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SUPPORTING TWO AMBITIONS: How future Government funding could support electric taxi uptake and prioritise wheelchair-accessible vehicles
With the Plug-in Taxi Grant withdrawn and accessible taxi numbers falling, a targeted scheme supporting zero-emission wheelchair-accessible taxis could address both challenges.
Any future government financial support for taxi vehicle replacement should now prioritise zero-emission wheelchair-accessible vehicles rather than treating electrification and accessibility as competing objectives.
The Plug-in Taxi Grant (PiTG) ended in April without a direct national replacement for purpose-built taxis. Its withdrawal removed a discount worth up to £4,000 from qualifying new vehicles, leaving drivers and fleet operators to carry the full purchase and financing cost.
The scheme had supported more than 9,000 electric taxis nationally, backed by over £50 million of public funding. More than half of London’s licensed taxi fleet became zero-emission capable during the programme. However, new purpose-built electric taxis can now cost around £70,000 before finance charges and operating costs are considered.
Those costs are also an accessibility issue because these vehicles are both zero-emission capable and wheelchair accessible. Financial pressure that discourages their purchase therefore affects the pace of electrification and the availability of accessible transport.
TaxiPoint has reported that London’s wheelchair-accessible taxi fleet has fallen from approximately 22,000 vehicles to around 14,000 over the past decade. Separate figures showed that the number of licensed black cabs declined by 37% between 2011 and 2024, while the private hire vehicle fleet, of which only a small proportion is wheelchair accessible, increased by 57%.
The problem extends beyond London, whereby Denbighshire had only six wheelchair-accessible hackney carriages and eight accessible private hire vehicles in 2025. The shortage reduced competition for school transport contracts and contributed to higher procurement costs. The council considered relaxing vehicle age rules to prevent further accessible vehicles leaving the fleet.
Disabled passengers are disproportionately affected by shrinking taxi availability. Research found that people with mobility difficulties made an average of 17 taxi journeys annually, compared with eight among people without mobility difficulties. A 2026 London Taxi Drivers’ Association (LTDA) survey also found that one in four London black cab journeys involved a passenger with mobility needs.
The Government continues to offer a separate grant for qualifying zero-emission wheelchair-accessible vehicles. Eligible base vehicles must cost £50,000 or less, produce no tailpipe emissions and provide at least 70 miles of zero-emission range. However, that programme is principally structured around standard vehicles converted for wheelchair use and does not replace the former dedicated support for purpose-built electric taxis.
A general electric taxi subsidy could increase the number of low-emission vehicles without necessarily improving wheelchair availability. Equally, funding conventional accessible vehicles without an emissions requirement could lock operators into higher fuel costs and conflict with local clean-air policies.
The stronger policy option would be a targeted grant for new and used zero-emission capable WAV taxis. Payments could be linked to licensing conditions, minimum periods of service and evidence that vehicles are available for ordinary street-hail, rank or pre-booked work. Used-vehicle eligibility would also broaden access for drivers unable to finance a new £70,000 taxi.
Freenow by Lyft UK General Manager Danny O’Gorman previously told TaxiPoint: “Recruitment is only half the battle; the high cost of vehicles is one of the biggest pain points for drivers. If we want new drivers to stay, TfL must provide the financial support needed to handle rising vehicle costs to make the job sustainable for the long haul.”
He called for grants covering both new and used TX taxis, arguing that financial assistance could help address vehicle affordability and protect London’s accessible transport capacity.
The withdrawal of the PiTG has left policymakers with a narrower decision than the headline debate suggests. Funding does not need to choose between cleaner taxis and more wheelchair-accessible taxis. A replacement scheme focused on zero-emission capable WAVs could deliver both, while ensuring public money supports vehicles providing a measurable accessibility benefit.
