Financial standing levels remain unchanged in 2020

The traffic commissioners have confirmed that there will be no change to the financial levels against which applications and continuations are assessed this year.

The rates of finance must be available to support a licence or application and so standard national and international licence applicants must continue to demonstrate that they have £8,000 for the first vehicle and £4,450 for each additional vehicle they request to be authorised.

The TCs have also confirmed that for a restricted licence application, operators will be required to show £3,100 for the first vehicle and £1,700 for each additional authorised vehicle.

Operators making variation applications will be required to demonstrate financial standing for their existing fleet and any additional authorisation against these levels.

Any applicant or licence holder appearing at public inquiry before a traffic commissioner after 1 January, where evidence of financial standing is requested, will be required to continue to satisfy these levels.

According to the senior TC’s guidance documents, TCs must revoke a standard licence if it appears that the licence holder no longer satisfies the requirement to be of the appropriate financial standing.

However, licence holders are allowed to request a period of time to rectify a situation where they cannot establish the required financial standing.

The TC is not obliged to grant a period of grace.