Thinking about a career as a taxi driver? It’s a flexible, sociable job that can work as a full-time career or a side income. This guide covers everything you need to know to get started.
Already decided it’s for you? Take a look at the pros and cons of becoming a taxi driver before you dive in.
Taxi insurance
If you do become a taxi driver, make sure you have a suitable taxi insurance policy in place. Get a cheap, simple quote below.
Why become a taxi driver?
Taxi driving offers flexible hours, the chance to be your own boss, and the opportunity to meet new people every day. Whether you want full-time work or something more flexible, it can provide a steady, reliable income.
Step-by-step guide to becoming a taxi driver
1. Understand the role
Taxi drivers transport passengers safely and efficiently. The job requires good customer service, solid knowledge of local routes, and the ability to stay calm in traffic. It’s more than just driving — you’re representing a service.
2. Meet the basic requirements
Before you apply for anything, make sure you meet these basics:
- You must be at least 21 years old
- You need at least one year of driving experience
- You must have the legal right to live and work in the UK
3. Get your taxi driver’s licence
This is the most important step. The process varies by location, but generally involves:
- A background check
- A medical examination to confirm you’re fit to drive
- A knowledge test covering local routes and landmarks — read our guide on how to pass a taxi knowledge test to get prepared
4. Choose your vehicle type
Decide whether you want to drive a Hackney carriage (a traditional taxi that can be hailed on the street) or a private hire vehicle (which must be pre-booked). The licensing requirements differ slightly between the two, so it’s worth researching which suits you best before you apply.
5. Get the right vehicle
Your vehicle needs to meet standards set by your local licensing authority, including regular safety inspections. It also needs to be properly insured as a taxi — standard car insurance won’t cover you.
6. Complete any required training
Some areas require specific training, such as customer service or disability awareness courses. These aren’t just a box-ticking exercise — they help you provide a better service and can set you apart from other drivers.
7. Apply for your taxi badge
Once everything else is in place, apply for your taxi badge. You’ll need to display it clearly when you’re working. It’s your proof that you’re licensed and ready to operate.
Decide how you want to work
You can join a taxi company or go independent. Working for a company offers more stability and a steady flow of customers. Going independent gives you more freedom but requires you to find your own work. Both have their merits depending on what you’re looking for.
How much does it cost to become a taxi driver?
Here’s a rough breakdown of the typical costs involved:
- Licensing fees: £150 to £400 (application, knowledge test, and medical exam combined)
- Vehicle purchase or lease: £5,000 to £20,000 depending on whether you buy or lease
- Vehicle modifications (if needed): £500 to £2,000 for accessibility adaptations
- Vehicle inspection fee: £50 to £100 per inspection
- Taxi insurance: £1,000 to £3,000 annually depending on your history and vehicle. Read our guide on how much taxi insurance costs.
- Training courses: £100 to £300 if required
- Extras: Uniforms, equipment, fuel, and maintenance on top of the above
Ready to get started?
Becoming a taxi driver is straightforward if you follow the steps and stay on top of the requirements. Once you’re up and running, make sure you’ve got the right insurance in place.
Get a taxi insurance quote and keep your new career moving. And once you’re out on the road, take a look at our essential tips for a new taxi driver to hit the ground running.


