The National Transport Authority (NTA) has recommended a 9% increase in taxi fares in Ireland, following a comprehensive review of the costs associated with operating a taxi service. This recommendation comes after the NTA’s regular two-yearly review, which examined various factors such as inflation, fuel prices, and the general economic situation.
The NTA’s latest review, conducted between November 2023 and March 2024, highlighted that the costs of running a taxi service have increased by approximately 9% since the last review in 2022. This increase is attributed to several factors, including rising fuel prices, inflation, and the economic impact of Brexit and the COVID-19 pandemic. The review also noted that the number of registered taxis in Ireland has increased by 2% since 2022, but remains 7% lower than pre-pandemic levels.
The proposed fare increase aims to reflect these higher operating costs and ensure that taxi drivers can continue to provide their services sustainably. The NTA has launched a public consultation on the proposed fare increase, inviting feedback from the public until August 16, 2024. This consultation is part of the NTA’s efforts to balance the needs of both taxi drivers and passengers, ensuring that fares remain fair and reasonable.
The previous fare review in 2022 resulted in an average fare increase of 12%, with nighttime fares rising by 17% to incentivise drivers to operate during peak demand times. The NTA’s latest recommendation follows this trend, aiming to address the ongoing economic challenges faced by taxi drivers while also considering the potential impact on consumer demand.
Research conducted for the NTA shows that 52% of all taxi journeys are for social reasons, with demand being strongest on Fridays and Saturdays. The NTA’s household survey also revealed that the cost of living is affecting the demand for taxis, with 43% of respondents using taxis less frequently due to lower disposable incomes and reduced socialising. Despite these challenges, the NTA’s review found that public transport options, such as buses, trams, and trains, are becoming more affordable and accessible, particularly with the introduction of discounted Leap Card fares.
