Oral Answers to Questions — Infrastructure – in the Northern Ireland Assembly at 2:00 pm on 2 February 2021.
Gerry Carroll
People Before Profit Alliance
2:00,
2 February 2021
2. Mr Carroll asked the Minister for Infrastructure how many taxi drivers are still waiting for a payment from the taxi driver financial assistance scheme 2020. (AQO 1498/17-22)
Nichola Mallon
Social Democratic and Labour Party
I thank the Member for his question. On 13 November 2020, following Executive agreement, the taxi driver financial assistance scheme was launched for two weeks and closed on 27 November. The scheme provides financial support for overheads that are incurred by taxi drivers and is in addition to other financial support such as that which is provided through the self-employment income support scheme.
Payments began issuing within one week of the scheme closing, and, by 15 January, over 4,100 drivers had received the £1,500 grant, which equates to almost 90% of the valid applications that were received. Rejection letters were issued to the remaining unsuccessful applicants on the same day. However, some of those applicants responded to the letter and have since provided the necessary information that is required to successfully process their applications to payment.
Staff continue to work with a small number of applicants this week to successfully process their applications. To date, that exercise has increased the number of payments that have been made to over 4,200, which means that over 92% of applicants have now received the £1,500 payment. The remaining 370 applicants who were unsuccessful may be eligible for assistance under the next scheme, which is due to launch this month.
Gerry Carroll
People Before Profit Alliance
I thank the Minister for her answer. Even though some people had breaks in their insurance, they did not cease being taxi drivers and many of them were unable to work. Does the Minister agree that it is unacceptable that many taxi drivers are still without any payment? What will she and her Executive colleagues do to address that? She said that 90% of applications were valid and, therefore, those drivers received a payment, but what percentage of taxi drivers did not receive any payments whatsoever?
Nichola Mallon
Social Democratic and Labour Party
I thank the Member for his question. The second scheme has reflected on the learning from the first scheme. It will be based on the same principle and sector evidence base in terms of overheads as the first scheme, in that costs would still have to be incurred by the driver, thereby continuing to ensure value for money. However, payments from the second scheme will be made on a pro rata basis, which will better reflect the individual circumstances of and actual costs incurred by each driver.
Payments will be calculated on the basis of the actual number of days for which a driver can provide evidence of full insurance, which means that £250 will be paid for every 30 days of full insurance up to a maximum of £3,000 for 360 days. In practice, that means that a driver, assuming that he or she had met the criteria fully and had been paid £1,500 during the current scheme, would be eligible for the maximum support of up to £3,000 for the total 12-month scheme. Those who did not have continuous insurance and, therefore, were not eligible for the first scheme will now receive payment on a pro rata basis. That is important in terms of implementing learning and getting help to those taxi drivers who were not able to avail themselves of the first scheme.
Michelle McIlveen
DUP
I welcome the Minister's announcement that a new scheme will open for private bus and coach operators. Will she give an assurance that that will not just be an extension of the previous scheme, given the issues that have been associated with that? Will she also commit to a similar scheme for taxi operators, mindful that the Finance Minister has money to spend?
Nichola Mallon
Social Democratic and Labour Party
I thank the Member for her question. I met the private bus and coach operators' representatives again yesterday evening to get their views on what they felt worked with the first scheme and where they felt that there were flaws. We have committed to working with them as we devise the second scheme. I have committed my officials to a follow-up meeting with them to talk about some of the more technical issues that we discussed yesterday evening.
I can confirm that taxi operators are eligible for the Department for the Economy's part B COVID restrictions business support scheme (CRBSS). Taxi operators are eligible to apply, and their payments will be made retrospectively to the point at which their business was impacted on by restrictions. The Minister for the Economy has confirmed that in correspondence to me.
Martina Anderson
Sinn Féin
Minister, I know that you are aware that members of the Infrastructure Committee have raised the issue of the second scheme being issued on a pro rata basis. Many taxi drivers who temporarily suspended their insurance did so because they were shielding or simply had no money to work. Therefore, picking up on what the Committee Chair said about the Finance Minister asking ministerial colleagues to come forward with further bids, are you anticipating or even organising and arranging an additional bid for an enhanced scheme? I am conscious that the second scheme is coming out, but taxi drivers do not feel that £3,000 over a year is sufficient.
Nichola Mallon
Social Democratic and Labour Party
I thank the Member for her question. The scheme was devised with those in the sector. I think that it is on the public record that they had requested a payment of £6,000 over a two-year period. The schemes that I am bringing forward will give £3,000 for one year, thereby meeting that threshold.
In respect of the drivers who are shielding, the Member will be aware that the scheme is based on contribution to costs. It is in addition to the self-employed scheme and to the Department for Communities' discretionary support grant scheme, which that Department specifically set up to help all those who are shielding. I am more than happy to make further representations to the Minister for Communities to see whether we can provide additional financial support to all those who have had to shield through this difficult time.
Pat Catney
Social Democratic and Labour Party
Minister, given that you have acted quite quickly to ensure help to drivers and that further assistance will now be provided, what discussions have you had with the Economy Minister regarding DFE support for taxi drivers and operators?
Nichola Mallon
Social Democratic and Labour Party
I thank the Member for his question. I continue to press for the inclusion of the taxi sector in the Department for the Economy-led schemes, especially given that the sector is being further impacted by the current restrictions. I remain fundamentally of the view that the Executive need to take an inclusive and fair approach to the financial support provided for restrictions through the DFE CBRSS and that all eligible businesses should be able to apply. As the Member may be aware, the Department for the Economy's CBRSS was introduced to support businesses that have been affected by the restrictions in place as a result of the health protection regulations. In addition to being able to avail themselves of previous business support grants or loan schemes, taxi operators can apply for the part B scheme, provided other eligibility criteria are met. As I said, any successful applications to the scheme will be backdated to the period in which restrictions apply to them. I remain fundamentally of the view that the schemes should be more inclusive, so I will continue to make representations to ensure that taxi drivers, as well as private bus and coach operators, are included in the scheme alongside taxi operators.
Rachel Woods
Green
Does the Minister have any information on when the new scheme for taxi drivers will be launched? How will that be communicated to taxi drivers?
Nichola Mallon
Social Democratic and Labour Party
We hope to launch the new scheme by the middle of February. As I said in a previous response, I always think that it is right and proper that we as Ministers reflect on our schemes and the learning from that. I accept that it was frustrating for applicants because there was no dedicated telephone line, for example, to ring up and get an update on their application. During the first scheme, all dedicated resources were focused on processing the thousands of applications received as a matter of priority, and applicants were advised to send queries to a dedicated email address. This time around, I am focused, and I have made it clear that I want to see us doing better. While not all COVID-related support schemes have provided a dedicated phone contact, I have asked my officials to provide a telephone contact for the next taxi driver financial assistance scheme so that we can get information quickly to all applicants.
Christopher Stalford
DUP
We have had the question and five supplementaries. I appreciate that other Members wanted in on this, but we need to move on.
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