MINICAB LINK
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An essential tool box for all private hire drivers working in London
The Minicab Link app is an essential tool box for all private hire drivers working in London
Minicab Link website introduces and links to the Minicab Link App that will offer products and services tailored for the
private hire driver, with special discounts for VIP members.
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drivers, we have researched the needs of our members and partnered with these selected retailers and service providers to
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Driver Cap per Operator License: A Proposal for Fairer Ride-Hailing Regulation
01
Purpose: Why This Matters
This proposal aims to reshape the UK’s ride-hailing landscape by introducing statutory limits on the number of drivers per operator license.
- Promote fair competition
- Empower drivers with more operator choices
- Improve pricing transparency
- Strengthen regulatory oversight
02
Problem Statement: Current Challenges
The ride-hailing market is increasingly dominated by platforms operating tens of thousands of drivers under a single license. This creates:
- Market distortion and reduced competition
- Barriers to entry for smaller operators
- Limited bargaining power for drivers
- Opaque and unpredictable fare algorithms
03
Case Study: Fare Discrepancy Across Identical Journeys
Minicab Link conducted an experiment, where four users requested Uber rides with identical parameters:
- Same pickup and destination postcodes
- Same time window
- Same service tier (e.g., UberX)
Findings:
Each user received a different fare quote, ranging from £X to £Y. Despite identical journey conditions, pricing varied—suggesting algorithmic personalization.
Possible Variables Influencing Fare:
- Account history and ride frequency
- Device type (iOS vs Android)
- Payment method
- App usage behavior
- Promotional eligibility
04
Legal Context
Under UK law, personalized pricing is permissible if it meets three key criteria:
- Transparency: Users must understand how prices are calculated
- Non-discrimination: Pricing must not unfairly target protected groups
- Non-exploitation: Vulnerable users must not be taken advantage of
Uber’s current model lacks sufficient transparency to confidently meet these standards.
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05
Ethical Implications
- Opaque Algorithms: Riders and drivers are unaware of fare and commission calculations
- Disproportionate Commissions: Uber’s cut increases with trip value, reducing driver earnings
- Reduced Driver Pay: Longer trips yield lower per-minute earnings for drivers
- Consumer Trust:
- Fare unpredictability erodes user confidence
06
Proposed Solution: Tiered Licensing Caps
Introduce a tiered system to limit driver numbers per operator license:
Tier Driver Cap Oversight Level
Tier 1 Up to 500 Standard
Tier 2 Up to 2,000 Moderate
Tier 3 Up to 5,000 Enhanced
07
Market Concentration Analysis (HHI Index)
Company Market Share (%) Squared Share
Uber 45 2025
Bolt 20 400
FreeNow 10 100
Gett 8 64
Addison Lee 7 49
Ola 5 25
Wheely 3 9
Others 2 4
Total HHI 2676
Interpretation:
The UK ride-hailing market is highly concentrated. While Uber is not a legal monopoly, its dominance warrants regulatory scrutiny.
08
Recommendations
Recommendation
- Mandatory Fare Breakdown
- Algorithmic Audits
- User Consent Protocols
- Commission Caps
Rationale
- Disclose fare composition to riders and drivers
- Independent review of pricing logic for fairness and bias
- Inform users when personalised pricing is applied
- Limit Uber’s cut during surge pricing to protect drivers and consumers
Benefits of Implementation
Benefit
- Fairer Market Access
- Driver Empowerment
- Pricing Competition
- Regulatory Clarity
Impact
- Smaller operators can compete
- More operator choices and flexibility
- Transparent, competitive fares
- Easier enforcement and audits
Objective
To promote fair competition, reduce market concentration, and improve driver autonomy by limiting the number of drivers that can operate under a single private hire operator license.
Key Points Summary
- Dominant platforms onboard tens of thousands of drivers under one license, distorting the market
- Proposal introduces statutory caps per license tier
- Encourages license diversification and multi-operator affiliation
- Benefits include increased competition, fairer pricing, driver empowerment, and improved oversight
- Implementation requires data sharing mandates, a 12–18 month transition period, and enforcement mechanisms
Implementation Strategy
How It Can Work:
- Mandate driver count disclosures
- Provide a 12–18 month transition period
- Enforce through fines, license suspension, or divestiture
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Apply for a private hire driver licence
All licensed private hire drivers must work for a licensed private hire operator.
Apply for a private hire vehicle licence
Any vehicle that seats up to eight passengers and is available for hire with a driver requires a private hire
vehicle (PHV) licence.
It is the responsibility of the vehicle owner to apply for a licence.
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you’ll save time and be more efficient.
At Minicab link we aim to support our members in all aspects of their working day, from help and advice from selected industry related professionals and advisors to getting discounts for various retailers and suppliers.
Discounts
Minicab Link have negotiated and partnered with top suppliers to give our members specials discounted prices on selected goods and services
Resources
The team at Minicab Link will be ready and willing to help and advice our members 7 days a week.
We will be holding regular live advice session with specialist advisors every month
Safety, equality and regulatory understanding requirement
Transport for London have introduced a requirement for applicants for a London private hire vehicle (PHV) driver's licence to demonstrate an understanding of safety, equality and regulatory matters. The requirement came into force on 1 October 2021 and it applies to both new applicants and those applying to renew their licence.
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