Transport for London has brought in new Regulations to raise awareness that London PHV operators are required to contract directly with passengers to provide the journey that is the subject of a booking.
The Divisional Court ruled on 6 December 2021, that in order to operate lawfully under the Private Hire Vehicles (London) Act 1998, a licensed operator who accepts a booking from a passenger is required to enter into a contractual obligation with the passenger to provide the journey which is the subject of the booking.
Regulation 9(14) of the Private Hire Vehicles (London) (Operators' Licences) Regulations 2000 now states:
“The operator shall enter into a contractual obligation as principal with the person making the private hire booking to provide the journey which is the subject of the booking and any such contractual obligation must be consistent with the 1998 Act and these Regulations.”
TfL have also published guidance to assist London PHV operators in relation to considering whether their terms and ways of working need to be changed to ensure they are compliant.