Shere Punjab Services Limited (T): [2026] UKUT 314 (AAC)
Upper Tribunal Administrative Appeals Chamber decision of Judge Ovey on 13 August 2026.
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Judicial Summary
The Upper Tribunal decided that the Traffic Commissioner had not erred when deciding that the Appellant had failed to show financial standing at the date of the public inquiry and had not produced tangible evidence which would justify the granting of a period of grace.
The Appellant was warned in the letter calling it to a public inquiry that financial standing had to be shown. In response it provided bank statements for the usual three month period and unaudited financial statements for the year ending some nine months earlier which showed an operating profit of more than £70,000. The Traffic Commissioner found that financial standing was not established and refused to grant a period of grace. His reasons for finding that financial standing was not shown were that the bank statements, analysed in the usual way, showed a shortfall of more than £40,000 in the level of finance required and that, having considered the contents of Statutory Document No. 2 – Finance, he gave very little evidential weight to the unaudited financial statements. His reason for refusing a period of grace was that the test in Duncan McKee [2014] UKUT 0254 (AAC) was not satisfied. The Appellant appealed, contending that the Traffic Commissioner was wrong in law in failing to consider the unaudited financial statements, failed to give adequate reasons for not considering the statements and failed to allow the Appellant the required time for making representations and that Duncan McKee was distinguishable on the facts.
The Upper Tribunal applied Thandi Coaches (Red) Ltd. [2021] UKUT 198 (AAC) and concluded that the Traffic Commissioner had not excluded the unaudited financial statements from consideration but had properly concluded that they had very little evidential weight and had given adequate reasons for reaching that conclusion. The Upper Tribunal also found that the Traffic Commissioner had correctly applied Duncan McKee, which states a general principle although the underlying facts were different from the present case. Notice of the intention to consider financial standing at the inquiry had been given in accordance with the requirements in s.27 of the Goods Vehicles (Licensing of Operators) Act 1995.