Thursday, May 19, 2016

Action For Cabbies Update : TfL Formally Served.

Action for Cabbies wholly supports and agrees that all taxis should accept credit cards and that passengers are able to pay fares by cards as well as cash; what we do not support is the ban on transaction surcharges and the surcharges being levied against drivers. 

If card payments become as popular as TfL suggest they will be, TfL’s ban is likely to cause annual losses to the taxi industry of over £9m a year, losses the industry can ill afford when it is under unprecedented competition from  minicabs. 

Therefore, Action for Cabbies has funded a claim brought by driver, Mr James Thomas, for a judicial review of TfL’s decision to ban drivers from passing on transaction fees to passengers where they are paying by card. 
The claim was formally served on TfL yesterday, 17 May 2016. 

It is our view – and the view of Rosenblatt (Jim’s lawyers)  - that TfL’s ban is both unfair and irrational. 

A much fairer solution, and one supported by the majority of all respondents during TfL’s 2015 consultation, would have been for TfL to have allowed drivers to charge a surcharge which reflects their transaction fees, but no more than these fees incurred by the driver.  

We very much hope that Jim’s claim will encourage TfL to review its decision and adopt this fairer solution.

Thank you for your continued support, stronger together.
Action for Cabbies.

Editorial Comment:
Of course the CC mandate is a great idea, it brings us inline with most of our competitors. But at the same time, we can't have an open ended agreement where equipment suppliers can raise the odds ever time the opportunity presents itself. 

If the percentage of card users rises in line with TfL's expectations, at present rates, the trade will lose over £9m a year. If the surcharge should rise as contracts come up for renewals, the trade could possibly be losing £18m every year.

It should be left to individual drivers, to decide whether they charge the passenger or not. If using more economical equipment from companies such as iZettle, PayPal or CabApp, all set at around 2.75%, some drivers will feel they can absorb the charge.

But many drivers feel 4-5% plus a 20p transaction charge is an unwelcome expense, which they should be able to claim back from passengers, using their facility. 

The trade has to protect itself and should never agree to any arrangements which may put its future in a precarious position.


paul pablo said...

i don't agree with TFL 9 million the fact is TFL cant force us or anybody to give credit

Anonymous said...

'It's a done deal' said Florida Steve without any consultation with his membership. Effectively we are being forced to bear a 'pig in a poke' where the fee charged can rise and rise without end.

20p on the clock is unfair on the cash rider, I am an IZettle user and am happy to absorb the cost the current rate and that's what TfL and the dimwits could have agreed that anything over 2.75% could be passed on.

The same negotiating skills applied to mobile units, millions in use worldwide but the 'dishonest folk' who drive London Taxis can't be trusted to use them, what an outrageous slur on 25000 people all without a word of protest from the UTG.

If anyone expected the UTG to put up any kind of a fight, history should have educated them otherwise, drip feeding old FOI requests claiming credit from othe orgs actions etc etc. tell you all you need to know.

Expect another wave of full page spreads from 'rip off' card system providers to appear in those shameful trade rags any day now.

Still you know the best deals out there, go get them and have the 'one arm bandit' stripped out.

london black driver said...

all cabs should have credit cards
but the customer should absorb the charges if they wish to pay by credit

Geoffrey Whitehouse said...

Checking my verifone account I've been charged 3.97% commission charges since 1st April. Unfair

Anonymous said...

I agree with Mr Thomas and his stance against TfL's unjust and illegal levy upon small businesspeople (Taxi drivers).
I use iZettle. Depending on the amount of fare and what I deem as fair, I reserve my right to choose if and when I allow my customer free credit.
I believe TfL have no legal right to impose this charge upon a driver. They are a licensing body. They have no say in how I give credit for a fare owed to me.
I also reserve the right to check that a customer has the means to pay, or has enough credit, before the journey commences.
If a customer does not declare their intention to pay by card before the journey commences, I reserve the right to insist upon a cash payment - card is not legal tender.
Good luck with your legal battle, sir.

Anonymous said...

has anyone ever tried to deal with a DECLINED or PROBLEM, Credit Card?

and it's usually when, the passenger's in a rush & they decide to tell you to stop, at a place where, it's impossible to park or wait

Anonymous said...

Credit card acceptance should be the sole traders choice. But tfl's legislation on devices and surchage is unlawful and draconian and puts the rights of the trader below everyone elses

Dizzy Disgruntled said...

I'm right behind you Jim!

Don't sell your soul chaps!

Anonymous said...

Transport for London has the legal right to set the scale of London taxi fares as per the London Cab Order 1934 paras. 40-42, but what they don’t have the legal right to do is state how those fares are paid.

paul pablo said...

the action is unlawful forcing to take credit the surcharge is a water down version of the argument the 9million is customers who would pay cash instead feel that if you don't do what you said we have been sold down the river