A new Greek law regulating taxis and chauffeur-driven private vehicles is facing strong opposition from transport industry representatives, who argue that it introduces additional restrictions rather than solving long-standing market issues.
Law 5290/2026, known as the “Kyranakis law,” was approved in March 2026 and was recently completed with the publication of the relevant ministerial decisions. The legislation has sparked reactions from taxi owners and operators of private vehicles with drivers, while appeals have already been filed before Greece’s Council of State, the country’s highest administrative court.
Industry representatives say the new framework could affect the competitiveness of the transport sector and the wider Greek economy.
Two different regulatory systems
The new legislation divides Greece into two geographical categories: islands, and mainland Greece along with Crete and Evia.
For chauffeur-driven private vehicles, the law maintains mandatory advance booking requirements and introduces additional restrictions. These include a rule preventing a vehicle from accepting a new booking if a previously scheduled trip is cancelled.
The framework also sets minimum rental durations and minimum fares, which vary depending on the season and location.
For mainland Greece, Crete and Evia during the summer period:
- The minimum rental duration is set at two hours.
- The minimum fare is set at €82.
Rules are less strict for the islands.
Appeals submitted to the Council of State
The Association of Professional Passenger Vehicles with Drivers (SEEOO) has filed legal actions seeking compensation, as well as applications requesting the suspension and cancellation of certain provisions before the Council of State.
A key point of the appeal concerns the mandatory 30-minute advance booking period. The association and legal sources argue that similar rules had previously been overturned by the court in 2024 and 2025 because they did not meet the principle of proportionality.
Another appeal has been submitted by the Panhellenic Federation of Chauffeur-Driven Vehicle Rental Companies (POEEMO), focusing mainly on the inclusion of Crete in the same regulatory category as mainland Greece.
Dispute over Crete rules
POEEMO argues that Crete has characteristics similar to other major tourist islands, such as Rhodes, Mykonos, Santorini and Corfu, and that applying stricter rules there creates unequal conditions in the market.
The federation points to a short transfer route from Heraklion Airport to the city center as an example. While the same journey can be completed by taxi using the meter system, chauffeur-driven vehicles must follow a 30-minute booking requirement, a minimum fare of €82 and a minimum vehicle commitment of two hours during summer and three hours during winter.
If a booking is cancelled, the vehicle cannot accept another rental before the minimum duration period has been completed.
Industry representatives also argue that Crete has a low ratio of taxis per passenger compared with other areas of Greece.
Debate over Greece’s transport competitiveness
According to market representatives, Greece continues to have one of the most restrictive operating frameworks for chauffeur-driven vehicles in the European Union.
Among the restrictions cited are:
- Minimum rental durations
- Mandatory advance booking times
- Registration of contracts before each trip
- Minimum rental prices
- A ban on dynamic pricing
Supporters of the rules argue that they are necessary to maintain a clear distinction between taxi services and chauffeur-driven vehicle services and to preserve balance in the transport market.
Economic impact and comparison with Portugal
A study by the Foundation for Economic and Industrial Research (IOBE) compared Greece’s market with Portugal’s, where reforms in 2018 significantly simplified the framework for chauffeur-driven vehicle services.
According to the study, Portugal’s sector expanded rapidly after the changes. In 2023, taxi industry turnover in Portugal was around 40% higher than in Greece, while employment increased compared with Greece, where the sector did not follow the same trend.
The study estimates that aligning Greece’s framework more closely with practices used in other European countries could:
- Increase industry turnover by around €284 million
- Create around 2,900 additional driver jobs
- Increase GDP by around €318 million compared with current levels
The total economic impact could approach €1.1 billion, with around 6,000 additional jobs.
Taxi owners prepare further action
Taxi owners are also preparing to escalate their response.
The Panhellenic Federation of Taxi Owners (POEIATA) has decided to pursue both political and legal action, seeking a meeting with the new leadership of the Transport Ministry and supporting legal proceedings already brought before the Council of State.
The Federation also plans meetings with political party leaders to present the sector’s concerns.
The Attica Taxi Drivers’ Union (SATA) is also considering its own appeal to the Council of State, focusing on three main issues:
- The requirement to provide a criminal record certificate for issuing and renewing taxi permits
- The 30-minute booking requirement, which taxi operators argue does not sufficiently prevent competition with taxi services
- Rules concerning the mandatory transition to electric vehicles
