11 Mar 2009

Rise in registration fees not welcomed by taxis

2:48 pm on 11 March 2009

Taxi drivers say they cannot afford the latest increase in car registration fees in tough economic times.

The Government is to increase Accident Compensation Corporation levies on car registrations from July to meet the rising cost of ACC medical bills.

It raises the ACC component of registering a car by $32 to $168.

Taxi Federation executive director Tim Reddish says other costs are also rising, such as insurance premiums and drivers' incomes are decreasing.

He says it is too early to say whether the increase will be passed onto passengers, but drivers do not want to raise prices in tough economic times.