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FREENOW backs proposed London taxi fare rise citing fairer pay for cabbies

Updated: Feb 22



FREENOW has welcomed Transport for London’s (TfL) proposed taxi fare increases, calling them essential to ensuring fair pay for black cab drivers. Sam Pooke, Senior Policy Manager at FREENOW UK, said the changes would help address rising operational costs and make the trade more attractive to new drivers.


TfL’s recommendations, set to be reviewed by its Finance Committee, include a rise in the minimum fare, adjustments to tariffs, and revisions to charges at Heathrow Airport. If approved, the starting fare for a London taxi will increase by 40p to £4.20. Tariffs 1, 2, and 3, which vary depending on the time of day, will rise by 5.05%. Journeys over six miles will continue to be charged at Tariff 2 rates.

The changes reflect a rise in the Cost Index, which tracks expenses faced by taxi drivers, including vehicle maintenance and insurance. Heathrow-related charges are also set for revision. The additional fee for pick-ups from the airport’s official taxi ranks will drop from £2.00 to £1.60, following a reduction in the amount Heathrow Airport Limited (HAL) charges drivers for feeder park access. However, the drop-off charge at Heathrow terminals will rise from £5.20 to £6.00, aligning with HAL’s latest fee structure.


Shared taxi fares from the All England Lawn Tennis Club (AELTC) during the Wimbledon Championships will also increase by £1.50. TfL is reviewing changes to pick-up locations and an expansion of the fixed-fare scheme’s coverage.

The proposals follow a public consultation that drew 1,313 responses. Views were split, with disability groups and other stakeholders warning of affordability concerns, while taxi associations argued that without fare increases, driver shortages could worsen.


TfL says the adjustments are necessary to ensure taxi driving remains a viable profession. If approved, the new fares will take effect in April 2025.

Sam Pooke, Senior Policy Manager at FREENOW UK, said: “FREENOW welcomes the proposed fare increase as an important step in ensuring taxi drivers receive fair compensation for their work. With rising operational costs and uncertainty around wider governmental support for the essential role black cab drivers play in keeping London moving, it’s vital that fares reflect the industry's realities. We remain committed to supporting drivers’ livelihoods and helping make the trade a more attractive career choice for new drivers, ensuring there is a healthy pipeline of new cab drivers.”


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