Source: European Parliament
Passenger transport-on-demand services such as service offered by taxis and Private Hire Vehicle with driver (PHV) complement the local public transport offer. Taxi and PHV offer overwhelmingly local passenger transport services. Cross-border services exist, notably in border regions, but account only for a very small fraction of all taxi and PHV services. The sector is therefore fragmented by nature.
There is no specific EU legislation in the field of taxis and PHV and Member States are responsible for regulating the sector, in line with general/horizontal EU law, such as the Treaties (notably Article 49 of the Treaty on the Functioning of the European Union[1] which guarantees the freedom of establishment).
In this context, the Commission continues to pursue infringements of EU law, notably the freedom of establishment enshrined in Article 49 of the Treaty on the Functioning of the European Union, which constitutes one of the fundamental pillars of the Single Market.
The Commission has, in its 2022 Notice on well-functioning and sustainable local passenger transport-on-demand (taxis and PHV)[2], clarified the limits established by EU-law of how Member States may regulate the sector. It does not exclude to update this Notice and/or to take another initiative, the details of which have still to be defined.