In the latest battle against newer taxi rivals such as Uber, London cabs will soon accept card and contactless payments, reports The Telegraph.
The proposals are being put forward by the Mayor and Transport for London (TfL), and are expected to be approved by the TfL Board in February.
“This move will boost business for cabbies and bring the trade into the 21st century by enabling quicker and more convenient journeys for customers,” said Mayor of London, Boris Johnson.
A consultation earlier this year found that an overwhelming 86 per cent of respondents backed proposals for card acceptance, with 68 per cent agreeing that passengers should also be able to pay using contactless payments.
Customers will not pay any surcharge on their fare if they pay by card. Instead, taxi drivers will recoup their transaction costs through a proposed 20p increase on the minimum fare, which is currently £2.40.
“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 Garrett Emmerson at TfL.
If approved, the fare change will start from April next year and all cabbies will need to accept card payments from October 2016.
