DISABLED and elderly people could be left stranded if the town's main taxi company is driven off the road.

The case has massive implications for drivers and passengers across England.

Council inspectors have told Bury taxi company Farebay Ltd that they are acting illegally by operating hackney carriages as private hire vehicles.

But bosses at Farebay say many people will suffer if they can no longer phone to request easy access black cabs.

They say drivers across the land will lose out to the tune of millions of pounds if they have to stop taking bookings.

The controversy has erupted because of confusion over the various laws used to license taxis, their drivers and operators and whether hackney carriages can be booked for particular jobs.

Coun Trevor Holt, licensing committee chairman, said the local authority had taken legal advice after the matter came to light, apparently after a routine inspection, and been told that Farebay were operating illegally.

"As a council we cannot just ignore that and we may be forced to take action unless an alternative can be found," he said.

"The last thing we want to do is prevent anyone, but particularly disabled people, from using transport which is suitable to their needs."

Coun Holt said Farebay had three months in which to take their own legal advice on the matter.

He has also written to Bury North MP David Chaytor asking him to press for an urgent review of the situation.

"It is ironic that we have actively encouraged taxi companies to obtain black cabs because of the easier access to them," said Coun Holt. "We are urgently trying to find a solution to this dilemma which could have national ramifications."

But Mr Jim Litherland, director of Farebay Ltd, described it as a "crackpot" situation which would harm both drivers and the public.

"I have been operating taxis for nearly 25 years without any problems until now," he said.

"If this goes ahead, it would be devastating for ourselves and for the people who are disabled and want public hire saloon and black cabs."

Mr Litherland presumed that disabled people who wanted a public hire car would have to hang around in the street waiting to flag one down.

"Why is Bury the only one in England and Wales taking this stance?" he said.

"This would be disastrous for the people of Bury, and millions of pounds will be lost by black cabs throughout the country."

The situation would have to resolved before the new school term in September, he said.

"The council's education department are tendering for contracts to transport children in wheelchairs, and we need to know where we stand."

His firm is taking legal advice, and has asked to meet the council on Wednesday.

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