The Queensland Parliament has approved legislation to impose tougher fines on illegal ride-sharing services in the state.

Uber drivers and other ride-sharing providers can expect fines of up to $2356 and administrators can be penalised up to $23,560 under the laws passed last week.

“This is not about denying access for companies to enter the transport market in Queensland,” MP Robbie Katter said. “This bill is about a fair and level playing field for the taxi industry.

“We could not stand by and let these services continue to undermine the Government’s own legislation and the livelihood of people.”

Ride-sharing services are illegal in the state although the status quo may change pending a review of the taxi industry that is expected to report to Parliament in August.

According to a Queensland parliamentary report, several taxi industry stakeholders say ride-sharing drivers enjoy an unfair advantage as they are not required to comply with legislated regulations including compulsory third party (CTP) insurance requirements.

“Many submitters alluded to the fact that they are not against competition in the industry but support competition being on a level playing field where all participants are required to abide by legislated regulations, particularly those relating to safety, insurance, licensing and taxes,” the report says.

One submission says it costs a taxi operator about $12,000 a year to comply with CTP, registration, comprehensive insurance and drive protection, compared with just $550 for a ride-sharing driver.