The Hong Kong government should issue more licenses for vehicles for hire and conduct background checks on drivers using online ride-hailing platforms, a legislator has proposed.

Hong Kong lawmaker Simon Lee. File photo: Simon Lee, via Facebook.
Hong Kong lawmaker Simon Lee. File photo: Simon Lee, via Facebook.

The current taxi industry lacked variety in service options and failed to meet the diverse needs of the market in terms of comfort and passenger capacity, lawmaker Simon Lee said in a 44-page research report on the regulation of ride-hailing platforms in the city, launched Thursday.

The legislator said the demand for hire cars in Hong Kong had increased over the years due to “population and environmental changes,” but the market supply was insufficient, especially during rush hours.

Coupled with the public’s disaffection with taxi services, the “only solution” was to issue more hire car permits and licenses for ride-hailing platforms, Lee said.

“Drivers should undergo assessments similar to taxi licensing exams and complete background checks to prevent individuals with serious criminal records from entering the industry, ensuring passenger safety,” the report also read.

Lee added that hire cars should also install dashcams, GPS systems, and cameras to ensure the safety of passengers and monitor the driver’s behaviour.

The government announced in December that it planned to require all cabbies to install in-car surveillance cameras, GPS, dashcams, and electronic payment systems over the next two years in a bid to raise the service quality and image of the taxi sector.

taxi transport
The Uber app on a Hong Kong taxi driver’s phone. Photo: Kyle Lam/HKFP.

Hong Kong is seeking to regulate online ride-hailing platforms such as Uber by rolling out a licencing system. A proposal outlining the regulatory details is expected later this year.

The embattled cab industry has railed against ride-hailing services, saying the largely unregulated platform posed unfair competition to taxi drivers.

Last month, a taxi union threatened to stage a city-wide strike if the authorities failed to commit to a crackdown. But the plan was cancelled after Chief Executive John Lee warned that “drastic action” would not gain public support.

Hong Kong currently caps the total number of permits for private hire car services at 1,500. As of December 31, 2021, a total of 1,115 licenses had been issued.

The government said in May 2022 that the limit was imposed to “avoid affecting the operation of public transport services and aggravating road congestion.”

Police told HKFP last month that the “enforcement figure” on the illegal carriage of passengers for hire or reward by motor vehicles rose to 47 in 2024, from 33 in 2023.

The force did not explain whether the figure represented the number of vehicles or drivers intercepted. It was also unclear whether any individual was arrested or prosecuted.

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Ho Long Sze Kelly is a Hong Kong-based journalist covering politics, criminal justice, human rights, social welfare and education. As a Senior Reporter at Hong Kong Free Press, she has covered the aftermath of the 2019 extradition bill protests and the Covid-19 pandemic extensively, as well as documented the transformation of her home city under the Beijing-imposed national security law.

Kelly has a bachelor's degree in Journalism from the University of Hong Kong, with a second major in Politics and Public Administration. Prior to joining HKFP in 2020, she was on the frontlines covering the 2019 citywide unrest for South China Morning Post’s Young Post. She also covered sports and youth-related issues.