LONDON TAXI FARE REVIEW: A balanced update for the capital’s cab drivers arrives in April

The Licensed Taxi Drivers’ Association (LTDA) expressed approval of the latest fare adjustments, which include an 8.92% increase across all tariffs, deemed a fair reflection of the Trade Tariff Committee's successful negotiations with Transport for London (TfL).

Steve McNamara, the General Secretary of the LTDA, shared insights on the complex subject of taxi fares within the capital. According to McNamara, the process of setting taxi fares is contentious, with opinions abound even from those outside the taxi-using public.

McNamara also highlighted the diverse opinions among taxi drivers regarding tariffs, influenced by their working hours and days. The debate over what tariffs are acceptable extends further to the initial charge, known as the drop or flag fall, and the running rate, demonstrating the intricate considerations involved in fare determination.

A noteworthy alteration is the abolition of Tariff 4, the separate rate for journeys beyond 6 miles, which will now align with Tariff 2 rates and be clearly indicated on the taxi meter.

These fare modifications come as part of TfL’s Finance Committee’s recent decision to implement an 8.92% fare increase this April, encompassing Tariffs 1, 2, and 3. The reform aims at simplifying fare structures, including a reduction in the additional charge for Heathrow trips from £3.60 to £2.00. Moreover, there will be an adjustment in fixed rates for shared taxi services to Wimbledon Station and between Southfields Station and the All England Lawn Tennis Club during the Wimbledon Tennis Championships.

McNamara said in TAXI Magazine: “The thing about taxi fares is that everyone has an opinion, even people who have never set foot in a cab think they are qualified to tell us what we should charge.

“Every cabbie, dependant on how they work i.e. what hours and what days, favours one tariff over another. The debate about how much the drop (flag fall) should be, as opposed to how much should be applied to the running rate, also produces as many computations as there are cabs!

“It’s never going to please everyone, but I think this year’s figure of an 8.92% increase across all three tariffs is about right and represents a job well done by the Trade Tariff Committee in their negotiations with TfL.

“I also think that the decision to get rid of the separate rate unofficially known as Tariff 4 (the fare after 6 miles), and replace it with Tariff 2 which will now show on the meter is another good compromise.

“Going forward I welcome discussions about the timings and differences in the various tariffs to reflect the changing demand for cabs post pandemic.”