Card fees for paying for London taxis removed for all passengers

James Nickerson
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Taxis will have to accept cards in October (Source: Getty)

Those using cards to pay for their London taxis will no longer have to pay a surcharge, in a move that will help keep the industry competitive against the likes of Uber.

The move means passengers should never pay more than the amount shown on the meter due to the method of payment that is used.

The previous cost of paying by card was £1 or 10 per cent of the fare, whichever was greater.

The announcement comes after it was announced earlier this week that London black cab drivers launched a plan to save the industry against competitive pressures.

The news also follows a decision by Transport for London in February that will require all licensed taxis to accept card payments including contactless in October.

Garrett Emmerson, TfL's chief operating officer for surface transport, said: "We are pleased to be able to reduce the cost for taxi passengers paying by card, as people now use them in every aspect of their lives. The acceptance of these types of payments in all taxis from October will be a huge plus for Londoners, visitors and drivers.

"We also know that customers want to be able to contact us quickly and easily when they have an issue, want to pass on a commendation or tell us how we can do things better. The new helpline and online feedback facility allows people using both private hire and taxi vehicles to do this."

To compensate drivers for costs associated with accepting cards there has been an increase of 20 pence on the minimum fare, bringing it to £2.60.

There are also a number of other changes to fares that will take place, including an overall increase of 1.6 per cent in average taxi fares.