What are the rules around "hire or reward" for minibus rental?
Are you looking to hire a minibus? Different rules apply to different purposes. Get the facts in our article.
The rules around driving a car are fairly simple, whether you're a renter or an owner. All you need is your licence. With minibuses, the rules are a little more complicated.
This is because different paperwork is required depending on what you're using the minibus for. Driving your mates to a stag do falls under a different category from renting out a minibus for hire.
Part of the issue is that some special rules apply to driving for "hire or reward". What does this mean, and how does it affect your ability to rent, own and drive a minibus?
In this article, we take a look at the rules surrounding "hire or reward" – as well as some key considerations to keep in mind when renting a minibus for any reason.
What is "hire or reward"?
"Hire or reward" is a legal term that refers to money passing hands between the driver and passengers. It can also refer to money being paid to the driver on behalf of the passengers.
The money doesn't have to be a direct payment. "Hire or reward" also covers donations, grants, subscriptions and money from club funds. It also applies when no profit is made on the journey or journeys.
If there's no money changing hands, you may be able to drive a minibus with up to 16 passengers using just your current car licence. There are some restrictions you can familiarise yourself with on the government
website. But in most situations, you just need to be over 21 and have held a licence for at least two years.
But as soon as you charge for services, the rules change. This applies whether you're renting the vehicle or driving your own.
It's well worth familiarising yourself with the rules. Assuming that your operation isn't for hire or reward can lead to unintentional rule-breaking.
What do you need to drive a minibus for hire or reward?
If you do need to charge passengers, you can apply for a minibus permit. However, to get a minibus permit, you need to meet certain criteria.
First, the vehicle must carry between nine and 16 passengers. Secondly, it must be for "a voluntary organisation that benefits the community". The government gives the examples of educational, religious and sports organisations.
A minibus permit won't let you set up shop as a private operator looking to make a profit. It's strictly limited to voluntary, community-based organisations.
Thirdly, you can only carry members of your organisation – not members of the general public. If you're charging members of the public for a minibus journey, it falls under "driving for profit".
Finally, a minibus permit lets you charge for running costs – not for profit.
That's the "hire" side of "hire or reward". So, how about reward?
What do you need to drive a minibus for profit?
If you're renting a minibus for commercial use, you're driving for "reward" – another word for profit. In this instance, you need to apply for two licences.
The first is a minibus provisional entitlement, also known as a passenger-carrying vehicle (PCV) licence. You can apply for this via the Driver and Vehicle Licensing Agency.
The second is a public service vehicle (PSV) operator licence. You can apply for one on the government website.
If you're in London, you'll also need a London Service Permit. This can be applied for on the Transport for London website.
It's important to get the right documentation before renting a minibus. If there's any money passing between the driver or the driver's company and the passengers, you need to establish whether you're driving for hire or reward. You then need to get the right paperwork for the job.
Can you hire a minibus from MVH Rental for hire or reward?
Easy answer: no. As stated in our
terms and conditions, "The Hirer and any driver shall ensure that the vehicle will not be used […] for hire or reward".
Apologies to anyone planning to bootstrap their own local bus service, but if you want to hire a minibus for profit, you'll have to look elsewhere.
What to consider when hiring a minibus
Whatever you're hiring a minibus for, there are several things to keep in mind to ensure you get the best bang for your buck. Here are some questions to ask before you sign on the dotted line.
1. Does it have the right capacity?
"Right" has two meanings here. First, it refers to the number of seats you need for your purpose, be it a party, work outing or charity event. Naturally, you need to get the right number of seats for the bums in question.
But it has a secondary meaning, too. A minibus is classified as a vehicle with up to 16 passenger seats. More than that and you're looking at coach hire. This has different regulations and licence requirements than minibuses. Make sure you don't confuse the two.
2. Is the minibus in good condition?
Any minibus rental company worth its salt will spend time and money keeping its fleet spotless. But don't just take their word for it – get a good look at the vehicle yourself.
Whether you're hiring a minibus for a day trip or a night out, you want a vehicle that's clean, tidy and comfortable.
You can also ask to see the maintenance record to ensure the vehicle is roadworthy.
3. Does it have the features you need?
These days, minibuses can come with air conditioning, charging points, Bluetooth and infotainment systems. If you think some or all of these would enhance your journey, keep shopping around until you find the right model for you.
You should also enquire after breakdown coverage. Is this part of the rental agreement or do you need to pay extra? How will this affect your journey?
4. Are you getting your money's worth?
In some ways, this is the most important question of all. The minibus hire market is saturated. Make sure you shop around to ensure the best bang for your buck.
Are you looking to
hire a minibus in Newcastle? Don't hesitate to
contact MVH Rental online or call (0191) 4888 700 for a quick, competitive quote.
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