Rising fuel prices are hitting black cabs – Transport For London have given the go ahead for an extra 50p per journey if diesel reaches 154p per litre before February 2009.
February is the busiest time of the year for taxi insurance renewals, but if the oil price doesn’t hit the pump price fares won’t be reviewed until the normal time of April.
Taxi Insurance is a Fixed Cost
Taxi driver’s are at the mercy of legislated pricing – so whatever the price of their taxi insurance or fuel (which accounts for 10% of the cost of running a taxi), they can’t put up prices.
Fingers crossed taxi insurance prices fall!
