TAXI FARES
50. Local licensing authorities have a duty under section 17 of the 1982 Act to fix the scales for fares and all other charges in connection with the hire of taxis in their area and have a duty to review the resultant fare scales at intervals not exceeding 18 months.
51. In the conduct of a tariff review, authorities are advised as best practice to pay particular regard to advice contained in paragraphs 2.34 - 2.37 of Scottish Development Department Circular 25/1986. The Circular advises on the frequency of reviews, need for consultation, relevant considerations and the right of appeal.
52. With regard to appeals to the Traffic Commissioner, authorities will wish to have regard to advice contained in paragraphs 2.38 - 2.42 of Circular 25/1986 and the procedural rules set out in The Licensing and Regulation of Taxis (Appeals in Respect of Taxi Fares) (Scotland) Order 1985.
53. Taxi fares are a maximum, and in principle are open to downward negotiation between passenger and driver. It is not good practice, however, to encourage such negotiations at rank, or for on-street hailings as there would be risks of confusion and security problems. But licensing authorities can usefully make it clear that published fares are a maximum, especially in the context of telephone bookings, where the customer benefits from competition. There is more likely to be a choice of taxi operators for telephone bookings, and there is scope for differentiation of services to the customer's advantage (for example, lower fares off-peak or for older people).
54. There may be a case for allowing any taxi operators who wish to do so to make it clear - perhaps by advertising on the vehicle - that they charge less than the maximum fare.