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Job market information

Finding out about taxi and private hire

The taxi and private hire industry is represented by People 1st, the Sector Skills Council for hospitality, passenger transport, travel and tourism. The passenger transport sector incorporates rail, aviation, bus and coach, taxi and private hire, light rail and metro, driver training, and UK waterways. The sector accounts for 735,000 jobs, most of which are within the bus and coach, taxi and private hire, rail, and aviation industries. The passenger transport sector includes a wide variety of roles, from pilots and transport planners, to essential support roles in finance, marketing and human resources.

The taxi and private hire industry offers dedicated passenger services, providing door‐to‐door services tailored to the passenger’s requirements. Taxis can take bookings in advance and can also be hailed from the street, whereas private hire cars can only take bookings. The industry is mostly made up of small businesses, self‐employed workers and sole operators. In terms of work opportunities, the main employment is driving, although many companies also need dispatchers, control room operators and managers.

Key facts:

  • There is an estimated 170,000 people working in the taxi and private hire industry.
  • Much of the workforce is made up of self‐employed drivers and sole operators.
  • The average age of employees is 47 years.
  • The average working hours for a driver are 40 per week.
  • 22% of the workforce is employed part‐time.
  • 29% of businesses in the industry have only one employee.

Jobs in the industry fall into the following areas:

  • Driving – such as licensed taxi driver, private hire driver, chauffeur
  • Operations and service delivery – such as control room staff, taxi and private hire dispatcher, operations manager, telephone operator, taxi and private hire company owner

Entry and progression

For most entry level jobs, there are no specific academic requirements other than a sound basic education. For operations and service delivery staff, skills in information technology, customer service and communication are important.

Taxi or private hire drivers must obtain a licence to operate. These are obtained from the local authority/council licensing office, each of which has its own standards and criteria for issuing a licence. There is often a requirement for drivers to pass a local road and landmark knowledge test.

There are a range of training schemes and vocational qualifications for the industry.

For job specific entry requirements, take a look at our job profiles.


Workforce statistics

Number of UK employees: 170,000
Number of UK employers/companies: 157,000
Gender: 88% male 12% female
Ethnicity: 22% of the workforce is from an ethnic minority background
Age: the average age of the workforce is 47 years of age

Employment trends and future prospects

The taxi and private hire industry has seen a small, but steady rise in employment. Most local authorities cap the number of licences available for drivers, and there tends to be more licences for private hire vehicle drivers than for taxi drivers. Many licensed drivers set up their own business. However, employment estimates and numbers of sole traders may be higher, as it is difficult to calculate those who are self‐employed.


Skill requirements and shortages

The main skills gaps in the industry are:

  • Foreign languages (26% of companies)
  • Job related IT (21%)
  • Vehicle engineering and maintenance (18%)

The skills most valued by the industry include: communication and customer service; organisational skills; and information technology.


Occupational trends

The taxi and private hire industry has reported some recruitment difficulties, but few retention issues.


National and regional data

[N.B. Regional data presented are for the taxi and private hire industry and the passenger transport sector as a whole. Data derived from the Labour Force Survey, 2007.]

East Midlands – There are 11,400 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 14% of the workforce in the region is female. 14% of the workforce is from an ethnic minority background. 6% of the workforce is under 25 years, 62% is 26‐49 years and 32% is 50 years or older. Skill gaps include: foreign languages; vehicle maintenance and engineering; Welsh language; job related IT; and safety/accident management.

East of England – There are 17,100 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 25% of the workforce in the region is female. 9% of the workforce is from an ethnic minority background. 7% of the workforce is under 25 years, 52% is 26‐49 years and 41% is 50 years or older. Skill gaps include: foreign languages; job related IT; Welsh language; and vehicle maintenance and engineering.

London – There are 32,900 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 20% of the workforce in the region is female. 42% of the workforce is from an ethnic minority background. 4% of the workforce is under 25 years, 70% is 26‐49 years and 26% is 50 years or older. Skill gaps include: job related IT; foreign languages; safety/accident management; booking operations; and logistics and scheduling of services.

North East – There are 9,200 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 17% of the workforce in the region is female. 3% of the workforce is from an ethnic minority background. 8% of the workforce is under 25 years, 51% is 26‐49 years and 41% is 50 years or older. Skill gaps include: job related IT; foreign languages; vehicle maintenance and engineering; Welsh language; and safety/accident management.

North West – There are 27,100 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 16% of the workforce in the region is female. 14% of the workforce is from an ethnic minority background. 6% of the workforce is under 25 years, 61% is 26‐49 years and 33% is 50 years or older. Skill gaps include: foreign languages; disability awareness; Welsh language; and vehicle maintenance and engineering.

South East – There are 26,800 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 25% of the workforce in the region is female. 11% of the workforce is from an ethnic minority background. 6% of the workforce is under 25 years, 48% is 26‐49 years and 36% is 50 years or older. Skill gaps include: foreign languages; vehicle maintenance and engineering; and job related IT.

South West – There are 8,100 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 19% of the workforce in the region is female. 4% of the workforce is from an ethnic minority background. 4% of the workforce is under 25 years, 56% is 26‐49 years and 40% is 50 years or older. Skill gaps include: foreign languages; job related IT; and vehicle maintenance and engineering.

West Midlands – There are 16,100 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 19% of the workforce in the region is female. 27% of the workforce is from an ethnic minority background. 7% of the workforce is under 25 years, 65% is 26‐49 years and 28% is 50 years or older. Skill gaps include: job related IT; safety/accident management; foreign languages; maths/working with numbers; and disability awareness.

Yorkshire and the Humber – There are 16,300 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 13% of the workforce in the region is female. 18% of the workforce is from an ethnic minority background. 8% of the workforce is under 25 years, 62% is 26‐49 years and 30% is 50 years or older. Skill gaps include: foreign languages; vehicle maintenance and engineering; job related IT; and Welsh language.

Northern Ireland – There are 3,700 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 21% of the workforce in the region is female. Data are unavailable on the ethnicity of the workforce. 9% of the workforce is under 25 years, 74% is 26‐49 years and 17% is 50 years or older. Skill gaps include: foreign languages; safety/accident management; job related IT; and disability awareness.

Scotland – There 18,300 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 16% of the workforce in the region is female. 2% of the workforce is from an ethnic minority background. 8% of the workforce is under 25 years, 56% is 26‐49 years and 36% is 50 years or older. Skill gaps include: foreign languages; vehicle maintenance and engineering; and disability awareness.

Wales – There are 7,100 people working in the taxi and private hire industry in the region. In the passenger transport sector as whole, 18% of the workforce in the region is female. 4% of the workforce is from an ethnic minority background. 8% of the workforce is under 25 years, 54% is 26‐49 years and 38% is 50 years or older. Skill gaps include: Welsh language; foreign languages; disability awareness; safety/accident management; job related IT; and vehicle maintenance and engineering.


Salary levels

Pay scales in this industry are variable, so the following only provides an indication of the average weekly gross pay of the current workforce:

  • Taxi/private hire driver £299

Career paths


Further sources

Produced Sept 2010, using GoSkills AACS LMI report (Jun 2010)

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