What does a council charge to license a driver and a car?
Each council publishes its own fees. Leeds is a useful worked example because it lists every step separately.[1]
| Item | Fee | Running total |
|---|---|---|
| Driver: admin fee + application | £30 + £120 | £150 |
| Driver: DBS check | £70 | £220 |
| Driver: customer care course | £55 | £275 |
| Driver: English comprehension test | £25 | £300 |
| Vehicle: application | £135 | £135 |
| Vehicle: inspection | £45 | £180 |
| Vehicle: livery | £45 | £225 |
| Vehicle: rear plate or sticker | £18 | £243 |
| Later: driver renewal | £150 for 1 year or £390 for 3 years | - |
| Later: vehicle renewal | £135 | - |
Totals are our sums of the listed fees; a medical and the operator licence are extra. Other councils' fees are compared in our taxi licence cost guide.[1]
Fees in 13 other areas are compared in taxi licence costs across UK councils.
Which licences does a new UK taxi firm need?
To take private hire bookings in England and Wales you need an operator licence, and the drivers and vehicles you send must be licensed by the same authority. A vehicle that can carry 9 or more passengers for hire needs a PSV operator licence instead. Scotland and Northern Ireland run their own systems.[2][3][4]
See the private hire operator licence, Scotland and Northern Ireland.
What else goes in a UK taxi start-up budget?
The car and its insurance for hire and reward, card fees (Stripe charges 1.5% + 20p for a standard UK card), dispatch software, marketing and a few months' working capital. If you will drive in a Clean Air Zone (Bath, Birmingham, Bradford, Bristol, Portsmouth, Sheffield or Tyneside), check the car meets its standard or you may have to pay to drive there; London and Scotland run their own low emission zones.[5][6]
How long before a new UK taxi business earns?
Not until drivers and cars are licensed, which takes weeks: GOV.UK says enhanced DBS checks usually take around 8 weeks, and tests, training and inspections need booking too. Budget for that gap.[7]
Step by step: how long it takes to get a taxi licence.
Frequently asked questions
Do I need an operator licence if I only drive myself?
To drive a private hire vehicle in England and Wales you need either your own operator licence or to drive for a business that has one, so a lone driver can start under someone else's licence.
Can I start a UK taxi business with no money?
Not with none: licence fees and insurance come first. Driving for an existing licensed operator and renting a licensed car keeps the start-up cost to your own driver licence and weekly payments.
Sources
Fees and rules change. Each source is the official page we read, with the date we read it; check it before you apply or pay.
- [1] Leeds City Council: Taxi and private hire licensing costs (read 2 Nov 2026)
- [2] GOV.UK: Operator licences for private hire vehicles (read 2 Nov 2026)
- [3] GOV.UK: Vehicle licences for taxis or private hire vehicles (read 2 Nov 2026)
- [4] GOV.UK: PSV (public service vehicle) operator licences (read 2 Nov 2026)
- [5] Stripe: UK pricing (read 2 Nov 2026)
- [6] GOV.UK: Drive in a clean air zone (read 2 Nov 2026)
- [7] GOV.UK: Criminal record checks when you apply for a role, how long it takes (read 2 Nov 2026)