlier and there are fewer
than 5 left in the vehicle. 
Extra Charges 
Soiling Charge - £50

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Notes 
1. If two Tariffs could apply to a journey, the driver can charge the
higher one. The metered charge is the maximum which can be charged.
The driver can always charge less. 
2. These Scales apply to journeys which both start and end within
North Ayrshire. The Council do not set fares for journeys beyond the
Council area. The passenger and the driver should agree the fare before
the start of the journey. 
3. Luggage shall be carried free if it is of a size which can reasonably
be accommodated in the car. 
4. Tariffs apply as soon as the journey starts and do not change. For
example, if a journey starts at 6.30 a.m. (Tariff 2 is "Higher") but ends at
7.30 a.m. (Tariff 1 is "Normal"), then the fare is still Tariff 2 because the
journey started at night. 
5. The meter can only be started immediately before the vehicle
moves off and must be stopped when the vehicle arrives at its destination.
The meter cannot be used while the vehicle is being loaded before moving
off or being unloaded after the vehicle stops at its destination, unless the
passenger has asked the driver to wait. 
6. There is no extra charge for loading, carrying or unloading
passengers with wheelchairs, assistance animals or anything the
passenger wants to have carried.