The minibus industry is grappling with a growing threat posed by illegal operators and unscrupulous brokers that are undermining legitimate businesses and posing a serious risk to public safety, an anonymous source has warned.
The message comes from an operator within the minibus sector who highlights a lack of sufficient regulatory enforcement, and a need for stronger action from authorities such as DVSA, against rogue brokers and operators.
According to the source, the problem has worsened since the pandemic. They claim that illegal minibus operators are increasingly undercutting O-Licenced businesses by sidestepping regulations and avoiding necessary licensing. These operators secure work through so-called “pop-up brokers” as well as local advertising platforms such as Facebook and Gumtree, exploiting those gaps
in regulatory oversight.
Enforcement call
Public safety is the chief concern surrounding such unlicensed operators. A lack of oversight allows vehicles to be run without tachographs, speed limiters, or the necessary MoT and safety inspections. The risk extends to insurance, with the source explaining that many operators manage to obtain insurance without O-Licence checks, leaving passengers vulnerable While DVSA has been made aware of these illegal operators, frustration has been expressed at a perceived lack of response from the agency. The source calls for a dedicated taskforce to handle reports of illegal operators more efficiently, with clearer communication and follow-up with those who report the offenders.
“DVSA and the police are always in the wrong place at the wrong time,” they add. “They need to be at Edinburgh airport on a Friday morning between 0300-0600hrs, when stag and hen parties fly away for the weekend. They need to be at Ayr Races, where earlier in the year, I spotted over 20 minibuses without O-Licence discs in just 60 minutes. They need to be in city centres, around music concerts and nights out.
“I suspect this issue is just not on DVSA’s radar, as the only reported minibus I saw being impounded was an English operator at Stirling Castle. I firmly believe DVSA needs a dedicated team where intelligence reports can be sent direct.
“At the moment, we receive generic emails back that the intel has been forwarded to a local team. It never replies back, and it’s evident that when one person has been reported multiple times, nothing happens. I’m starting to think it’s going to take an accident or a fatality for the authorities to notice.”
‘Rogue’ brokers
A key factor in enabling the function of illegal operators is the role played by rogue brokers. While legitimate brokers adhere to strict standards, others do not.
One of the worst offenders is known to trade under multiple names and through multiple websites, the source claims, making it difficult for customers to trace its true origins. Many rogue brokers do not list street addresses or local phone numbers, and instead direct customers to overseas call centres.
“The pattern is always the same,” the source claims. “Websites with no real address or local contact, just brokers pushing work to the cheapest, and often illegal, operators.”
The call for more stringent regulation of brokers within the sector has been welcomed by aggregator Coach Hire Comparison (CHC), which has seen an increase in the number of pay-per-click broker websites since 2022. It too has faced problems with rogue brokers using its own site to sell vehicles on to consumers dishonestly.
Summer peak
Head of CHC Matt Hanson notes a rise in such sites at peak seasons. “While it is a year-round problem, there is a huge spike over a six-to-eight-week summer window, where many distress purchases are made by consumers.
“The key is that this is not a regulated industry. CHC would welcome that, as it’s important to get third-party provision right. We spend a lot on compliance and audits, and the functionality that sits within our business. Operators understand the need for these different pillars and costs.
“Sadly, post-COVID, many of these brokers have appeared, and we don’t know where they exist. They are not UK based, there is no limited company. There are non-geographical telephone numbers, so they cannot be traced.
“Just as we work closely with trade bodies, we need all third-party provision to follow a similar footprint. We would welcome a roundtable that would include leading providers like ourselves to work with operators and bring this side of the industry into uniformity. That could be a code of conduct or accreditation.”
CHC Co-Founder James Stokes would welcome closer working between regulatory and enforcement bodies and third-party brokers. “We can report things on a regular basis but owing to the number of operators we work with, it would be good for us to have an open line to the Office of the Traffic Commissioner,” he says. “There is a need for what we are doing within the industry. But it’s important to do this right, and to highlight those that are.”
DVSA response
DVSA says it responds to intelligence reports about illegal operations in addition to its follow-up investigations in relation to roadside encounters involving vehicles which are operating without a valid O-Licence.
The Agency says it prioritises resources based on risk, so the more information provided in the intelligence, “the more focused any investigation can be.”
DVSA’s intelligence teams also regularly work in partnership with other agencies to share information and inform its targeting of illegal operators.
It says increased use of the automatic number plate recognition (ANPR) service and roadside monitoring equipment is helping to improve its remote targeting capability for serial offenders.
“DVSA’s role is to protect people from unsafe vehicles and drivers,” a spokesperson tells routeone. “Through our own enforcement action and working with the Traffic Commissioners for Great Britain, we are committed to tackling illegal operation of commercial vehicles.
“DVSA takes the issue of illegal operation seriously and we have the power to impound vehicles which are found to be operating without a valid O-Licence.
“DVSA responds to intelligence reports about illegal operation and also carries out follow-up investigations in relation to roadside encounters involving vehicles which are operating without a valid O-Licence. DVSA has enforcement teams across the country continually monitoring for serially non-compliant offenders to ensure passenger safety, protect fair competition, and help maintain the safety of UK roads.”
