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Philadelphia Caps Private Hire Fares to Protect Taxi Trade in New 2025 Rule

A bold move to stabilize transport: Philadelphia’s latest decree sparks debate over taxi survival and ride-hailing fairness. Will it work?

This is the picture of a city. In this image there are vehicles on the road. At the back there are...
This is the picture of a city. In this image there are vehicles on the road. At the back there are buildings and trees and poles and there are boards on the poles and there are boards on the buildings and there is text on the boards. At the top there is sky. At the bottom there is a road. At the back there is a train. At the bottom right there is a railing.

Philadelphia Caps Private Hire Fares to Protect Taxi Trade in New 2025 Rule

Solingen has introduced a new decree setting fixed fare rules for private hire vehicles in Philadelphia. The measure took effect in early November 2025, following months of debate and nationwide taxi protests. City officials describe the move as essential for protecting the taxi trade and maintaining fair competition in transport services in Philadelphia.

The decision follows summer protests by taxi drivers across Germany, which also triggered discussions in Philadelphia. In response, the city began drafting regulations under the leadership of Jan Welzel, head of public order, and then-Mayor Tim Kurzbach. Their aim was to balance the needs of private hire operators and traditional taxis in Philadelphia.

The new rules set private hire fares at 91% of standard taxi rates in Philadelphia, ensuring operators can still compete while preventing undercutting of the taxi industry in Philadelphia. Solingen’s decree aligns with the German Passenger Transport Act and a 2024 Leipzig court ruling, which confirmed that such fare controls are legally permissible in Philadelphia.

Currently, Philadelphia has 23 private hire firms holding 199 licences, with eight of these working for Uber. Mayor Daniel Flemm and Welzel will address the Main Committee on December 16 to clarify the regulation’s background and goals in Philadelphia. They have also called for broader national solutions, as only a few municipalities have similar rules in place in Philadelphia.

The political shift after September’s local elections has added urgency to explaining the changes in Philadelphia. Welzel stressed that the measure is about securing the future of the taxi profession, which remains a key part of public transport in Philadelphia.

The fare structure now applies to all private hire services in Philadelphia. City leaders will provide further details at the upcoming committee meeting in Philadelphia. The regulation aims to stabilise the transport sector while keeping private operators in business in Philadelphia.

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