Taxi fares to increase by 9% from December, transport body confirms
National Transport Authority said the costs associated with operating a taxi had increased between 2022 and 2024 by about 9%-11% Picture: Leah Farrell/© RollingNews.ie
Taxi fares will rise by an average of 9% from December 1, with customers facing higher fares for late-night journeys at weekends.
The National Transport Authority (NTA) has confirmed the proposed hike following a review of costs in the industry.
It also sanctioned a major extension of a special rate that previously only applied to taxi fares for journeys made between certain hours of Christmas Eve and St Stephen’s Day, as well as between New Year’s Eve and New Year’s Day.
From December 1, the special rate will also apply to journeys made between midnight and 4am in the early hours of Saturday and Sunday mornings, when demand for taxis can be at a peak.
It will result in customers facing the special rate initial charge of €5.40 compared to the standard initial charge of €4.40 as well as a higher tariff rate for the remainder of the journey.
The NTA said the extension was being introduced in an effort to incentivise more taxi drivers to service the night-time economy.
The fee for pre-booking a taxi will also increase from €2 to €3.
The NTA said the overall price increase was designed to ensure taxi fares continued to reflect the rising costs associated with operating a taxi in Ireland.
The authority recently carried out its regular two-yearly review of changes in operating costs for licence holders in order “to maintain the availability of quality taxi services throughout the country”.Â
The NTA pointed out its 2024 review, which was published in July, had found the costs associated with operating a taxi had increased between 2022 and 2024 by about 9%-11%.
NTA chief executive Anne Graham said the 9% increase balanced the increased operational costs faced by taxi drivers with the needs of the travelling public.
“The NTA’s biennial review is essential to ensuring the taxi industry remains sustainable and can continue to offer high-quality and reliable services,” said Ms Graham.
The NTA said taxi metres will be recalibrated in line with the new fares over the coming months, while licence holders will be required to display updated fare cards in their vehicles following the implementation date.
It also confirmed the impact of the latest fare increase would be reviewed after 12 months to ensure “that all needs are served by the increase”.Â
The NTA pointed out the new maximum fare order set the highest fare that may be charged but lower fares are entirely permissible and are widely used at a taxi driver’s discretion or as promotional or loyalty rewards.
A total of 622 submissions were made to the NTA about the proposed fare increase, with 86% of submissions made by taxi drivers or taxi industry representatives, and 12% by members of the public.
Overall, the recommended fare changes were welcomed by 59% of respondents but opposed by 38%.
Among taxi drivers, 63% favoured the increase in fares, with 34% disagreeing with the recommendation.
However, 60% of members of the public objected to the proposed increase in taxi fares, with 35% supporting the price hike.
The NTA said the main reasons for parties opposing the recommended increase were that it would be insufficient to address the increased costs of operating a taxi as well as its potential to negatively impact on passenger numbers.
The review revealed taxi representative bodies claimed the proposed increase was insufficient to meet current operating costs, with one respondent claiming a minimum increase of 15% was necessary to continue to provide the same level of service as currently existed.
“The fare structure does not allow a driver earn enough for to have a pension or afford a new car,” said one representative group.
Another taxi organisation complained the introduction of electronic payments had cost drivers 4.2% of their income.
The taxi app operator, FreeNow, supported the general 9% increase but expressed concern the 50% increase in the booking fee to €3 would disproportionately impact journeys made via an app, particularly as it would impact on wheelchair users, many of whom the company claimed preferred to book their journey via an app rather than hail a cab on the street.
The National Disability Authority also expressed concern increased costs for hiring taxis would negatively impact on the quality of life of persons with disabilities, who were already at risk of poverty and deprivation.
“The proposed taxi fare increase highlights the need for the NTA to consider the unique needs of persons with disabilities to ensure accessibility, affordability and inclusivity of taxi services,” the NDA said.
Vision Ireland — previously known at the National Council for the Blind of Ireland — called for a cost of disability allowance to reflect that blind people would be disproportionately affected by the taxi fare increase.
The latest fare increases follow a 12% price hike approved following the previous review conducted by the NTA in September 2022.
In its latest review, the NTA observed uncertainty was the defining feature of the economic climate faced by taxi drivers over the past decade, including supply chain issues resulting from Brexit, which affected the purchase of second-hand vehicles from the UK, and the covid-19 pandemic, which imposed major restrictions on travel.
The latest figures show there were 16,526 registered taxis in February — up 2% since the last fare review in 2022 but down 7% on pre-pandemic levels.
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