Education Authority paying out up to £83 per mile to taxi operators

The cash-strapped Education Authority (EA) is paying out up to £83 per mile to taxi firms who provide services such as transporting children to school.

Information obtained by the Press Association has also revealed that more than £20 million was paid out to just five taxi operators in Northern Ireland by the EA in the last financial year.

The chairman of Stormont’s education committee has described the figures as a “matter of serious concern”.

The EA, which delivers school services in Northern Ireland, recently announced savings measures as it attempts to plug a £300 million shortfall in its budget.

This has included renegotiating payments to taxi operators who provide services such as transporting some children to school.

The EA recently wrote to operators, asking them to reduce their rates by 10%.

The bill has doubled in recent years, attributable in part to a sharp rise in the number of children with Special Educational Needs (SEN) who are taken to school by taxi.

Information provided by the EA revealed that:

– The highest 10 estimated taxi rates charged to EA range from £83.33 per passenger mile to £37.80 per passenger mile.

– The EA’s total annual bill for taxi use has more than doubled in five years – growing from £20 million in 2020/2021 to more than £40 million in 2024/2025.

– Of the plus-£40 million total, more than half was paid to five taxi operators.

The EA said it had “constructive feedback from a number of operators in response to our requests for savings”.

It added: “A number of savings have been identified to date and work is ongoing.

“There is a wide variance in the rates we are charged and our objective is to work constructively with operators to ensure sustainability and value for money.”

Some of the highest taxi rates paid by EA are estimates based on the amount billed for journeys shorter than a mile.

Alliance Party MLA and chairman of the Education Committee Nick Mathison said: “There is no doubt that the rising costs of EA taxi provision is a matter of serious concern.

“However, these are not new issues, and EA has known costs were not under control for a number of years.

“It is disappointing therefore action to deliver a more cost-effective service has not been undertaken before now.”

Mr Mathison accused the EA of now attempting to make “drastic changes” to services and contracts days before Christmas.

He added: “Parents should not be penalised for years of inaction by the EA, especially when for many, getting the transport services they need has been a long struggle already.”

Sinn Fein education committee member Pat Sheehan said he had attended a meeting between taxi operators and the EA last week.

He said: “The difficulty is there seems to be unfairness in the system. Some of those taxi operators have been saying to me if you take 10% off, those runs will not be profitable, some of them have said they could be out of business.

“If the taxi operators pulled the plug in the morning the EA would be in trouble because kids just couldn’t get to school.

“I don’t think anybody should be getting £83 a mile but there has to be a happy medium.”

An EA statement said: “The rise in taxi bills is in part a reflection of the increase in the number of pupils with special educational needs.

“The focus over a number of years has rightly been on securing sufficient placements.

“In some cases, confirmation of placements has only been achieved at a late stage, with taxi transport arrangements required urgently as a result.

“To compound this, many of those placements have only been possible some distance from a child’s home – meaning higher taxi bills.”

The EA said it is “committed to working with schools to ensure a greater level of SEN provision in local communities”.

It added: “This is primarily aimed at improving the education service provided to children – but it will also have significant positive implications for taxi costs.

“At present, only 26% of mainstream schools provide specialist SEN provision.

“By working with schools to increase that level, SEN need can be met earlier and closer to children’s homes.

“As well as being the right thing to do, this will help curtail growth in taxi expenditure.

“There has also been a well documented decrease in the number of taxi operators in NI in recent years, which will have also impacted on prices.

“There is significant variance in the taxi fares we are charged and we are working with operators to ensure sustainability and value for money.

“We are encouraged by the response from a number of operators, who have tabled savings proposals.”