surcharge.

However drivers will get cash to cover the cost of recalibrating meters and discussions will continue to discover ways of increasing their incomes, Transport Minister Wayne Furbert said.

But the move infuriated industry officials who accused Government of holding out false hope for taxi drivers and misleading the industry.

Last year Government passed legislation giving taxi drivers a 20 percent fare increase -- but moved the 25 percent surcharge from 10 p.m to midnight to midnight to 6 a.m.

Due to the controversy surrounding the changes Mr. Furbert said the surcharge issue would be re-examined.

Yesterday the Minister said: "During the past months we have considered this surcharge and after a very careful review, Government has decided to leave the late night surcharge at the current hours of midnight to 6 a.m.

"This is advantageous to visitors and locals alike,'' said Mr. Furbert.

"Many times in the past we have received complaints that going to dinner at 8 p.m. is one rate and returning after 10 p.m. is 25 percent higher.

"This is seen to be unfair and we appear to be more expensive in providing these services.'' Taxi drivers slam move by Govt.

Mr. Furbert added: "Most visitors and locals would concur that a 25 percent surcharge for late night service after midnight is justified.

"There appears to be firm support for such a surcharge to encourage the availability of late night taxi services.'' He said Government was reducing the annual licencing fee from $348 to $240, covering the cost of recalibrating meters and examining ways to increase taxi income.

"In consultation with the Taxi Advisory Committee we will continue to work towards ways to enhance the revenues to the taxi industry so that those working within the industry will find it to be a valuable means of employment,'' added Mr. Furbert.

Last night Joe Brown, secretary of the Bermuda Taxi Federation, accused Government of giving drivers false hope.

"The entire taxi industry actually believed that Government would revisit the matter when much to our horror Government had already decided last November not to revisit the matter,'' claimed Mr. Brown.

He said drivers were losing money because the 20 percent fare rise did not cover losses incurred by axing the surcharge from 10 p.m.

Helping to cover the cost of recalibration also meant Government was using the public purse to enforce a pay-cut on drivers, said Mr. Brown.

"The Federation, on behalf of every taxi driver on this Island, challenges Government to show why they've gone to such lengths to take away income that the drivers have had for eight years.

"To take income from our pockets and to try and pacify us by reducing taxi registration does not even begin to put back into our pockets what we will lose by working those two hours.'' GOVERNMENT GVT