Mayor Acknowledges Regulatory Gaps in London’s Private Hire Sector
The Mayor of London has formally recognised a significant loophole in the capital’s transport regulation: passengers using popular private hire booking apps can legally be matched with drivers and vehicles licensed outside London. This practice, known as cross-border hiring, means Transport for London (TfL)—the city’s transport authority—has limited power to enforce its rigorous licensing, safety, and vehicle standards on a substantial portion of the work happening on London’s streets.
The admission came during Mayor’s Question Time on 26 February 2026, in response to a query from Liberal Democrat London Assembly Member Hina Bokhari OBE. Bokhari specifically asked if TfL had considered advising the public to check that their booking is fulfilled by a London-licensed operator to benefit from TfL’s full suite of checks.
Understanding Cross-Border Hiring
In his reply, the Mayor explained the legal framework. Current UK legislation permits a private hire vehicle and its driver, both licensed by one local authority (e.g., a neighbouring county), to operate in another area like London, provided the booking itself is made through a private hire operator that holds a licence in that *original* licensing area. This creates a scenario where a vehicle might be based, inspected, and licensed under different, potentially less stringent, rules elsewhere but spend most of its working time carrying passengers in London.
“Currently, private hire drivers, vehicles and operators must all be licensed by the same licensing authority, and any private hire bookings must be made through that licensed operator,” the Mayor stated. “Where these conditions are met, drivers, vehicles and operators licensed in one area can operate predominantly or exclusively in another. This practice is known as cross-border hiring and is permitted under current legislation.”
The Safety and Standards Challenge
The core concern is one of parity. TfL enforces some of the UK’s most comprehensive standards for private hire vehicles, including stringent vehicle inspections (often more frequent than the national MOT), driver English language proficiency, enhanced DBS checks, and specific vehicle emission requirements. Drivers licensed outside London may not be subject to these same local rules.
“As referenced in your question, drivers and vehicles predominantly or exclusively working outside their licensed area are not subject to the same safety, environmental or operational standards that are enforced locally,” the Mayor conceded. This regulatory patchwork creates enforcement difficulties for TfL. If a vehicle licensed in, for example, Berkshire is involved in an incident or breach in London, TfL’s jurisdiction to investigate or take action against that vehicle or driver is complicated, as their primary licence is held by a different authority.
A Long-Standing Call for National Reform
This is not a new issue for TfL. The authority has been vocal about the problems of cross-border hiring for years. In 2018, TfL published a dedicated policy paper outlining the regulatory difficulties and proposing potential legislative solutions to create a more level playing field and ensure consistent passenger protection across the country.
The Mayor confirmed that advocacy continues. “TfL continues to raise its concerns with Government about cross-border hiring. Most recently, TfL submitted evidence to the Transport Select Committee’s review on taxi and private hire licensing and standards, reiterating the need for reform,” he said.
Industry bodies and other local licensing authorities have echoed these concerns, arguing that the current framework can allow operators to base their fleets in areas with lower licensing costs or requirements while capturing the high-value market of major cities like London. The consensus is that meaningful change can only come from new national legislation, a matter squarely within the remit of the UK Government in Westminster, not the Mayor or TfL.
For now, passengers remain in a situation where the app on their phone may connect them to a driver subject to a different, potentially less rigorous, set of rules—a reality the city’s leaders are actively trying to change at the highest levels of government.
Image Credit: www.taxi-point.co.uk
