Becoming a taxi driver in the UK requires 5 essential steps: obtaining a full UK driving licence, passing an enhanced DBS check, completing a Group 2 medical examination, undertaking taxi driver training, and securing a taxi driver’s licence from your local council or Transport for London. The process typically takes 8 to 16 weeks for standard applications, though London black cab drivers must complete the Knowledge test which takes 3 to 4 years. At Carvine, we understand the commitment required to enter this profession, and we specialise in providing flexible vehicle finance solutions to help aspiring taxi drivers secure the right vehicle without financial strain.
The taxi driving profession offers flexible working hours, competitive earning potential averaging £24,000 to £29,934 annually, and the independence of being self-employed. Whether you aspire to drive a hackney carriage, operate as a private hire driver, or pursue the prestigious London black cab route, understanding the requirements, costs, and application process is crucial for your success.
Weeks to Licence
Average UK Salary
Startup Costs
Minimum Age
What Are the Basic Requirements to Become a Taxi Driver?
Most councils require applicants to be 18 years old, though some mandate a minimum age of 21. London black cab drivers must be at least 21 to receive their licence, despite being able to start the Knowledge training at 18.
Your driving licence must be valid and in good condition. The 12-month minimum holding period increases to 3 years for Transport for London applications. Your licence must show your current address, and you must provide a DVLA check code to allow authorities to verify your driving record.
Right to work documentation is mandatory. UK citizens typically provide a passport or birth certificate. EU nationals and foreign applicants must submit documents from List A (permanent right to work) or List B (temporary right to work) as specified in Home Office guidance. Some councils require a Certificate of Good Conduct from your home country if you have lived outside the UK for significant periods.
Which Medical and Background Checks Do Taxi Drivers Need?
Group 2 Medical Examination
The Group 2 medical examination follows DVLA standards for bus and lorry drivers. This assessment costs between £60 and £140 depending on your GP or medical provider. The examination must be completed by a doctor with access to your full medical records.
The medical assessment covers 8 key areas. These include cardiovascular health, blood pressure, vision standards, diabetes management, neurological conditions, mental health, medication effects, and physical disabilities. Your doctor evaluates whether you meet the required standards in each category.
Vision Requirements
You must achieve visual acuity of at least 6/9 in the better eye and 6/12 in the other eye, with or without corrective lenses. Your horizontal visual field must be at least 160 degrees. Some doctors complete vision assessments, whilst others require you to obtain a separate report from an optician or optometrist.
Medical certificates remain valid for 4 months from the issue date. Renewals are required at specific ages. Drivers need a new medical at age 45, then every 5 years until age 65, and annually thereafter.
Enhanced DBS Check
The enhanced Disclosure and Barring Service check costs £49.50 as of December 2024, increased from £38. This criminal record check reveals convictions, cautions, warnings, reprimands, and spent convictions. Enhanced checks also include information held by local police that may be relevant to the role.
The DBS process takes several weeks to complete. Authorities provide login details for online applications, which are faster than postal submissions. You must present original identification documents at an appointment to verify your identity.
Save Money with DBS Update Service
The DBS Update Service costs £16 per year and offers significant savings. Subscribing within 30 days of receiving your certificate allows licensing authorities to check your status online without requiring a new application. This saves over £200 across a 3-year licence period and eliminates the need for repeat applications every 6 months.
What Training and Tests Must You Complete?
Taxi Driver Training Courses
Two National Vocational Qualifications are available for aspiring taxi drivers. The Level 2 Certificate in Road Passenger Vehicle Driving: Taxi and Private Hire covers practical driving skills. The Level 2 Certificate in Introduction to the Role of the Professional Taxi and Private Hire Driver addresses professional responsibilities and customer service.
These qualifications require 2 GCSEs at grades A to D (or equivalent). Many councils offer free training courses lasting 2 to 4 days. Examples include Lancaster and Morecambe College providing free 2-day courses that include local knowledge testing and safeguarding assessments.
Driving Skills Assessment
A practical driving test demonstrates your ability to drive safely with passengers. Providers include IAM RoadSmart and the Blue Lamp Trust, with tests costing approximately £69. The assessment evaluates observation skills, vehicle control, consideration for other road users, and professional driving standards.
The test differs from a standard driving test. Examiners assess your ability to drive smoothly, communicate effectively, and maintain passenger comfort. London taxi drivers must also demonstrate competence in loading, unloading, and securing wheelchairs, as every London black cab includes a side-entry wheelchair ramp.
Local Knowledge Test
Local knowledge requirements vary significantly between councils. Tests assess your understanding of local roads, landmarks, and efficient route planning. Some councils charge £27 to £87 for knowledge tests, with re-sit fees applying for failed attempts.
The Knowledge of London requires memorising approximately 25,000 streets and 100,000 locations within a 6-mile radius of Trafalgar Square. Candidates learn 320 routes (called “runs”) from the Blue Book, passing through 7 stages over 3 to 4 years. Appearances are verbal examinations occurring every 56, 28, or 21 days depending on the stage.
Private hire drivers face lower knowledge standards than taxi drivers. Private hire journeys are pre-booked, allowing drivers time to plan routes using maps and navigation tools.
Safeguarding and Additional Training
Safeguarding training protects vulnerable passengers. Courses cover child protection, recognising exploitation signs, reporting procedures, and supporting passengers with special needs. Many councils integrate safeguarding into their knowledge tests or require separate certification.
Some authorities mandate disability awareness training. This ensures drivers understand how to assist passengers with mobility issues, visual impairments, hearing loss, and cognitive disabilities.
How Do You Apply for a Taxi Driver’s Licence?
Application Process
- ✓ Gather all required documents including DBS certificate, Group 2 medical certificate, training certificates, knowledge test results, driving assessment certificate, DVLA check code, proof of right to work, and proof of address
- ✓ Complete the online application form with application fees varying between £92 and £246 depending on the council and licence duration
- ✓ Complete an HMRC tax check introduced in April 2022 which confirms your registration to pay tax on income from licensed work
- ✓ Processing times range from 4 weeks to 4 months depending on council workload
Licensing Interview
Once your checks are complete, licensing officers schedule a final interview. This appointment verifies your identity, confirms your right to work, and ensures all documentation is authentic. Officers review your original documents including driving licence, passport, and training certificates.
The interview also covers your understanding of licensing conditions. Officers explain your responsibilities regarding insurance, vehicle standards, fare regulations, and professional conduct. You may need to appear before a licensing regulatory board if you have criminal convictions or other concerns affecting your fitness to hold a licence.
Upon approval, you receive your driver’s badge and licence. The badge must be clearly visible when driving a licensed vehicle. Licences specify whether you can drive hackney carriages, private hire vehicles, or both (dual licence).
What Are the Different Types of Taxi Licences?
Dual Licence Option
Some councils offer dual licences permitting drivers to operate both hackney carriages and private hire vehicles. This provides maximum flexibility, allowing drivers to work for private hire operators and accept street hails depending on the vehicle they are driving. Dual licences typically cost slightly more than single-category licences but avoid the need to maintain two separate licences.
What Insurance Do Taxi Drivers Need?
Public Hire Insurance (Hackney Carriage)
Public hire insurance, also called hackney carriage insurance or public taxi insurance, covers taxis that can be hailed in the street. This insurance addresses risks associated with picking up passengers without prior booking.
Coverage includes third-party liability (injury or damage to other road users), passenger liability (injury to passengers in your vehicle), and damage to your own vehicle (if comprehensive cover is chosen). Public liability insurance protects against claims from passengers or the public for injuries or property damage occurring during or related to your service.
Private Hire Insurance
Private hire insurance covers vehicles accepting only pre-booked journeys. This insurance is essential for drivers working with operators or app-based platforms like Uber.
Coverage mirrors public hire insurance in scope but specifically covers pre-booked trips only. Private hire drivers are not insured to pick up roadside fares, and doing so voids their insurance protection.
Additional Insurance Requirements
Public liability insurance is required by most councils as a licence condition. Although not legally mandated, it covers legal fees if a passenger or member of the public is injured or their property is damaged. Policies typically offer £5 million to £10 million coverage.
Employers’ liability insurance is legally required if you employ other drivers. The Employers’ Liability (Compulsory Insurance) Act 1969 mandates minimum cover of £5 million.
Insurance costs vary based on location, vehicle type, driver experience, claims history, and annual mileage. Taxi drivers typically pay £1,200 to £3,000 annually due to increased mileage, passenger-related risks, and urban driving conditions.
How Much Do Taxi Drivers Earn?
Regional Earnings Variations
Factors Affecting Income
Hours worked directly impact earnings. New drivers often work 60+ hours per week to approach £30,000 annually. Part-time drivers working 20 to 30 hours earn proportionately less but benefit from flexibility.
Peak times offer higher earnings potential. Rates increase to £18 to £25 per hour during weekend evenings, bank holidays, and major events. Strategic scheduling to coincide with high-demand periods maximises income.
Operating costs reduce gross earnings. Fuel expenses, insurance premiums (typically £1,200 to £3,000 annually), vehicle maintenance, council licence fees, and vehicle finance payments consume significant portions of revenue. Self-employed drivers also pay income tax and National Insurance contributions.
What Are the Costs of Becoming a Taxi Driver?
Vehicle Costs
Vehicles represent the largest investment. New LEVC electric taxis cost approximately £55,000 to £65,000. Used taxis range from £10,000 to £40,000 depending on age, mileage, and condition. Private hire vehicles vary widely, with options from standard saloons costing £8,000 to luxury executive vehicles exceeding £50,000.
Carvine Vehicle Finance Solutions
Vehicle finance helps spread costs over manageable monthly payments. At Carvine, we specialise in taxi and LEVC finance with flexible terms from 24 to 60 months. We offer competitive rates starting from 9.9% APR, with options for those with imperfect credit histories.
Our typical finance example shows borrowing £54,000 over 5 years results in monthly payments of £1,121.80 with a representative APR of 20.50%.
We understand that CCJs, defaults, and self-employment status should not prevent you from pursuing your taxi driving career. Our panel of specialist lenders evaluates each application individually, considering your circumstances and ability to repay rather than relying solely on credit scores. No deposit options are available for LEVC vehicles, helping you start earning without substantial upfront capital.
What Are the Benefits of Becoming a Taxi Driver?
Set your own schedule around family, childcare, education, and personal commitments. Work mornings, evenings, weekends, or whenever suits you.
Operate as self-employed with full control over business decisions, work intensity, and customer interactions.
Your income reflects your effort. Work longer hours during peak times to maximise earnings with no ceiling limiting potential.
No university degrees or advanced qualifications required. Basic literacy and short training courses suffice.
Daily interactions with diverse passengers provide social enrichment, cultural learning, and networking opportunities.
Develop intimate knowledge of your region, discovering efficient routes, hidden locations, and area developments.
How Does Carvine Support Aspiring Taxi Drivers?
We at Carvine specialise in vehicle finance solutions tailored to taxi drivers’ unique circumstances. Our understanding of the taxi industry’s financial challenges positions us to provide appropriate funding for hackney carriages, private hire vehicles, and LEVC electric taxis.
Flexible Finance Options
Our finance products accommodate various employment situations. Self-employed drivers, new starts, and those with adverse credit histories all receive consideration. We access a wide panel of specialist lenders who evaluate applications individually rather than using automated credit scoring systems.
CCJs, defaults, and missed payments do not automatically disqualify you. Our lenders examine your current ability to meet repayments, your business plan, and your commitment to the taxi profession. This approach helps more aspiring drivers access the vehicles they need to begin earning.
LEVC and Black Cab Specialists
We particularly love LEVCs and offer competitive finance for these electric vehicles. LEVC models are ideal for Ultra Low Emission Zones in London and other cities, providing the range and reliability taxi drivers require.
No deposit options are often available for LEVC vehicles. This eliminates the barrier of substantial upfront capital, allowing you to start working immediately. Monthly repayments are structured to align with typical taxi income, ensuring affordability throughout your finance term.
Application Process
Our online application form takes minutes to complete. You receive responses quickly, often within minutes for straightforward cases. Our expert team then contacts you to discuss your options, explain terms, and guide you through document submission.
We prioritise getting you on the road quickly. Fast decision-making and efficient processing mean less time waiting and more time earning. Our team understands that delays cost you income, so we streamline every stage without compromising thorough assessment.
Ready to Start Your Taxi Driving Career?
Becoming a taxi driver represents a significant career decision with substantial earning potential and lifestyle benefits. Understanding the requirements, costs, and application process ensures you enter the profession fully prepared.
At Carvine, we stand ready to support your journey with flexible, accessible vehicle finance that respects your individual circumstances and ambitions.
