Lendus.

Taxi Finance

Spread the cost of taxis and private hire vehicles from £15,000 to £70,000+ with flexible finance options. HP, lease, or refinance, compare rates from 40+ lenders.

Can you finance a taxi?

Yes, taxis are financed as a standard asset purchase, usually on hire purchase or a lease, with the machine itself acting as the security. UK prices typically run £15,000 to £70,000, and most deals are written over 12–60 months with a deposit of around 10–20%. Decisions typically take 24 hours. Used machines are financeable too, usually with a shorter term.

200+ UK lenders
2-minute application
No credit check to apply
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Typical Cost

£15k – £70k

Approval Speed

24 hours

Same-day for experienced drivers

Rates From

5.0% APR

What would a taxi cost per month?

£35,000
10%
60 months
9%
£0

Your estimate

Indicative only. Not a quote and not an offer of finance.

Pre-filled with a typical taxi price. Indicative only, not a quote.

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Finance options

Hire Purchase (HP)

Rate
From 5.5% APR
Term
12–60 months
Deposit
10–20%
Ownership
Yours at the end
Best for
Drivers wanting to own the vehicle outright

Finance Lease

Rate
From 5.0% APR
Term
12–60 months
Deposit
None required
Ownership
Return or buy (balloon payment)
Best for
Tax-efficient, claim 100% of payments against profit

Operating Lease

Rate
From 5.8% APR
Term
24–48 months
Deposit
None required
Ownership
Return at end
Best for
Upgrade to latest models and stay emission-compliant.

Representative example

On a purchase price of £35,000: a 10% deposit of £3,500, then 48 monthly payments of £738 at 5.9% APR representative (fixed). Total amount payable £38,924, including the deposit. The rate you are offered depends on your business and the asset.

What buyers actually specify

Guide prices for sizing a finance agreement, not quotes. Manufacturers in this market mostly price on application, so where a current UK list price could not be confirmed the row describes a specification class rather than naming a model. Your supplier quote is what the agreement is written against.

Machine or specification Guide price Type
LEVC TX Electric Taxi £55,000 – £65,000 Black Cab (Electric)
Toyota Prius (PHV) £28,000 – £35,000 Hybrid Private Hire
Mercedes V-Class £45,000 – £60,000 Executive MPV
Volkswagen ID.4 (PHV) £35,000 – £45,000 Electric Private Hire

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Tax benefits

Taxis and private hire vehicles qualify for Annual Investment Allowance (AIA). An electric or zero CO2 emission car bought new and unused before April 2027 qualifies instead for 100% first-year allowances, writing the full cost off against taxable profits in the year of purchase. Lease payments are deductible against profits. Confirm the treatment with your accountant, since it turns on whether the vehicle counts as a car and on it being new and unused.

Market context

Taxis and private hire vehicles are bought by owner-drivers and private hire fleet operators, ranging from a single driver buying their own vehicle to an operator running many cars or minibuses under one operating licence. Finance is the standard route for owner-drivers because the vehicle is both their livelihood and often their largest personal asset, and a lease or hire purchase agreement lets repayments be met from daily fares rather than requiring savings upfront. Replacement is driven by mileage, licensing plate condition requirements and rising maintenance costs, since taxis cover far more miles a year than an ordinary car. A strong used market exists for ex-fleet taxis.

Bad credit?

Several of our 200+ lenders specialise in businesses with imperfect credit histories. You may need a larger deposit or personal guarantee, but options exist. Checking your options here does not affect your credit score, because we do not run a credit search to match you. A lender will run their own checks only if you decide to apply.

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Frequently asked questions

Can I finance a used taxi?
Yes, used taxis and private hire vehicles can be financed, supported by a strong used market for ex-fleet vehicles. Lenders will want to see the vehicle's mileage and any licensing plate condition requirements it needs to meet, since taxis cover far more miles a year than an ordinary car and this affects both value and expected working life. A vehicle bought through a dealer familiar with taxi and private hire specifications is generally easier to finance than a private sale with no service history.
What deposit do I need?
Hire purchase typically asks for a deposit of around 10 to 20% of the vehicle's cost, with the balance spread over the agreed term and ownership passing to you at the end. A finance lease or operating lease usually needs no deposit, since the lender's security is the vehicle itself, which some owner-drivers prefer so repayments can be met from daily fares rather than requiring savings upfront. The deposit level also depends on whether the vehicle is new or used and your trading or driving history.
Do I need a taxi licence to apply?
Most lenders will want to see, or at least confirm you are applying for, the relevant taxi or private hire driver and vehicle licence for your local authority, since this is what allows the vehicle to be used commercially and generate the income the finance is repaid from. You can generally apply for finance while your licence application is in progress, but most lenders will need it granted before releasing funds. It is worth telling your broker where you are in the licensing process when you apply.
How quickly can I get taxi finance?
Most taxi and private hire finance is approved within 24 to 48 hours once the lender has your application, the vehicle or dealer quote, and basic details such as your licence status and recent bank statements. A used ex-fleet vehicle from an established dealer tends to move fastest through approval, since the lender already has confidence in the vehicle type. Having your licence documents and bank statements ready before applying is the main thing that keeps the process quick.
Can a newly licensed driver or one with a poor credit history get taxi finance?
Yes, though a newly licensed driver or one with credit issues is usually asked for a larger deposit, a personal guarantee, or a shorter term than an established driver with clean credit and a trading history. Because the vehicle is often the driver's main livelihood, lenders will look closely at expected fare income and any existing private hire work lined up. Comparing several lenders through a broker rather than approaching one directly tends to widen the options available in this situation.
What happens if I sell the taxi or want to upgrade before the agreement ends?
The vehicle remains the lender's security until the agreement is settled, so it cannot be sold or part-exchanged without first clearing the outstanding balance, usually done from the sale or part-exchange proceeds. This is a common situation given how quickly taxis accumulate mileage, and most lenders will provide a settlement figure on request and roll any shortfall into a new agreement for the replacement vehicle, so it's worth asking your broker about this before committing to a term longer than you expect to keep the vehicle.

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