Taxi rules to change as New Zealand adapts to Uber revolution

A sweeping review of regulations regarding New Zealand's taxi industry will see it compete on an even footing with app-based services such as Uber, the government said Thursday.

The government would overhaul small passenger services by removing outdated rules and bringing the sector into the 21st Century, Transport Minister Simon Bridges and Associate Transport Minister Craig Foss said in a joint statement.

Currently there were separate categories and rules for taxis, private hire, shuttles and rideshare operators.

Under the changes, these services would be regulated under a single category of small passenger service, meaning one set of rules for all.

"New technologies like smart phones and apps have changed the way the sector can operate. Modernizing our rules will ensure they are flexible enough to accommodate new business models," Bridges said.

"Freeing up the regulatory environment will allow transport operators to compete on an even footing."

Drivers would still be required to have a "passenger endorsement" on their licence, which included a police check, so that passengers could feel safe no matter what option or service they chose, Foss said.

Uber entered the New Zealand market two years ago and has been the focus of complaints from traditional taxi operators, who claim it has an unfair advantage because it is more lightly regulated.

The changes will be considered by parliament this year.