The Government has the authority to step in and prevent “illegal” rideshare services from operating on the island, the Bermuda Taxi Owners and Operators Association said.

Last month, the Government said it was seeking legal advice over the operation of ride-sharing app Island: GO!, which claimed to have launched in Bermuda.

In a statement, the BTOA said it strongly disagreed with a recent stance taken by David Burt, the Premier, that there is little the Government can do at present to block new services such as Island: GO! from operating on the island in the absence of regulations.

Mr Burt’s interest in the taxi industry are a matter of parliamentary record. His page on the House of Assembly site acknowledges that he is a cofounder of Hitch, an app-based taxi firm, and that he was a lead developer of the service’s mobile app.

In an interview on Tuesday with Bermuda Broadcasting, Mr Burt said rideshare proposals put forward by Wayne Furbert, the Minister of Transport, were ”not going to compete” with the taxi industry but, rather, complement it.

Mr Burt said he was not familiar with Island: GO!

“But I can only assume that it might be trying to undercut and undercharge what current taxis are charging and that is what the fear of the taxi industry is and should rightfully be,” he said.

He added: “The Government of Bermuda has put forward proposals that are still being consulted on regarding a ride-sharing structure in Bermuda that will complement the taxi industry.”

However, the BTOA said it “strongly disagrees” with Mr Burt’s stance.

“The Premier has the power to halt any business that does not operate within the regulation and legislation his office upholds and administers,” a spokesman for the BTOA said.

“There is no need to wait for new laws to be in place when existing regulations are already being violated,” the spokesman said.

He said the Mr Burt’s comments overlooked key issues, such as insurance coverage and financial compliance, which the BTOA insisted remain unresolved in the case of unregulated ride-sharing apps such as Island GO!

The spokesman said insurance policies did not cover private cars for transporting passengers for hire.

He said it would leave passengers “exposed”, with no insurance protection in the event of an accident while using the rideshare apps.

“Additionally, the financial infrastructure supporting these apps is not compliant with Bermuda’s financial laws, creating further risk for both drivers and passengers,” the spokesman added.

The BTOA said it also disagreed with the Premier’s claim that ride-sharing apps undercut the taxi industry.

It explained: “The reality is that the cost of rides via these illegal ride-sharing apps is often higher than traditional taxis due to unregulated service fees, peak time surcharges, booking fees, and inflated journey rates.”

It added: “None of these additional charges are included when customers use a traditional metered taxi.”

The association said there were serious risks to passengers, drivers, and Bermuda’s reputation as a financial jurisdiction.

“The Premier needs to act now, using the full weight of his office to enforce the law and protect the public,” the BTOA said.

The body said it is advocating for a regulated ride-sharing system that works in harmony with the existing taxi industry while ensuring all services comply with the island’s laws, regulations, and insurance requirements.

The statement was shared with queries for the Ministry of Transport, but no response was received by press time last night.