How To Save Money As A Taxi Driver - Our Top Tips
We share our top tips on how you can save money with every fare - from maximising your MPG to lowering running costs.
As a taxi driver, you’re often on the move. This means that added costs are inevitable when it comes to keeping you - and your passengers - on the road.
Though, that’s not to say you can’t save money while making it.
Want to know how? Read on for all our top tips on how you can save money as a taxi driver.
Table of Contents
1. Be wise and economise with your Taxi Business
2. Review your Taxi insurance policy
3. Reduce your Taxis ‘dead miles'
1. Be wise and economise with your Taxi Business
This is possibly the most simple and important way you can save yourself and your taxi business money.
A visit to the pumps will be inevitable at some point, but there are some ways you can reduce the frequency of your visits and the costs.
By far, the most effective way is to upgrade your taxi to a newer, more efficient model.
Modern-built taxis are made with more efficient engines thanks to improved technology. Even if you choose to stick with a petrol or diesel model, you can still save on fuel with a newer engine.
At The Taxi Centre, we offer a wide selection of taxis with petrol and diesel engines, with electric models also available.
These can help you lower your fuel costs while reducing your emissions. You can also save money when it comes to Low Emission Zone (LEZ) and Clean Air Zone (CAZ) charges.
When it comes to fuel costs, this is something which won’t exactly decrease any time soon. However, you can still make smarter choices when buying your fuel.
It can be all too convenient to visit your local petrol station, but we recommend shopping around at different garages. This way, you can save yourself a few pennies which are sure to add up later.
Just as with electric taxis, there are useful taxi apps you can download to check the prices and locations of petrol stations nearby. These include FuelGenie, Fuelio, or PetrolPrices, which help make sure you are always getting the best price for your fuel.
Is it time to upgrade your taxi? View our latest range available.
2. Review your Taxi insurance policy
Whether your insurance is due for renewal or you still have plenty of time, it’s a good idea to review your current policy to make sure you are getting the best deal.
Insurance is one of those tasks that as soon as it comes onto your ‘to-do’ list, you just want to get rid of it.
Maybe you choose to stick with your current provider because it would be too much of a hassle to find a better offer elsewhere.
This is fine, but it may increase the cost of running your taxi.
Unfortunately, insurance will always cost you more as a taxi driver rather than a normal driver, as there are added liabilities that come from carrying passengers.
You can use sites such as Compare The Market to find deals from multiple providers, get a list of quotes, and find the right one for you. There are also companies who offer insurance specifically for taxi drivers, which may be better suited to your needs, you can find out more information on GoCompare.
Switching your policy to a cheaper provider can be extremely beneficial to cut down your running costs and help save your taxi business money.
3. Reduce your Taxis ‘dead miles'
‘Dead miles’ refers to the miles travelled in between fares where you essentially make no money. These can take a real toll on your fuel economy leading to more frequent visits to the petrol station.
Many taxi drivers will jump straight onto the next available job after dropping off a customer. This could be further away and may increase the number of dead miles travelled.
Instead, try staying in the area where you have just dropped a passenger off and see if a job nearby comes up.
As jobs come in over phone lines and apps constantly, there may just be a chance that a job will appear in the area of your last drop-off.
Not only will this help to reduce dead miles, but it will also make more economical use of your fuel. It will also provide a faster service to local customers happening to chance upon your taxi - customers love it when they can get a taxi fast and fuss-free!
So, next time you drop off a passenger, wait for 10 minutes and see if another job in the area comes up before moving on.
4. Drive smarter in your taxi
There are also several little things you can do as a taxi driver to save money, simply by being more mindful when it comes to your own driving.
Gentle acceleration, keeping tyre pressures correctly maintained, and reducing your load where necessary are just some of the ways you can do this.
According to insurer Zego, regular servicing checks such as keeping your air filters clean could save you up to 15% on fuel.
Regular servicing will also help to make sure your taxi is maintained properly and reduce normal wear and tear from turning into bigger problems further down the line.
Correctly inflated tyres can also save 3% of your consumption while reducing your load can save you 1%.
No matter how small the result, it all adds up. It’s also the best way to ensure you are doing as much as you possibly can to save your taxi business money and avoid unnecessary costs.
Reducing your speed on motorways by about 10mph could also save you as much as 25% on your fuel. It then follows that reducing your speed from 70mph to 60mph on highways could save you another 10%.
Remember - that national speed limit sign means up to, so you don’t always have to be travelling at the maximum speed allowed!
5. Consider an electric taxi
One of the most cost-effective options available for taxi drivers right now is electric taxis.
An electric taxi has several benefits to you, including:
- Exemptions from LEZ and CAZ charges in cities
- Fast, easy charging with the UK’s 35,000 public charge points
- Reduced fuel consumption with hybrids like the KIA Niro, Toyota Corolla and LEVC TX
- A smoother, quieter drive
- Zero tailpipe emissions
Though a more expensive investment initially, electric taxis can help to reduce your running costs over time. They also require less maintenance than those with a petrol or diesel engine since they have fewer moving parts.
The Government are also offering a plug-in taxi grant (PiTG) for taxi drivers to help offset the initial purchase price. You can get up to £7,500 off the price of a new, purpose-built taxi.
Sound good? Why not explore our electric and hybrid taxi range now?
Explore Hybrid and Electric Taxis
Save as you upgrade your taxi with The Taxi Centre
At The Taxi Centre, we know how important it is for you to save money. In a competitive business environment, cost-cutting wherever possible can be an important way to ensure the success of your taxi business.
That’s why we help you with everything from financing your new taxi, to keeping you informed on all the latest government grants and incentives available to you.
We also help with the smaller things you can do yourself, such as earning more tips as a taxi driver.
Plus, with our exclusive special offers, you can enjoy discounts across top models and save as you upgrade.
After all, we’re not just here for you, but for your taxi business too. Get in touch with a member of our team to see how we could help you today.