I ran "abc company" and am happy to pay community transport because they are cheaper.

Thats all well and good...until something goes wrong. Community transport, as part of the conditions of having their s.19 permit, are NOT allowed to engage in work thats a view to make a profit. It doesnt even have to MAKE a profit, it can even run at a loss. The law under s.19 Transport Act expressly prohibits work where a suitable company is able to be found as a substitute.

Okay, so this doesn't directly affect you now but I'll put it this way.... if there is an incident, you are vicariously liable to prosecution if you know that the transport you use is running on a s.19 permit and you employ them just because they are cheaper. This is because you know you are not paying commercial rate for the service. You would be paying for a service knowingly obtained by contractual illegality. It is fraudulent on the permit holders behalf and neglegent on your behalf for entrusting someone you now know that you shouldn't be.

The reason they are cheaper is because most of them are funded by local councils for local council purposes only. Even when they are not, they still have to abide by the terms of their permit; namely not to do any work that has the view to a profit.

So what? I hear you ask.

These permit holders are not monitored in any way by VOSA. They do not have to undertake any regular inspections by any mechanics and their drivers are not professionally licenced, trained vocationally or even legally allowed to drive the vehicle if the work you pass their way is seen as 'having a view to make a profit'.

A commercial outfit HAS to have regular safety inspections, paperwork evidence, and has to have mandatory works done to it to stop the vehicle falling into disrepair. Permit holders do not.

The question you have to ask yourself is....

"is it worth paying for the cheaper service if it doesnt extinguish my legal obligations with regard to negligence?"

It might be for the 99 times you get away with it... but the one time you dont, you are then being sued by lots of kiddies parents for negligence/whiplash/corporate manslaughter because you KNEW that you should be paying the commercial rate and you decided to go with the cheaper option to save a few quid!

s.19 Permit holder v commercial outfit... commercial outfit wins every time!