CASH NO LONGER KING: Taxi drivers say card payments have raced ahead of cash

The overwhelming majority of taxi drivers across the UK say card payments have raced ahead of cash as the method of payment for taxi fares.

Taxi drivers were asked by TaxiPoint whether cash or card were used more by passengers paying their taxi fare. Over 91% of 283 cab drivers asked said card payments are now higher than cash.

Drivers responding to the snap poll suggested that card payments account for roughly two thirds of their income, although this does vary dependant on how the drivers look for work.

A mixture of rising card payments using terminals located in the back of cabs and payments via app bookings, has seen the method of payment spike within the industry recently.

Contactless payment during the coronavirus pandemic was also seen as the preferred method of payment.

Cash is still important to taxi drivers for cash flow purposes to pay for daily ongoing costs. Card payments can take up to a week for the taxi driver to receive, although in most cases it's usually around 3 days.

Card payments also cost taxi drivers between around 3-4% in processing fees on each transaction.

Increasingly licensed taxis are becoming mandated to fit approved card payment devices within taxi vehicles.

In London all taxi drivers must accept card and contactless payments via the approved TfL fixed card payment device located in the passenger compartment and provide printed receipts for those payments upon request.

Any taxi found not complying with the requirement will be issued with an unfit notice, which will remain in place until the requirement is fulfilled and the vehicle is presented for inspection.