A TAXI war has broken out in Teignmouth.

Local cabbies are angry, accusing an 'outside' firm of poaching customers.

Bad feeling has erupted between the Teignmouth drivers and those from Newton Abbot-based Teignbridge Taxis, with both sides accusing each other of abuse and intimidation.

Most of the problems are centred around the town centre taxi rank in Station Road, where there have been reports of heated arguments.

The Teignmouth men, who work for a cooperative of about eight businesses, claim the Newton taxis are heavily undercutting their fares.

Teignbridge Taxis retort they have a perfect right to operate anywhere in the district, and are giving a better deal for customers.

Terry Bramley, of Terry's Taxis, Teignmouth, said tempers were becoming so frayed that he feared violence could erupt.

'There has always been an unwritten code that firms stay in their own areas, and do not encroach into other towns.

'Things have always gone smoothly on the Teignmouth rank, with all the local drivers working well together.

'But since Teignbridge Taxis moved in, the atmosphere has become quite menacing at times. They are trying to lure our customers away from us, and are undercutting our rates.

'We cannot lower our fares, because times are tough and we have many overheads. If we did, it would not be profitable. There are enough taxis to go

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around in the Teignmouth area, and in the current economic climate, we do not need any more.

'Teignbridge Taxis have sent out letters to our customers saying they now have taxis based in Teignmouth and setting out their rates. Luckily, most of our customers are remaining loyal and staying with us, but it is difficult and confusing for them when they see outside cabs on the rank. Now we are putting up our own posters, promoting the service we give.

'We are determined to see them off and protect our businesses, and continue to look after our customers,' Mr Bramley insisted.

But Daniel Hooper, managing director of Teignbridge Taxis Ltd, of Queen Street, maintained they were not abusive or threatening.

'We operate all over Teignbridge and I have family and friends in Teignmouth. One of our drivers lives in the area. Our business has invested heavily in the latest computer equipment, and all our drivers are self-employed and own their vehicles.

'This is just fair competition, and it is the customer who is benefiting with lower fares, which means that many can still take a cab in the recession when money is tight.

'We are being proactive where we see an opportunity to expand, and the Teignmouth firms do not like it. We have customers booking us from Teignmouth, and we are operating an improved night service in that area.

'Our drivers have had abuse shouted at them on the Teignmouth rank, and customers have been directed away from our cars. I have told our drivers not to get involved, and to just sit in their cabs and do their job.

'If the Teignmouth operators want to move into Newton Abbot, I would not have any issues with that – it is called competition, which is healthy,' Mr Hooper added.