TfL reveal proposed London taxi fare increases for April 2025 heading for approval later this month
Transport for London (TfL) has recommended changes to taxi fares and tariffs for 2025, aiming to balance driver earnings with affordability for passengers. The proposal, set to be considered by TfL’s Finance Committee, includes a rise in the minimum taxi fare, adjustments to tariffs, and revisions to charges related to Heathrow Airport.
If approved, the minimum taxi fare will increase by 40p to £4.20. Tariffs 1, 2, and 3, which apply at different times of the day, will rise by 5.05%. Tariff 4, which applies to journeys over six miles, will remain aligned with Tariff 2. These adjustments follow an increase in the Cost Index, which reflects the rising expenses faced by taxi drivers, including vehicle and insurance costs.
Changes to Heathrow-related charges are also on the table. The extra fee added to taxi fares for pick-ups from Heathrow’s official ranks will be reduced from £2.00 to £1.60. This reflects a drop in the fee Heathrow Airport Limited (HAL) charges drivers to access the airport’s taxi feeder park. Meanwhile, the drop-off charge at Heathrow terminals will increase from £5.20 to £6.00, matching the fee HAL imposes on taxi drivers.
Shared taxi fares for journeys from the All England Lawn Tennis Club (AELTC) during the Wimbledon Championships will see a £1.50 increase. TfL is also considering changes to pick-up points and an extension of the fixed-fare scheme’s coverage.
The recommendations follow a public consultation in which TfL received 1,313 responses. Opinions were divided on fare increases, with some stakeholders, including disability groups, warning of affordability concerns for those reliant on taxis. Others, such as taxi driver associations, argue that without fare adjustments, driver shortages could worsen.
TfL justifies the proposed changes as necessary to ensure taxi driving remains a viable profession. If approved, the new fares and charges will come into effect in April 2025.
