Ride sharing service - for GA

[Fostex]

It was going to allow PPL's to do air experience flights and the like without an instructor rating for paying punters

There was an article in a recent Flight Training newspaper that suggested that this was Annex II only. Reading the document ( http://www.caa.co.uk/docs/33/Informa...ice2014093.pdf ) there is no mention of only applying to Annex II.

Currently having a debate about this so would appreciate another opinion.

If allowed on EASA aircraft it offers a cheap hour building route for PPLs heading to CPL and the option for clubs and schools to not have to fund instructors to fly in a non-instructional role.

[Level Attitude]

offers a cheap hour building route for PPLs heading to CPL

I seriously doubt that.
Why would an ATO (or other organisation) allow low hour pilots to conduct Air Experience Flights for the limited (by the regulation) number of their paying customers?

schools to not have to fund instructors to fly in a non-instructional role

Instructors will only be at ATOs. Air Experience (non-Instructional) flights will be so few and far between (as required by the regulation) that it will make no difference.