Financial Standing

Financial Standing

Where do you stand?

The law requires an operator to be of the appropriate financial standing. Operators who fail to meet the financial standing requirements risk having their Operator’s Licence revoked by the Traffic Commissioner.

The availability of finance is a continuing obligation throughout the lifetime of the Operator’s Licence.  It will be specifically checked at the application stage (for new licences or variations to existing licences), the five-yearly renewal/continuation of the Operator’s Licence or if an operator is called to Public Inquiry – but can be checked at any time.

We are seeing an increasing number of operators who are failing to satisfy the financial standing requirements or who simply do not appreciate how financial standing is assessed and/or the sources of funds that will be acceptable.

The 2020 financial standing figures are as follows: 

Licence Type Goods Vehicles Public Service Vehicles
Standard First vehicle £8,000 £8,000
Each additional vehicle thereafter £4,450 £4,450
Restricted First vehicle £3,100 £3,100
Each additional vehicle thereafter £1,700 £1,700

Are you concerned whether you meet this?

For £99 +VAT per entity, we will calculate your financial standing.

Check how much you require using our calculator.

Financial Standing Calculator

For further details, please contact our regulatory team on 01254 828 300 or email regulatory@backhouses.co.uk

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