Almost 2,000 private hire taxi drivers living in Derby are licenced by Wolverhampton City Council – fuelling concerns over “out-of-town” licensing and claims that cheaper and easier applications are undermining local trade.
A Freedom of Information (FOI) request revealed that, as of July, 1,796 drivers with a DE postcode were registered with Wolverhampton – more than 40 miles away. Alongside this, over 1,200 vehicles belonging to Derby-based drivers were also licenced in Wolverhampton, leaving Derby City Council with no direct control over their safety checks or standards.
Derby Taxi Drivers Say Local Trade Is “Being Killed”
The FOI comes just weeks after renewed calls to close the licensing “loophole” that allows drivers to live and work in Derby but operate under the rules of another authority.
A Derby taxi driver, who asked not to be named, said:
“In Derby we have around 640 private hire drivers licensed by the city council – the rest are registered elsewhere. These rules on buying newer cars only apply to Derby drivers. It’s killing the trade for local drivers while thousands from other councils operate here with different standards.”
Derby driver Scott Baldwin echoed the concerns, saying the lack of national standards creates an uneven playing field:
“It used to be considerably more. Without national standards, councils have no command and control for out-of-town licences. We all should have a level playing field.”
Wolverhampton Defends Its Licensing System
Wolverhampton City Council has faced mounting criticism in recent years for issuing licences to drivers across the UK. However, the authority insists its processes are robust and prioritise public safety.
A Wolverhampton spokesperson said:
- It is illegal for councils to refuse applicants based on where they live.
- Councils also cannot impose a cap on private hire licences.
- Safeguarding is the “number one priority”, with drivers undergoing training and strict assessments before being granted a licence.
- The council operates three compliance teams – in Wolverhampton, the East Midlands, and the North of England – carrying out checks every weekend across the country.
The council added that licence fees are ring-fenced by law and cannot be used for profit.
Local Councillors Raise Safety Concerns
Derby councillor Martin Rawson, who sits on the licensing committee, said the situation leaves the council unable to properly monitor vehicles on its roads.
“The concern is those taxis are not monitored in the same way as Derby licenced taxis are. Those registered with us we can inspect and put checks on. There are lots of taxis outside Derby City Council’s control and it has been a long-standing issue.”
Calls Grow for National Standards
Taxi drivers, trade bodies and councils have long called for national licensing standards to ensure consistency across the country. Without them, local authorities remain restricted by legislation that allows drivers to seek licences wherever they choose.
For Derby’s drivers, the concern is clear – unless changes are made, out-of-town licensing could continue to erode local trade while weakening the city’s control over road safety.
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