Public Passenger Vehicles Act 1981

PART I — Preliminary

Definition and classification of public service vehicles

Definition of " public service vehicle "

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• (1) Subject to the provisions of this section, in this Act “public service vehicle” means a motor vehicle (other than a tramcar) which—

• (a) being a vehicle adapted to carry more than eight passengers, is used for carrying passengers for hire or reward; or

• (b) being a vehicle not so adapted, is used for carrying passengers for hire or reward at separate fares in the course of a business of carrying passengers.

• (2) For the purposes of subsection (1) above a vehicle “is used” as mentioned in paragraph (a) or (b) of that subsection if it is being so used or if it has been used as mentioned in that paragraph and that use has not been permanently discontinued.

• (3) A vehicle carrying passengers at separate fares in the course of a business of carrying passengers, but doing so in circumstances in which the conditions set out in Part I, . . . or III of Schedule 1 to this Act are fulfilled, shall be treated as not being a public service vehicle unless it is adapted to carry more than eight passengers.

• (4) For the purposes of this section a journey made by a vehicle in the course of which one or more passengers are carried at separate fares shall not be treated as made in the course of a business of carrying passengers if—

• (a) the fare or aggregate of the fares paid in respect of the journey does not exceed the amount of the running costs of the vehicle for the journey; and

• (b) the arrangements for the payment of fares by the passenger or passengers so carried were made before the journey began;

and for the purposes of paragraph (a) above the running costs of a vehicle for a journey shall be taken to include an appropriate amount in respect of depreciation and general wear.

• (5) For the purposes of this section, . . . and Schedule 1 to this Act—

• (a) a vehicle is to be treated as carrying passengers for hire or reward if payment is made for, or for matters which include, the carrying of passengers, irrespective of the person to whom the payment is made and, in the case of a transaction effected by or on behalf of a member of any association of persons (whether incorporated or not) on the one hand and the association or another member thereof on the other hand, notwithstanding any rule of law as to such transactions;

• (b) a payment made for the carrying of a passenger shall be treated as a fare notwithstanding that it is made in consideration of other matters in addition to the journey and irrespective of the person by or to whom it is made;

• (c) a payment shall be treated as made for the carrying of a passenger if made in consideration of a person’s being given a right to be carried, whether for one or more journeys and whether or not the right is exercised.

• (6) Where a fare is paid for the carriage of a passenger on a journey by air, no part of that fare shall be treated for the purposes of subsection (5) above as paid in consideration of the carriage of the passenger by road by reason of the fact that, in case of mechanical failure, bad weather or other circumstances outside the operator’s control, part of that journey may be made by road.

Classification of public service vehicles as stage, express or contract carriages

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Traffic Areas and Traffic commissioners

Traffic areas

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• (1) For the purposes of this Act Great Britain shall be divided into the Metropolitan, Northern, Yorkshire, North-Western, West Midland, East Midland, Eastern, South Wales, Western, South-Eastern and Scottish Traffic Areas.

• (2) The Secretry of State may from time to time by order vary the provisions of this Act constituting traffic areas, either by altering the limits of an existing traffic area or by increasing or reducing the number of traffic areas or otherwise as he may think fit.

• (2A) The power to make an order under subsection (2) above includes power to make—

• (a) such incidental, consequential, supplemental or transitional provision, and

• (b) such savings,

as the Secretary of State may consider necessary or expedient for the purpose of, or in consequence of, or for giving full effect to, any order under that subsection for varying the number or limits of traffic areas in England and Wales.

• (2B) The power conferred by subsection (2A) above includes power to amend or modify any provision of this Act or any other enactment (whenever passed or made) for the purpose of making any such provision or savings.

• (2C) The powers conferred by subsections (2A) and (2B) above are without prejudice to what may be done under subsection (3) below.

• (3) An order under this section for varying the number or limits of traffic areas may contain such consequential and incidental provisions as appear to the Secretary of State to be necessary or expedient in consequence of the variations of areas to be affected by the order, including provisions—

• (a) as to the effect of licences previously issued, and consents previously given, by a traffic commissioner;

• (b) as to the effect of applications for licences or consents previously made to a traffic commissioner;

• (c) as to the continuance of appeals pending against decisions of a traffic commissioner; and

• (d) as to the recovery of any sums due to a traffic commissioner,

in relation to any traffic area abolished or changed.

• (4) The power to make orders conferred by this section shall be exercisable by statutory instrument which shall be laid before Parliament after being made, and an order under this section shall not have effect unless and until it has been approved by a resolution of each House of Parliament.

Traffic commissioners

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• (1) For the purposes of this Act there shall be—

• (a) such number of commissioners for England and Wales as the Secretary of State may consider appropriate; and

• (b) a single commissioner for the Scottish Traffic Area (the “Scottish traffic commissioner”).

• (2) The commissioners shall be appointed by the Secretary of State and shall be known as traffic commissioners.

• (3) A traffic commissioner shall be responsible for issuing licences under this Act and shall have such other functions as are given to him by, or in pursuance of, this Act or any other enactment.

• (3A) A traffic commissioner for England and Wales—

• (a) may exercise the functions of a traffic commissioner in any traffic area in England and Wales; and

• (b) may exercise in relation to the Scottish Traffic Area any functions of a traffic commissioner that relate to reserved matters within the meaning of the Scotland Act 1998.

• (3B) The Scottish traffic commissioner—

• (a) is to exercise the functions of a traffic commissioner in relation to the Scottish Traffic Area; and

• (b) may exercise in relation to any traffic area in England and Wales any functions of a traffic commissioner that relate to reserved matters within the meaning of the Scotland Act 1998.

• (4) Any person appointed to be a traffic commissioner shall—

• (a) act under the general directions of, and shall have regard to any guidance given by, the senior traffic commissioner; and

• (b) vacate his office on attaining the age of 75, but otherwise hold office during Her Majesty’s pleasure.

• (5) Where the Secretary of State proposes to appoint a person to be a traffic commissioner he shall, before making the appointment, require that person to declare if he has any, and if so what, financial interest in any transport undertaking which carries passengers or goods by road within Great Britain.

• (6) Schedule 2 to this Act shall have effect with respect to traffic commissioners.

Appointment and terms of service of traffic commissioners

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• (1) Every traffic commissioner shall publish, in such form and at such times as may be prescribed, such information with respect to the exercise, or proposed exercise, of any of his functions under this Act or the Transport Act 1985 as may be prescribed.

• (2) Where a traffic commissioner publishes information under this section he shall—

• (a) send a copy of the publication—

• (i) to every chief officer of police, Passenger Transport Executive and local authority whose area the traffic commissioner considers may be affected by the information; and

• (ii) if the traffic commissioner considers that the information may affect Greater London, to Transport for London; and

• (b) make a copy of it available (by post if required and on payment of such fee as may be prescribed) to anyone who asks for one.

• (3) In this section “local authority” means—

• (a) in England and Wales, the council of any non-metropolitan county, any district or London borough or the Common Council of the City of London; and

• (b) in Scotland, any council constituted under section 2 of the Local Government etc. (Scotland) Act 1994.

PART II — General Provisions Relating to Public Service Vehicles

Fitness of public service vehicles

Certificate of initial fitness (or equivalent) required for use as public service vehicles

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• (1) Subject to subsection (1ZA) below, A public service vehicle adapted to carry more than eight passengers shall not be used on a road unless—

• (a) an examiner appointed under section 66A of the Road Traffic Act 1988 or an authorised inspector has issued a certificate (in this Act referred to as a “certificate of initial fitness”) that the prescribed conditions as to fitness are fulfilled in respect of the vehicle; or

• (b) a certificate under section 10 of this Act has been issued in respect of the vehicle; or

• (d) one of the following certificates has effect with respect to the vehicle―

• (ai) a GB certificate of conformity;

• (i) a relevant certificate of conformity;

• (ii) a ... small series certificate of conformity;

• (iii) an individual approval certificate.

• (1ZA) In the case of a public service vehicle to which subsection (1ZB) below applies, subsection (1) above has effect as if paragraphs (a) and (b) of that subsection were omitted.

• (1ZB) This subsection applies to any public service vehicle which, by virtue of regulation 21 of the Approval Regulations, may not—

• (a) be granted a first licence under section 21 of the Vehicle Excise and Registration Act 1994, or

• (b) be registered before the issue of a first licence under that section,

unless one of the certificates mentioned in paragraph (d) of subsection (1) above has effect with respect to the vehicle.

• (1A) Without prejudice to the powers of the Secretary of State under section 7 of this Act in relation to the exercise by certifying officers of their functions, regulations may make provision with respect to the examination of vehicles for the purposes of subsection (1)(a) above by or under the direction of authorised inspectors and the issue or refusal of certificates of initial fitness by such inspectors on any such examinations.

• (2) Subject to section 68(3) of this Act, if a vehicle is used in contravention of subsection (1) above, the operator of the vehicle shall be liable on summary conviction to a fine not exceeding level 4 on the standard scale.

• (3) In this section—

• “Approval Regulations” means the Road Vehicles (Approval) Regulations 2020;

• ...

• “GB certificate of conformity” means—a GB certificate of conformity within the meaning of Article 3(5B) of the Type Approval Regulation, ora certificate of conformity issued under section 57(1) of the Road Traffic Act 1988;

• “individual approval certificate” means a certificate issued under regulation 18(10) of the Approval Regulations;

• ...

• “relevant certificate of conformity” means—a UK (NI) certificate of conformity, as defined in Article 3(5C) of the Type Approval Regulation, orin a case where the vehicle—was in the United Kingdom before IP completion day;is a qualifying Northern Ireland good, within the meaning of section 47 of the United Kingdom Internal Market Act 2020; oris approved as a type vehicle under section 55(1A) or (1D) of the Road Traffic Act 1988,an EU certificate of conformity, as defined in Article 3(5A) of the Type Approval Regulation;

• “small series certificate of conformity” means a certificate issued under regulation 16(7) of the Approval Regulations;

• “Type Approval Regulation” means Regulation (EU) 2018/858 of the European Parliament and of the Council of 30 May 2018 on the approval and market surveillance of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles.

Certifying officers and public service vehicle examiners

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Powers of, and facilities for, inspection of public service vehicles

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—(1)

• (1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (3) The Secretary of State may—

• (a) provide and maintain stations where inspections of public service vehicles . . . may be carried out;

• (b) designate premises as stations where such inspections may be carried out; and

• (c) provide and maintain apparatus for the carrying out of such inspections;

and in this Act “official PSV testing station” means a station provided, or any premises for the time being designated, under this subsection.

Power to prohibit driving of unfit public service vehicles

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Approval of type vehicle and effect thereof

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• (1) Where the Secretary of State is satisfied in respect of one vehicle of a particular type that the prescribed conditions as to fitness are fulfilled in respect of the vehicle he may, on payment of the prescribed fee, approve the vehicle as a type vehicle.

• (2) Where a type vehicle has been approved under this section and a declaration in the prescribed form has been made by a person authorised by the Secretary of State in that behalf that any other vehicle conforms in design, construction and equipment with the type vehicle, an examiner appointed under section 66A of the Road Traffic Act 1988 may, after examining if he thinks fit that other vehicle, issue a certificate in the prescribed form that the vehicle conforms to the type vehicle.

• (3) The Secretary of State may at any time withdraw his approval of a type vehicle and thereafter no certificate that any other vehicle conforms to the type vehicle shall be issued; but as regards any such certificate previously issued, the withdrawal of the approval shall not affect the operation of that certificate for the purposes of section 6 of this Act.

Modification of section 6 in relation to experimental vehicles

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• (1) Where it appears to the Secretary of State expedient to do so for the purpose of the making of tests or trials of a vehicle or its equipment, he may by order made in respect of that vehicle for the purposes of section 6 of this Act dispense with such of the prescribed conditions as to fitness referred to in subsection (1)(a) of that section as are specified in the order.

• (2) While such an order is in force in respect of a vehicle, section 6 of this Act shall have effect in relation to the vehicle as if the prescribed conditions as to fitness referred to in subsection (1)(a) of that section did not include such of those conditions as are dispensed with by the order.

• (3) An order under this section shall specify the period for which it is to continue in force, and may contain, or authorise the imposition of, requirements, restrictions or prohibitions relating to the construction, equipment or use of the vehicle to which the order relates.

• (4) Where an order under this section in respect of a vehicle is revoked or otherwise ceases to have effect, any certificate of initial fitness issued under section 6 of this Act in respect of the vehicle while the order was in force shall, for the purposes of that section as regards any use of the vehicle after the order has ceased to have effect, be deemed never to have been issued.

Public service vehicle operators’ licences

PSV operators' licences

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• (1) A public service vehicle shall not be used on a road for carrying passengers for hire or reward except under a PSV operator’s licence granted in accordance with the following provisions of this Part of this Act.

• (1A) Subsection (1) applies in spite of Article 1.4(b) and (c) of the 2009 Regulation (exemptions unless otherwise provided in national law for certain undertakings engaged in road passenger transport services and for slow vehicles), but is subject to section 46 of this Act and section 18 of the Transport Act 1985

• (2) The authority having power to grant a PSV operator’s licence is a traffic commissioner.

• (3) A person may hold two or more PSV operator’s licences but shall not at the same time hold more than one such licence in relation to the same traffic area.

• (3A) Subject to the provisions of this Part of this Act, a PSV operator’s licence authorises the holder to use anywhere in Great Britain a vehicle which has as its operating centre an operating centre specified in the licence.

• (4) An application for a PSV operator’s licence shall be made in such a form as a traffic commissioner may require, and an applicant shall give the traffic commissioner dealing with the application such information as he or another traffic commissioner may reasonably require for disposing of the application.

• (5) Subject to section 68(3) of this Act, if a vehicle is used in contravention of subsection (1) above, the operator of the vehicle shall be liable on summary conviction to a fine not exceeding level 4 on the standard scale.

Classification of licences

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• (1) A PSV operator’s licence may be either a standard licence or a restricted licence.

• (2) A standard licence authorises the use of any description of public service vehicle and may authorise use either—

• (a) on both national and international operations; or

• (b) on national operations only.

• (3) A restricted licence authorises the use (whether on national or international operations) of—