Officials on Monday said they are considering an application by the taxi trade for fare increases, including a HK$5 rise in the flagfall for urban taxis which would bring the starting charge to HK$32.

The trade wants the flagfall for other cabs to be set at HK$28, which would mean a HK$4.5 rise in the New Territories and HK$6 on Lantau.

As part of proposals submitted at the beginning of the year, the industry is also calling for bigger incremental changes following the flagfall.

Taxi charges last went up in July 2022.

In documents submitted to the legislature, the Transport Bureau noted that the average monthly net income for taxi owners who rent out their vehicles to others fell by between 29 and 45 percent from 2019 to last year.

It said the average income for owners who drive their own taxis fell by between 4.4 and 7.7 percent in the same period, while drivers who rent taxis from their owners saw increases of up to 12 percent.

The bureau said that in vetting the application, it considers factors such as the financial viability of taxi operations and public acceptability of the proposed fare increases.

Officials added that while raising fares would ease the trade's financial burden, they consider it more urgent for the industry to form taxi fleets to improve the quality and safety of services.