Jul 2009 13

New Research: Departmental use of Taxis and Chauffeured Cars8

The business of Government, just like any other, often takes people out of the office. Whether for a meeting or an event, civil servants and ministers frequently have to travel, and sometimes a taxi or chauffeured car is the most appropriate way.

But in 2008, 19 (of the 20) Government departments spent in excess of £8 million on taxis and hired private cars between them.   Despite the availability of fairly reliable public transport – and decent pavements – public servants often opted for the more expensive taxi ride even when making a short journey. More worryingly, thousands were spent just paying for taxis to wait.

Not all of this £8 million was spent frivolously. Yet with Government departments under pressure to be more efficient, every penny of this spending must be put under scrutiny. The evidence from 2008 suggests that public officials are using cars for journeys which could be made with a cheaper alternative. Departments must now tighten up their rules, limiting the use of taxis to only the most essential journeys.

Download the full report (PDF).

Key findings

  • 19 (of the 20) Whitehall departments spent more than £8 million on taxis and hired car services between them, averaging over £420,000 per department.

  • Almost £2.5 million was spent on taxis.

  • The remaining £5.5 million was spent on the ‘Government Car and Dispatch Agency’ (GCDA). The Department of Communities and Local Government was the biggest user of the GCDA, spending over £534,000.

  • The Foreign and Commonwealth Office was the biggest spender, with a bill for over £1.2 million just for its operations in the UK.

  • In November 2008, over £6,600 was wasted by just four departments, paying for taxis to wait. This equated to a total of more than 28 hours of waiting.

  • Addison Lee (and its affiliate Premier Despatch) was the most used private company, paid nearly £835,000.

Matthew Elliott, Chief Executive of the TaxPayers’ Alliance, said:

“Current spending on taxis and chauffeured cars is excessive.  When ordinary businesses are trying to save money by getting employees to take the bus, it is only fair that public officials do the same. Some taxi rides on the taxpayers’ pound are unavoidable, but too much is being spent on the luxury of convenience while cheaper options are available.”

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  • Chris Whittington

    Not to mention the possible fraud aspect. It is standard practive by taxi-drivers in London to give an undated receipt for an unspecified amount (fill it in yourself) in exchange for a tip and as many receipts as you want for a tip of £10 or £20
    A taxi receipt is not worth the paper it is written on, yet they together sum to millions.

  • Jon Rome

    Why else would they let taxis use bus lanes?

  • eileen pohl and alan broomhead

    it is totaly unaceptable,this money should
    have been spent on the helicopters badly
    needed in afghanistan that have been stored
    in hangers for 8 years,this is iresponsible
    spending by this government who i am sure
    wont be happy until our army has been decimated,their priority would be different
    if their children were out there.they just
    spend on anything that isnt a priority and
    are happy to do so,they disgust us.

  • C Nash

    “Departments must now tighten up their rules, limiting the use of taxis to all but the most essential journeys.” … this is a strange remark; it means taxis can be used on all journeys EXCEPT the most essential. We are used to nonsense from many of our MPs, but I really would despair if TPA’s level of rigour turned out to be the same.

  • John P Jackson

    “Departments must now tighten up their rules, limiting the use of taxis to all but the most essential journeys.” … this is a strange remark; it means taxis can be used on all journeys EXCEPT the most essential. We are used to nonsense from many of our MPs, but I really would despair if TPA’s level of rigour turned out to be the same.
    ££££££££££££
    No it doesn’t C Nash, you clown. It means the use of taxis should be limited (as in restricted) to non-essential journeys.
    Goodness, what sort of people form the self-appointed Tax Payers Alliance? Lacking in even the most basic comprehension skills.

  • http://profile.typepad.com/6p0120a51e0702970c Northern Monkey

    I know a young girl who was in Care in Rotherham, she (and her mates also in care) used to ring the care home after 10 p.m. when they where ‘at risk’ and demand a taxi to take them the 15 miles back home, on their way through Rotherham they would jump out of the taxi, and then spend all night in Rotherham town centre until around 3 a.m. Then ring up again and get another taxi, this used to go on 6 out of 7 nights. I wonder how much tax payers money is wasted on taxi fare for care homes, can you find out under the freedom of information act! I bet it would open peoples eyes!

  • http://profile.typepad.com/6p0120a51e0702970c Northern Monkey

    On the other hand, I did some work for the BBC, when I had to get from Broadcasting House to White City to get to a meeting, the only way by taxi, I was refused a refund and told to use Public Transport and manage my meetings better! And so right they were, pitty other public organisations can’t take a leaf from the BBC. I know there is all this in the press about BBC Execs expenses, I had a look through them and didn’t think they were that bad.

  • TPA admin

    C Nash
    Thank you for pointing out the confusion in the text above. This has now been amended.