Infrastructure Minister is supporting the local taxi
industry against further tax burdens.
The Minister was speaking after he wrote to Rt Hon. MP, Secretary of State for
Transport, in support of the local taxi industry about a current
consultation exercise by Treasury and Revenue and Customs and
Department of Transport on the VAT Treatment of Private Hire
Vehicles which closes on 8th August.
Minister O'Dowd said: “I very much value the contribution
of the taxi industry to our local economy, employment, tourism
and social inclusion. I believe that, wherever
possible, we should strive to support them.
"I appreciate that this consultation is to understand the
potential tax impact of recent court judgements on the sector and
to invite views on potential government interventions to manage
that impact. But with the decreasing number of taxi drivers
and operators locally and the negative impact that those changes
are having on society especially the most vulnerable, I am
concerned about what additional tax burdens may mean. I
would be concerned that people may be discouraged from staying in
the industry and small operators could go out of business
altogether.
"I encourage our taxi industry to make their views heard in this
consultation because a strong response will provide powerful
evidence to negate the need for further tax burdens on the
sector.”
Notes to editors:
- The Treasury and Revenue and Customs and Department of
Transport The consultation is running until 8 August – more
details here: Consultation on the VAT
Treatment of Private Hire Vehicles - GOV.UK
(www.gov.uk)(external link opens in a new window / tab)
- The Department for Infrastructure regulates the industry in
relation to licences for taxi operators, drivers and vehicles.
