Financial and compliance problems have forced Wanganui Taxis to close its doors next month with the vehicle fleet to be absorbed by rival company River City Cabs.
Wanganui Co-operative Taxi Society chairman Doug Groves confirmed yesterday its cabs would be back on the road within the next few days, but on August 26 all vehicles will be rebranded with the River City logo.
The Wanganui Taxi fleet was ordered off the road on Monday after failing to meet compliance measures.
New Zealand Taxi Federation executive director Tim Reddish said the non-compliance issue surfaced after Wanganui Taxis had entered a dispatch arrangement with a Palmerston North company and an overseas party.
"It wasn't a particularly good arrangement and Wanganui Taxis failed to meet compliance measures and which subsequently forced the fleet off the road," Mr Reddish said yesterday.
Mr Groves said economic times were largely to blame.
"Unfortunately, we have succumbed to the economic times and have decided to close our doors," Mr Groves said.
"Wanganui Taxis will still be out there until August 26 when all vehicles will change to River City Cabs. Our friendly drivers will still be out there continuing to service the transport requirements of the Wanganui public after that date.
"We would like to reassure the public of Wanganui that at all times the Wanganui Co-operative Taxi Society has always worked with Land Transport New Zealand and have always adhered to legislative requirement.
"We consider the joining of the two companies to be beneficial to the local taxi industry," Mr Groves said.
The company has serviced Wanganui transport needs for more than 50 years and in recent times had 11 owner/drivers within the 17-strong fleet.