Taxi driver licence cost: £200-£900, set by your local council.
Taxi licensing in the UK is run by local councils, not the DVSA. Costs vary by council from £200 (some private hire-only areas) to £900+ (Hackney in busy cities). Plus the optional DVSA taxi assessment at £55 if your council accepts it.
Typical UK private hire bill
- Council licence application£150
- Knowledge test£40
- DBS enhanced check£49
- Group 2 medical (GP)£100
- DVSA taxi assessment (optional)£55
- Typical private hire total£394
There is no national taxi licence in the UK.
Unlike the DVSA driving licence categories, UK taxi licensing is run by local councils under the Local Government (Miscellaneous Provisions) Act 1976. Each council sets its own fees, knowledge-test difficulty, vehicle inspection requirements and renewal cycle. A taxi licence issued by, say, Manchester City Council is valid only for taxi work originating in Manchester City Council's area; it does not let you operate as a Hackney in Trafford or Salford.
That fragmentation means the total cost of becoming a taxi driver varies materially by location. A private hire driver in a smaller council area might pay £200-£300 to get licensed. A Hackney driver in a busy city with a hard knowledge test could spend £700-£900 on initial licensing, plus the time investment in the knowledge test which is often the largest hidden cost.
Most councils require the Group 2 medical that HGV and PCV drivers also need (£80-£150 from a GP), an enhanced DBS check (£49 to DBS plus any council admin fee), a knowledge test on local geography and licensing rules, and (for Hackney drivers in some council areas) a separate driving test that goes beyond the standard DVSA practical.
Find your local council's licensing pages via gov.uk/find-local-council. The DVSA taxi assessment is at gov.uk/taxi-driving-assessment.
The most expensive taxi qualification in the UK.
Becoming a London Hackney (black cab) driver requires passing The Knowledge of London, administered by Transport for London. The Knowledge is the most demanding taxi qualification in the world: candidates must memorise 320 standard routes (called the Blue Book), thousands of points of interest, and the optimal route between any two points within a six-mile radius of Charing Cross. The qualification typically takes 2-4 years of part-time study.
TfL fees come to around £200 to start the Knowledge plus £400 in appearance fees across the qualification process. Knowledge of London preparation courses from established schools (such as Knowledge Point Central or the WizAnn Knowledge School) run £500-£1,500 per year of study, with the total course spend usually £1,500-£4,000 over the 2-4 years. Add the standard licensing fees (taxi badge, DBS, medical) of £400-£600 and the all-in cost to a working London Hackney licence is typically £2,000-£5,000.
Private hire drivers in London (Uber, Bolt, ComCab) qualify under TfL's separate Private Hire Driver licence, which does not require the Knowledge and is much cheaper and faster (typically £400-£700, qualified in 2-3 months including DBS, medical, and a topographical assessment). Most new London taxi drivers go the private hire route for that reason.
Current TfL fees at tfl.gov.uk/info-for/taxis-and-private-hire.
The car bill that comes after the badge.
Council licensing is only the entry ticket. The actual money spend for a working taxi or private hire driver is the vehicle and the operating cost. Most councils require the vehicle itself to be licensed annually, with an MOT-equivalent inspection at six-month intervals, livery requirements for Hackney carriages, and a year-by-year renewal fee of typically £150-£400 paid to the council.
Vehicle choice is constrained by council rules. Hackney carriages in most councils must meet a wheelchair-accessibility standard (the classic London TX or LEVC TX electric taxi, the Mercedes Vito conversion, or a few approved London-style equivalents). The vehicle alone runs £35,000-£60,000 new or £18,000-£35,000 for a 2-3 year old used example. Most Hackney drivers finance the vehicle via a 4-5 year personal contract purchase, with monthly payments of £450-£800.
Private hire vehicles have looser specification rules. Most councils require a four-door saloon (Toyota Prius, Skoda Octavia, Hyundai Ioniq) of model year typically not older than five years at registration. New private hire vehicles cost £25,000-£40,000; used three-year-old examples £14,000-£22,000. PCP financing runs £300-£550 per month. Private hire drivers using ride-share platforms (Uber, Bolt) sometimes rent vehicles from approved fleet operators at £180-£280 per week, which is cash-flow friendly but absorbs most of the per-trip profit margin.
Specialist taxi or private hire insurance runs £1,800-£3,500 per year for most drivers, materially more than personal motor insurance because of the higher claim frequency per mile. Annual fuel for a full-time taxi driver running 35,000-45,000 miles is £4,500-£6,500. Servicing and tyres add another £1,200-£2,200. Add the council renewal, the DBS renewal every 3 years (£49), and the medical every 5 years (£100), and the total ongoing operating cost for a full-time taxi driver typically lands at £14,000-£22,000 per year before earning the first pound of profit.
Verify your council's specific vehicle requirements before committing. Most councils publish their taxi and private hire vehicle specifications online, including the maximum vehicle age, livery requirements and inspection schedule.
Taxi driver FAQ.
How much does a UK taxi licence cost?+
£200-£900 total depending on the council. Local councils set most of the fees, not the DVSA. Typical components: taxi driver licence application £100-£400, knowledge test £30-£150, DBS enhanced check £49, group 2 medical £80-£150, optional DVSA taxi assessment £55. Private hire (Uber, Bolt) tends to be cheaper than Hackney carriage (black cab) because Hackney requires the more demanding knowledge test.
Is there a DVSA-administered taxi test?+
The DVSA offers a voluntary taxi-driver assessment at £55 weekday. It is not compulsory in most council areas. The assessment is a 30-40 minute on-road drive with a DVSA examiner focused on passenger comfort, safe pick-up and drop-off, and customer service. Some councils accept this assessment as evidence of competency in place of their own driving test.
What is the difference between Hackney carriage and private hire?+
Hackney carriage (black cab, taxi) can be flagged down on the street and pick up from designated ranks; private hire (Uber, Bolt, local minicab firms) must be pre-booked and cannot be flagged. Licensing requirements differ. Hackney typically requires a harder knowledge test (in London, the famous Knowledge can take 2-4 years). Private hire is faster and cheaper to qualify for but commands lower per-trip earnings.
How much is the London Knowledge?+
Transport for London charges £200 to apply for the Knowledge plus around £400 in appearance fees across the 2-4 year qualification process. Knowledge of London course fees from established schools run £500-£1,500 per year. Most candidates spend £2,000-£4,000 in total over the 2-4 years to become a fully licensed London Hackney (black cab) driver, on top of the time investment.
Do I need an enhanced DBS check?+
Yes for all UK taxi driver licences. The DBS Enhanced check costs £49 in 2026, paid directly to the Disclosure and Barring Service. Some councils run the check through their own portal and add a £20-£40 administration fee. The check must be renewed every three years to maintain your taxi badge.
Is the taxi licence ongoing?+
Yes. Most council taxi badges renew every three years at a fee of £150-£400. The DBS check renews every three years. The group 2 medical renews every five years up to age 45 and more frequently thereafter (same schedule as HGV).