The Centre has announced a ban on pre-ride tips prompts within ride-hailing applications, stating that tips should only be offered after a trip has concluded. This decision has been mandated by the Ministry of Road Transport and Highways, urging motor vehicle aggregators to take immediate action to comply with the new regulations.

This directive comes in response to various instances where ride-hailing apps displayed messages encouraging passengers to provide tips in advance. Some of the common phrases included “Advance Tip” and “Choose an Add-on,” leading passengers to believe that offering financial incentives could expedite ride confirmations.

The ministry has been explicit that such practices mislead users regarding the tipping process, thereby compelling passengers to make unnecessary payments in hopes of securing a ride more quickly. The directive aims to uphold consumer rights by clarifying acceptable practices for tipping in the industry.

Clarification on Tipping Policies

The new regulations do not completely prohibit tipping drivers, as passengers are still permitted to offer tips voluntarily. According to Clause 14.15 of the Motor Vehicle Aggregator Guidelines, 2025, passengers can choose to tip a driver only after their journey has been completed.

Importantly, drivers will receive the full amount of the tip without any deductions by the aggregator. The ministry emphasised that voluntary tips should not be linked to or perceived as influencing ride availability or driver responses during the booking process.

The ministry highlighted that the tipping mechanism must not mislead passengers or breach consumer protection legislation. Essentially, while tipping remains an option, it should not be contingent upon securing a ride.

Reasons Behind the Centre’s Decision

The Centre’s decision to enforce this ban follows reports of various ride-hailing platforms employing pre-ride messages that implied tips could affect service quality and ride allocation. A report from Business Today underscored that this directive reinforces an earlier advisory from the Central Consumer Protection Authority.

This latest action aims to ensure compliance with the legal guidelines introduced in 2025, reinforcing that tipping should not be a factor influencing the quality or availability of ride services. The directive insists on the necessity for aggregators to update their mobile applications and digital platforms in a timely manner.

The road transport ministry has called for immediate changes to these applications to adhere to the 2025 guidelines, reaffirming the importance of transparent practices in the ride-hailing sector. This measure seeks to protect passengers from potential exploitation through misleading prompts related to tipping.

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