Taxi Driver Online

Call for all licensed taxi drivers in Medway to accept card payment

It could soon be compulsory for all licensed taxi drivers across Medway to accept card payment – despite significant opposition from some cabbies.

A recent survey among drivers showed that 52% were in favour of implementing the new policy.

The 48% against cited inadequate mobile data signal data in certain areas and extra charges incurred by card transactions as reasons for opposing the plan.

While 60% of members of Medway Licensed Taxi Drivers Association (MLTDA) already take non-cashless fares, the issue to make it mandatory was highlighted during lockdown with passengers considering it a safer and more convenient form of payment.

It also highlighted safeguarding issues with examples of some people stranded late at night because they did not have cash on them.

Now Medway Council, which licences to MLTDA drivers, is calling for electronic payment devices to be installed in the entire licensed and private hire fleet.

Nigel Jackson, MLTDA chairman, said: “Several issues were raised by the trade during this consultation, the main sticking point being the signal outages in parts of Medway especially in the Hoo Peninsula.

“In order for a card transaction to be made in the vehicle there needs to be a mobile data signal present. Since mid 2020 the mobile data signal strength has improved considerably with the introduction of 5g networks and in general there has been a vast improvement of mobile data signals across the whole of Medway.”

Some were concerned they would be out-of-pocket if the card was declined for some reason.

He added: “It must be pointed out that several of our senior Taxi and Private Hire drivers do have difficulty in using technology. Some drivers are technophobic so using a card reader/terminal to take payment efficiently will be a big hurdle to overcome

“The MLTDA team is always there as a support network for any driver that may face difficulty. If the card mandate is authorised by the committee the MLTDA team intends to set up workshops to assist and advise any driver that may have difficulty in adapting to this new method of payment

The council’s licensing meeting will meet on Wednesday to discuss the proposal.

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IDFIMH

Nothing particularly new here, but on the other hand it demonstrates how ridiculous it all is if this rigmarole has to be replicated in every one of the UK's 350 or so licensing authorities. I mean, will any NOT be mandating automated payments in ten years time?

I suspect not, so it's not as if some authorities will have good reason never to go down this route.

And if we're still allowed to accept cash in ten years' time, then maybe that's about as much as we could hope for. (And, of course, at the other extreme, and Uber-style guaranteed payment method would have its advantages.)

Haven't bothered correcting the normal spelling mistakes, but spot the clanger regarding payment methods

(Wrote the above yesterday as a preamble, but Sussex just beat me to posting the article, so stored the above in my drafts. It's not very exciting, but rather than pressing the delete key...)

That should read "60% of members of Medway Licensed Taxi Drivers Association (MLTDA) already take cashless fares...", surely?


Anyway, quite an astute observation in the comments section, but I suspect there will always be a small minority of the very oldest drivers who simply wouldn't be able to manage the technology.

Of course, one day they will leave the trade for one reason or another, therefore...

of course the commentator has missed the main reason and that is that card payments are visible to the taxman cash payments are not unless you choose to make them visible.

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lack of modern legislation is the iceberg sinking the titanic of the transport sector

Card payments are more visible to the taxman than cash, Edders, but neither cash nor card payments are absolutes as regards compliance and all that.

I mean, HMRC might conceivably investigate your income, expenditure, assets, bank records etc, and come to conclusions based on that, even if you're an all-cash business.

By the same token, nothing to stop the likes of the drivers in Medway misstating their card income on their tax return. But, of course, if it's investigated then there's more of a concrete evidential trail as far as HMRC compliance is concerned.

But in general terms you make a fair point. A few weeks ago I meant to post an article from TaxiPoint about why drivers don't like card payments. The article was mainly about the tech side etc.

However, the tax compliance angle wasn't mentioned at all

Not that that worries me, because I make sure the card payments in my accounts reconcile to the historical records provided by Zettle.

However, the other big reason drivers don't like cards was also omitted by TaxiPoint, and that is one reason I don't like them personally. And that's another t-word