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routeone > Legal > Licence bid fails on main occupation rule concern
Legal

Licence bid fails on main occupation rule concern

routeone Team
routeone Team
Published: April 3, 2018
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Bolton-based Arshad Mohammed Majid has lost his bid for a one-vehicle restricted licence after failing to satisfy Traffic Commissioner (TC) Simon Evans that the PSV operation would remain a sideline to his main occupation.

Mr Majid had sought a new one-vehicle restricted licence at a Golborne Public Inquiry.

When asked what the criteria was for holding a restricted licence, Mr Majid said that the vehicle must be kept in good condition and stay within the laws. He did not know what the main occupation rule was. 

His main occupation was as a private hire taxi driver and he also had a PSV driving licence. He had done some school contract work for Bestways of Bolton and he wanted to branch out doing the same thing. 

Mr Majid also did some managerial work for the taxi firm he drove for, Palcars, but he was self-employed and not an employee of Palcars. The private hire vehicle he used was his own minibus, an 18-seater which had been downgraded to eight seats. Palcars had not asked him for any invoices in the past and he did not invoice Bestways, as he was being paid cash in hand by the firm. That was not declared on his tax return as it was not a great amount. At the moment his work was 95% private hire and 5% for Bestways. If a licence was granted, he estimated that it would be 60% private hire and 40% PSV. He estimated that a school contract would bring in roughly £50 a day, say £1,200 a month.

The TC pointed out that up to £500 a week could be earned from a school contract.

In reply to the TC, Mr Majid said that he earned £1,000 a week from his main occupation.  He could either upgrade his existing minibus and buy a car with a private hire plate for £600 or buy a 16-seater minibus for £2,000. He agreed that he had withdrawn applications for a restricted licence in 2015 and 2016, saying that he did not go through with them as he had felt that it was a bit much for him at the time. When asked why, in the current application form, he had answered the question whether he had applied for a licence previously with ‘no’, he said that he had not read the question properly.

Refusing the application after hearing financial evidence in private, the TC said that Mr Majid had failed to satisfy him that he met the main occupation test, namely that the PSV operation would always be a sideline. 

The figure for the private hire earnings did not convince him that it would be his main occupation, even only operating a minibus on one school contract.

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