Cabbies in London will be required to accept card payments, including contactless, from October 2016 if new proposals from Transport for London (TFL) are approved.
Black cab customers will not pay any surcharges on their fares as TFL has negotiated with the credit card industry to bring down the cost of taking card payments for drivers.
Drivers will recoup their transaction fee through a proposed 20p increase on the basic fare, which would take it from the current £2.40 to £2.60.
London Mayor, Boris Johnson, said: “This is great news for the millions of people who use London’s world famous black cabs. This move will boost business for cabbies and bring the trade into the 21st century by enabling quicker and more convenient journeys for customers.”
If approved by the TFL board, the change will come into force in April 2016 with all black cab drivers required to accept contactless and card payments by October.
“This is a very positive change for taxi drivers and for our customers. London is increasingly a cashless city, with people using cards to pay for all aspects of their daily life - including transport,” explained TfL’s Chief Operating Officer for Surface Transport, Garrett Emmerson.
“We are seeing more and more people use contactless payments on our network, and mandating card payments in taxis will mean customers no longer have to consider how they might pay for a journey before getting into a taxi. It will also benefit drivers, who will see their services opened up to potential new business” said Emmerson.
Image credit: Rex Features