Frequently Asked Questions
How many taxi and private hire drivers are there in England in 2024?
As of April 2024, there were 381,100 licensed taxi and PHV drivers in England, according to the Department for Transport. That figure includes a 13.6% year-on-year rise in PHV drivers, but licensed hackney carriage numbers fell 7.4% in the same period, reflecting continued structural pressure on the traditional taxi workforce.
What is the most effective strategy for retaining private hire drivers in 2026?
Industry survey data points to driver rewards programmes as the most effective retention tool. Beyond formal incentives though, operational transparency matters just as much. Drivers who can see objective, GPS-based job allocation and track their earnings in real time are less likely to feel the job is unfairly managed and more likely to keep working with your fleet long term.
Can small taxi operators afford dispatch software during a driver shortage?
Yes, and affordability is precisely why the timing matters. Cloud-based platforms like CAB-X start from £15 per vehicle per month with no long-term contracts and can be live within 24 to 48 hours. Operators running as few as four vehicles can access the same automated dispatch, Voice AI, and GPS tracking tools that larger fleets use, without enterprise pricing or multi-year commitments.
Does dispatch software actually help with driver recruitment?
Indirectly but meaningfully, yes. Self-employed drivers choosing between operators assess the quality of the tools they will work with. A modern driver app, transparent job allocation, and a professional booking system signal that an operator runs a serious business. That perception influences recruitment outcomes even before pay rates are discussed.
Why did so many UK taxi drivers leave the industry during the pandemic?
Approximately 160,000 cab drivers left during the 2020 and 2021 lockdowns, according to the Licensed Private Hire Car Association. Many cited rising operational costs and inconsistent income as reasons they did not return. Some moved into other industries and found more predictable earnings there. The self-employed nature of most driver contracts (89.1% of the workforce) meant there was no structural reason to return once they had found alternatives.
