London Taxi and Private Hire Drivers Confront Major Fee Increases from March 2026
Thousands of taxi and private hire drivers in London are facing substantial new costs for licenses and mandatory tests, as Transport for London has confirmed significant price hikes set to take effect in the coming months. These increases will impact both drivers and their customers across the capital.
Detailed Breakdown of the New Fee Structure
Starting from March 9, 2026, drivers will experience a notable rise in assessment fees. The Knowledge of London assessment fee will increase to £225, up from £200, while the appearance fee will rise to £425 from £400. Additionally, taxi drivers will see the safety, equality and regulatory understanding (SERU) test cost jump from £36 to £40, with resit fees surging from £16 to £30.
A new £40 fee will be introduced for the topographical skills test, English language speaking and listening test, and SERU assessment. Further changes are scheduled for June 1, 2026, when taxi driver license prices will climb from £120 to £138, and vehicle license applications will escalate to £205. These same pricing adjustments will apply to private hire vehicle drivers and their vehicles, according to official documents released by Transport for London.
Official Statements and Industry Concerns
Elly Baker AM, chair of the London Assembly Transport Committee, expressed serious concerns about the timing and impact of these fee increases. She warned, "Delays to issuing private hire licenses have caused a breakdown of trust in TfL, and efforts need to be made to rebuild that trust - particularly with private hire drivers and their Trade Unions. These delays are having a serious impact on driver wellbeing - preventing them from being able to work, earn money, and support their loved ones."
In response, Transport for London issued a statement explaining the rationale behind the changes: "Following a review of taxi and private hire driver and vehicle license fees, some fees are being changed. This is the first change to license fees since 2017. Further information about the changes to the taxi and private hire license fees is available in the Finance Committee Taxi and Private Hire License Fees Review paper."
The Finance Committee approved these adjustments on February 25, 2026, with some assessment fee modifications taking effect on March 9, 2026. These developments mark the most significant overhaul of London's taxi and private hire fee structure in nearly a decade, potentially affecting the operational costs for thousands of drivers throughout the city.
