Lyft’s £40.7m Gett takeover sparks debate among London black cab drivers over future of taxi apps

The planned takeover of taxi app firm Gett by US ride-hailing giant Lyft has triggered debate across London’s licensed taxi trade, with drivers divided over what the deal could mean for competition, commission levels and future earnings.

Steve McNamara, General Secretary of the Licensed Taxi Drivers’ Association, said the proposed $55 million (£40.7 million) acquisition of Gett by Lyft had been met with “mixed views and opinions from the trade”.

Lyft, which has already acquired taxi and mobility platform Freenow, intends to gradually integrate Gett into its wider European operations. The move would place two of the largest black cab booking apps under the same ownership structure, potentially reshaping the digital booking market for licensed taxis in London and other UK cities.

McNamara said some drivers believe a larger, well-funded rival to Uber could benefit the trade by attracting more customers and increasing trip volumes. However, others fear consolidation could eventually result in higher commission percentages being charged to drivers using the combined platform.

LTDA chief Steve McNamara says drivers are divided on whether the merger of Gett and Freenow under Lyft ownership will strengthen earnings potential or lead to higher commission charges.

He said one of the biggest unknowns remains the number of active drivers regularly working across Freenow and Gett, adding that there is little visibility on how many subscribers consistently log on to either platform over sustained periods.

McNamara also pointed to increasing competition within the black cab app sector itself. He said newer entrants including Jump and BlackCab.com are beginning to challenge more established operators by promoting themselves as dedicated black cab platforms without links to private hire services. He added that ComCab continues to grow its customer base and app usage.

According to McNamara, criticism aimed at Freenow, Gett and ComCab over private hire connections is not new within the taxi industry. He said historic radio circuits including Dial-a-Cab, Radio Taxis and ComCab all operated some form of private hire offering during the late 1980s and early 1990s in order to retain major account customers.

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He argued that newer app platforms without private hire affiliations are benefiting from growing support among both drivers and passengers, describing their customer growth as “organic”. Industry observers say this reflects a wider effort by parts of the black cab sector to differentiate licensed taxis from private hire operators in an increasingly app-driven market.

Despite concerns surrounding consolidation, McNamara said the long-term impact of Lyft’s takeover remains uncertain until the integration process is complete. He added that drivers will ultimately prioritise whichever platform best supports their earning potential, warning that any changes negatively affecting driver income are unlikely to be accepted by the trade.

The acquisition comes as London’s taxi sector continues adapting to changing passenger habits, growing app usage and increased competition from private hire operators. The merger could further intensify competition between digital dispatch platforms seeking to secure both driver loyalty and corporate travel contracts across the capital.

Steve McNamara, General Secretary of Licensed Taxi Drivers’ Association (LTDA), said in TAXI Newspaper: “The news that Lyft, the biggest app rival to Uber, has now agreed to buy Gett for a staggering $55 million (that’s around £40.7 million) and plans to gradually merge it with its previous acquisition, Freenow, has been met with mixed views and opinions from the trade.

“Amongst those who see apps of any kind as the devil incarnate, it was never going to be welcomed news. Others who are on either FN or Gett, or in some instances both, have mixed views too. Some are arguing that having one giant Uber-type rival, with significant funding behind it, makes it better for customers, and logically therefore will provide more work and be better for us.

“Others are concerned that with both big apps under one umbrella, it’ll inevitably lead to a higher percentage charge to drivers.

“What no one knows is exactly how many drivers are currently subscribed to either Freenow or Gett and, more importantly, how many are currently ‘active’ or actually logging on regularly and for a sustained period of time.

“Perhaps the biggest unknown is how much loyalty to these apps their subscribers have. For the first time ever, they now have competition in the form of Jump and Blackcab.com, whilst ComCab, having never left the party, are getting increasingly busy and successful with their own app.

“Most of the criticism of Gett, Freenow and ComCab is that they have ties to private hire, as if this is something new. Back in the late ‘80s and early ‘90s, the big three driver-owned radio circuits, Dial-a-Cab (Lords), Radio Taxis (Mountview) and ComCab all had some sort of PH offering to appease their big account clients. Drivers

didn’t like it, but most accepted it was commercially necessary.

“Jump and Blackcab.com have the advantage of no tie- ins with PH in any way, shape, or form. This is therefore generating huge brand loyalty and support with their increasing customer base and is, what the marketing people call, ‘organic’.

“Once the shouting and screaming has settled down and the integration is complete, we will all have a better idea of how it will impact us as a trade. What I do know is that drivers tend to do what suits them and whatever helps their earning potential. So anything that impacts on that, won’t end well.“