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Private hire vehicles: characteristics of a new trend

Discover private hire vehicles
17 Dec 2016

A new means of transport has sparked a trend across Canada and in many other countries: the chauffeur-driven car.

Private hire vehicles: a brand new technology?

The idea is simple: individuals are put in contact with chauffeur companies (like Uber) through geolocalized mobile apps. The private hire drivers can then meet clients’ demands in record time.

This system allows individuals to put their vehicle to public use as an improvised taxi service. Just like car-sharing websites, this system poses its own problems. The surge of these new taxis has sparked controversy: some people believe this system of private hire vehicles is underhand, and that it puts authorized taxi drivers out of business.

Private hire vehicles: unfair competition?

To begin with, you don’t need to have special training, a permit or insurance to start your own chauffeur-driven car service. Secondly, the price of fares is often a lot lower (up to 30% less) than official companies or taxi services.

However, it is important to note that passengers who have used private hire vehicles have said they saved time compared to more traditional taxis since they were able to reserve in advance.

Private hire vehicles: reactions

There has been much outrage amongst professional taxi drivers and trade unionists who have protested against this system. Many want to block it in their countries.

Public authorities not indifferent to the complaints

Public authorities have not ignored demands made by unhappy taxi drivers, and are considering ways to solve the problems posed by this new service – judged by many as illegal. The idea of digital platforms for taxis has already given birth to a wave of mobile apps around Paris designed to put taxis in touch with clients. Public authorities have also introduced regular checks and reports on chauffeur-driven vehicles in case they try to accept clients in the street – a practice which is strictly reserved for professionals with a permit.

What will the future of private hire vehicles be?

There are many ways to react to the growing popularity of vehicles for hire. Considering how innovative this new transport system is, it’s easy to imagine that governmental bodies may soon legislate the practice in order to properly regulate it. This would be beneficial for both clients and drivers. But for now, many countries are still unhappy about the existence of this new service and are simply refusing chauffeur-driven vehicles the right to exist.

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