What is the best electric car for taxi drivers?

Electric cars charging

Switching to an electric car could be a game-changer for your taxi business. With lower running costs, a quieter ride, and eco-friendly credentials, EVs are becoming a smart choice for private hire and taxi services. This guide explores what may be the best electric cars for taxis in the UK, focusing on range, comfort, and value. Whether you’re upgrading or starting out, the right EV could help you save money and make your life as a taxi driver much easier.

10 best electric cars for taxis

To help you make your choice, we’ve rounded up 10 of the top electric cars for taxis, including their key features, price points, charging time, and everything in between.

Please note that this list is in no particular order, as the best option will depend on your preferences.


1. Nissan Leaf

Key features:

  • Range: Up to 239 miles
  • Price (new): From £28,995 RRP
  • Insurance group 19-26
  • Charge time: 40 minutes (rapid charger, 80% capacity)
  • Best for: Affordable city driving with low running costs

The Nissan Leaf is one of the most affordable electric cars for taxi drivers, with a starting price of £28,995. Its compact size is perfect for city driving while the spacious interior offers greater passenger comfort.

With a range of up to 239 miles, the Nissan Leaf is sufficient for a day’s worth of city and rural taxi trips. The 7.5-hour charge time using a home charger also makes overnight charging convenient.

The Leaf’s e-Pedal system allows for regenerative braking, reducing brake wear to help you get the most out of your car. Since it’s an electric vehicle, it’s also exempt from road tax and congestion charges, helping you keep costs lower.


2. Tesla Model 3

Key features

  • Range: Up to 391 miles for the Long Range model
  • Price (new): From £39,990
  • Insurance group: 48-50
  • Charge time: 15 minutes (170 miles, Tesla supercharger)
  • Best for: Long-haul taxi journeys and premium private rides

Starting at £39,990, the Tesla Model 3 stands out for premium features and long range at an affordable price. Its industry-leading range of up to 391 miles means fewer stops for charging. Tesla’s Supercharger network also offers rapid recharges—adding 170 miles in just 15 minutes.

This EV is ideal for long-haul or premium private hire services. It has an advanced autopilot system to make driving easier, while the spacious and tech-heavy interior offers a luxurious ride for both drivers and passengers. Tesla’s frequent software updates ensure your car stays ahead of the curve, making it a smart investment for taxi drivers.


3. Hyundai Ioniq 5 Electric

Key features

  • Range: Up to 315 miles
  • Price (new): From £37,420
  • Insurance group: 29-41
  • Charge time: 18 minutes (80%, rapid charger)
  • Best for: Combining style and practicality for daily taxi rides

The Hyundai Ioniq 5 is an eye-catching electric car that balances style with substance. With a range of up to 315 miles, it’s ideal for drivers who need versatility for both city and rural trips.

Its standout feature is its ultra-fast charging capability, reaching 80% in just 18 minutes with a rapid charger—perfect for minimising downtime during busy taxi shifts. The spacious and modern interior has a flat floor and adjustable rear seats, offering maximum comfort for passengers.

Starting at £37,420, the Ioniq 5 is competitively priced, so it’s a solid choice for taxi drivers looking for style, performance, and practicality.


4. MG5

Key features

  • Range: Up to 250 miles (WLTP)
  • Price (new): From £30,995
  • Insurance group: 27-35
  • Charge time: 61 minutes (80% capacity, rapid charger)
  • Best for: Budget-friendly taxi drivers needing extra boot space

The MG5 is one of the most affordable electric estate cars available, with a starting price of £30,995. Its 250-mile range is practical for most daily taxi routes, and the 61-minute rapid charge time means quick top-ups between jobs.

What sets the MG5 apart is its generous boot space, expanding from 464 litres to 1,456 litres with the rear seats folded. This makes it an excellent choice for airport runs or passengers with extra luggage. Affordable and functional, the MG5 is perfect for drivers looking to maximise space without breaking the bank.


5. Kia Niro EV

Key features

  • Range: Up to 285 miles (WLTP)
  • Price (new): From £36,795
  • Insurance group: 28-29
  • Charge time: 43 minutes (80%, rapid charger)
  • Best for: Versatility and reliability across various taxi routes

With prices starting at £36,795, the Kia Niro EV offers versatility and reliability for taxi drivers. Its 285-mile range and 43-minute rapid charging time are ideal for cutting downtime during shifts, making it suitable for both city and regional journeys.

Inside, the Niro EV provides a spacious and comfortable cabin for passengers and luggage. Its higher driving position enhances road visibility, while Kia’s 7-year warranty offers peace of mind while you’re adding miles to the clock. It’s practical and dependable, so a good choice if you want an excellent all-rounder.


6. Volkswagen ID.4

Key features

  • Range: Up to 322 miles
  • Price (new): From £40,000
  • Insurance group: 18-39, depending on model
  • Charge time: 38 minutes (80%, rapid charger)
  • Best for: Taxi drivers needing extra passenger or boot space

Starting at £40,000, the Volkswagen ID.4 is a spacious SUV perfect for taxi drivers who need extra room. With a range of up to 322 miles and an 80% charge in 38 minutes, it’s well-suited for long shifts or time-consuming trips.

The ID.4’s advanced driver-assistance systems enhance safety, while its quiet ride and modern interior offer comfort for passengers. Whether you’re transporting families or handling group bookings, this versatile SUV fits various taxi services.


7. Toyota bZ4X

Key features

  • Range: Up to 317 miles
  • Price (new): From £45,710
  • Insurance group: 35-40
  • Charge time: 30 minutes (80%, rapid charger)
  • Best for: Taxi drivers seeking a reliable, spacious electric SUV

Priced from £45,710, the Toyota bZ4X is a reliable and spacious electric SUV. Its 317-mile range is great for long-distance or rural routes, while the 30-minute rapid charge time ensures minimal downtime.

The bZ4X features a roomy interior and advanced safety technology, making it ideal for family or group bookings. Toyota’s reputation for reliability also ensures this EV meets the demands of daily taxi journeys, providing comfort and peace of mind while you’re on the road.


8. Vauxhall Vivaro Life Electric

Key features

  • Range: Up to 199 miles
  • Price (new): From £35,000
  • Insurance group: 31-36
  • Charge time: 45 minutes (80%, 100kW rapid charger)
  • Best for: Airport transfers and group bookings

The Vauxhall Vivaro Electric starts at £35,000, so it’s an affordable option for your taxi business. Its range of up to 199 miles suits city-based and rural trips, and the 45-minute rapid charge time keeps you on schedule.

This EV can accommodate up to nine passengers, making it perfect for airport transfers or group bookings. With a quiet motor and a large, comfortable interior, the Vivaro Electric offers a premium experience for passengers and practicality for taxi drivers.


9. BMW i4

Key features

  • Range: Up to 365 miles (WLTP)
  • Price (new): From £51,905
  • Insurance group: 34-44
  • Charge time: 31 minutes (80%, 200kW rapid charger)
  • Best for: High-end taxi services and long-range travel

The BMW i4 combines luxury with reliable daily use, making it a strong choice for high-end taxi services. Starting at £51,905, it features a sophisticated interior with advanced tech for both drivers and passengers.

Its range of up to 365 miles minimises charging stops, while the rapid charge capability lets you reach 80% in just 31 minutes. For drivers catering to premium clientele or needing long-range performance, the i4 delivers dynamic handling, responsive acceleration, and a smooth, quiet ride.


10. Mercedes-Benz EQB

Key features

  • Range: Up to 257 miles (WLTP)
  • Price (new): From £53,610
  • Insurance group: 43-50
  • Charge time: 32 minutes (80%, 100kW rapid charger)
  • Best for: Large passenger groups and luxury taxi services

With a starting price of £53,610, the Mercedes-Benz EQB is a practical yet luxurious 7-seater SUV. It’s ideal for drivers transporting large groups or requiring extra luggage space. The 257-mile range and 32-minute rapid charge time make it suitable for both city and countryside driving.

Inside, the EQB boasts advanced technology, including a widescreen cockpit display, navigation, and intelligent voice control. Its spacious cabin and high safety standards make it a reliable option for taxi drivers offering premium services.


Benefits of using an electric car as a taxi

Switching to an electric car for taxis offers a wide range of benefits, both for drivers and the environment.Here are some of the key reasons to consider making the move to electric:

  • Lower environmental impact: Electric cars produce zero emissions, helping to reduce air pollution and your carbon footprint. They’re an incredibly eco-friendly choice, particularly for city driving.
  • Lower running costs: EVs are cheaper to charge compared to refuelling with petrol or diesel. Maintenance costs are also lower, as electric cars have fewer moving parts.
  • Reduced road tax: Electric vehicles are exempt from road tax (Vehicle Excise Duty) in the UK, which reduces your outgoing expenses.
  • Government incentives: Grants and tax benefits are available for electric vehicles, such as the Plug-in Vehicle Grant and lower Benefit-in-Kind (BIK) tax rates. These can make switching to an EV more affordable.
  • Smoother driving experience: With instant torque and no gears, electric cars offer a quieter and smoother driving experience—ideal for long shifts and stop-start urban driving.
  • No congestion charge or ULEZ fees: Electric vehicles are exempt from the London Congestion Charge and Ultra Low Emission Zone (ULEZ) fees, saving you money if you drive in these areas.

Challenges of using an electric car as a taxi

While there are many benefits to using electric cars for taxis, it’s important to consider some of the drawbacks too.
Here are a few key factors to keep in mind:

  • Initial cost and anxiety: Electric cars often have higher upfront costs compared to petrol or diesel vehicles. For new EV drivers, adjusting to charging routines and range limitations can also be disruptive.
  • Battery life and range: Although EV range has improved significantly, some drivers may worry about running out of charge during long shifts or trips. Over time, battery degradation can also slightly reduce range.
  • Infrastructure: While the UK’s charging network is expanding, availability of rapid chargers can still be inconsistent in certain areas. This may require careful planning for longer shifts or trips.
  • Cost of EV Charging: Charging at public stations can be more expensive than home charging, especially rapid chargers. Understanding where and when to charge for the best rates is key for lowering your costs.

 Driving towards a greener future

Switching to an electric car for taxis is more than just a trend—it’s a smarter, greener, and more cost-effective way to drive. Plus, with improved ranges, fast charging, and government incentives, EVs are increasingly practical for busy taxi drivers.

At ChoiceQuote, we understand the needs of taxi and Uber drivers. Protect your electric vehicle with our tailored taxi insurance and Uber taxi insurance policies, designed to help keep you covered and on the road.

 

FAQs

Is an electric car good for a taxi?

Yes, electric cars can be an excellent choice for taxi use. They have lower running costs, reduced emissions, and exemptions from congestion and ULEZ charges. Newer electric cars also offer an increased range, so they’re becoming more practical for busy drivers. Plus, their smooth and quiet ride enhances passenger comfort, making them a reliable and eco-friendly choice for taxi rides.

Are there government incentives for electric taxis?

Yes, the UK government offers the Plug-in Taxi Grant, which provides financial support for eligible electric taxis. This incentive can help offset the higher upfront cost of purchasing an EV. For more details about eligibility and how to apply, visit Plug-in Taxi Grant – GOV.UK.

Can you use an electric car for Uber?

Yes, you can use an electric car for Uber. Uber actively supports drivers who switch to EVs. In some cities, they offer incentives to encourage taxi drivers to switch to electric vehicles. For more information, check out Uber’s official guide on electric vehicles.

Is it better to use an electric car or a hybrid car as a taxi?

Both options have their advantages. Electric cars have lower running costs and no emissions, making them ideal for city driving. Hybrids offer greater range and flexibility for longer trips, as they combine a petrol engine with electric power. The choice depends on your driving habits, budget, and access to nearby chargers.

Are electric taxis more expensive?

Electric taxis can have a higher upfront cost, especially when new. However, with government incentives and significantly lower running costs, they often work out more cost-friendly over time. Charging is cheaper than refuelling too, and EVs generally require less maintenance, which can help you with long-term savings.

Where can you charge an electric taxi?

You can either charge an electric taxi at home, using a wall charging unit, or at a public charging station. As of October 2024, the UK has over 70,000 public electric vehicle charging points, with over 13,000 rapid and ultra-rapid chargers.

The sole purpose of this guide is to provide guidance on the issues covered. This article is not intended to give legal advice, and, accordingly, it should not be relied upon. It should not be regarded as a comprehensive statement of the law and/or market practice in this area. We make no claims as to the completeness or accuracy of the information contained herein or in the links which were live at the date of publication. You should not act upon (or should refrain from acting upon) information in this publication without first seeking specific legal and/or specialist advice. Arthur J. Gallagher Insurance Brokers Limited trading as ChoiceQuote accepts no liability for any inaccuracy, omission or mistake in this publication, nor will we be responsible for any loss which may be suffered as a result of any person relying on the information contained herein.