A TAXI alliance in Worcester has warned a series of reforms must be introduced to help keep city firms afloat.

It wants to see fewer licences handed out and more taxi ranks created in a bid to ease the burden on hard-pressed drivers.

The city council has ruled out some suggestions but is looking into others, including the possibility of capping the number of drivers.

"We work long hours just to make a decent living and, to be honest, the way it's going a few people will start going under," said Lesley Borthwick, secretary of the Worcester Taxi Drivers' Association.

The proposals include:

n Raising the pass rate of the "Knowledge test" from 80 per cent to 95 per cent.

n Making the test more demanding and lengthening the period between re-sits.

n Expanding the number of official taxi ranks in the city.

n Restricting the number of new taxi licenses issued each year to five.

The council's licensing committee rejected suggestions to increase drivers' age limit from 21 to 25 and the age at which taxis must stop being used.

But Coun David Clark, the committee chairman, has said it will call a special meeting to consider the other options.

"We've promised to look at the whole issue very urgently. The problem is that Government regulation is forcing everyone to deregulate," he said

"The argument is it finds its own level. But before that, it goes above it, and then drops back down and they are suffering. Common sense has got to come into it."

Mrs Borthwick questioned how the city wanted to deal with the growing number of taxis.

"Would you like them to go around and around in circles causing more congestion or find more rank spaces?" she said

"At the moment, anyone can get a taxi licence very, very easily because the knowledge test is a waste of time.

"If the council decided to carry on allowing more taxis it will be just the beginning of arguments. I honestly feel a lot of animosity within the drivers."

No date has yet been set for the meeting.