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Taxi licensing

Hackney carriage vs private hire: what is the difference?

A hackney carriage (taxi) can be hailed in the street, wait at ranks and take pre-booked work, charging no more than the fares its council sets. A private hire vehicle (minicab) may only carry passengers who booked in advance through a licensed operator, who sets the price. Both need their own driver and vehicle licences.

Last updated 5 official sourcesTaxiDex team

Key facts

Licensed taxis in England
52,300 (1 April 2026)[1]
Licensed private hire vehicles in England
290,000 (1 April 2026)[1]
Hackney carriage law
Town Police Clauses Act 1847 (and the 1976 Act)[3]
Private hire law (outside London)
Local Government (Miscellaneous Provisions) Act 1976[4]
Who licenses
The council, or TfL in London[2]

What can a hackney carriage do that a private hire vehicle cannot?

Only a hackney carriage may ply for hire: be hailed in the street or wait at a taxi rank for passengers. A private hire vehicle can only be pre-booked, so its driver may not pick up a passenger who has not booked through the operator.[2]

Hackney carriage vs private hire vehicle (England and Wales)
Hackney carriage (taxi)Private hire vehicle (minicab)
Hailed in the streetYes, in its licensing areaNo
Wait at taxi ranksYesNo
Pre-booked workYesYes, only through a licensed operator
FaresUp to the council's table of faresSet by the operator, agreed at booking
Operator licence neededNo, for rank and street workYes, the booking must go through one
LicencesHackney driver + vehicle licencePrivate hire driver + vehicle + operator licence

[2][5]

Who sets taxi fares, and who sets private hire fares?

Councils set the maximum fares hackney carriages may charge, under section 65 of the 1976 Act, and the meter must not exceed them. Private hire fares are not set by the council: the operator sets them and the passenger agrees the price or tariff when booking.[5]

Is the trade shifting from taxis to private hire?

Yes, in England. Between 2024 and 2026 licensed private hire vehicles rose 13% to 290,000 while licensed taxis fell 7% to 52,300, according to the Department for Transport.[1]

Can one business run both?

Yes. A firm can run hackney carriages on ranks and private hire for pre-booked and account work. The private hire side needs an operator licence, and each vehicle and driver needs the right licence for the work it does; councils such as Rochdale, Walsall and Oxford issue dual (combined) driver licences.

Frequently asked questions

Is a minicab the same as a private hire vehicle?

Yes. Minicab is the everyday word; private hire vehicle (PHV) is the legal term in England and Wales. Scotland uses private hire car.

Can a private hire car use a taxi rank?

No. Ranks are for hackney carriages only, and a private hire vehicle waiting on a rank or picking up passengers who have not booked is plying for hire illegally.

Can a hackney carriage do pre-booked work?

Yes. Hackney carriages can take pre-booked jobs, and taxi drivers may do work booked by a licensed private hire operator.

Why is a taxi called a hackney carriage?

The name comes from horse-drawn carriages for hire, and the Town Police Clauses Act 1847, which still governs taxis outside London, uses it.

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. [1] Department for Transport: Taxi and private hire vehicle statistics, England: 2026 (read 2 Nov 2026)
  2. [2] GOV.UK: Operator licences for private hire vehicles (read 2 Nov 2026)
  3. [3] legislation.gov.uk: Town Police Clauses Act 1847 (read 2 Nov 2026)
  4. [4] legislation.gov.uk: Local Government (Miscellaneous Provisions) Act 1976 (read 2 Nov 2026)
  5. [5] legislation.gov.uk: Local Government (Miscellaneous Provisions) Act 1976, section 65 (fixing of fares for hackney carriages) (read 2 Nov 2026)

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