"Taxi" is used loosely, but in the UK there are two distinct types of licensed vehicle: hackney carriages and private hire vehicles (PHVs). Knowing the difference matters for how you operate and what software you need.
Hackney carriages (black cabs / ranks)
Hackney carriages are the traditional "taxis" that can be hailed in the street or picked up from a rank without a pre-booking. They are licensed to ply for hire and can use taxi ranks.
Private hire vehicles (minicabs)
Private hire vehicles must be pre-booked through a licensed operator — they cannot be hailed in the street or wait on ranks. This is the model most app-based and phone-based firms use, and it relies on a booking and dispatch system to function. See private hire dispatch software and minicab dispatch software.
Key differences at a glance
- Booking: hackney can be hailed; private hire must be pre-booked.
- Ranks: hackney can use ranks; private hire cannot.
- Licensing: different vehicle and driver licences apply.
- Fares: hackney often uses metered tariffs set by the council; private hire fares are agreed at booking.
- Operator licence: private hire requires a licensed operator to take bookings.
What it means for your software
Private hire firms live or die by their booking and dispatch system, because every job must be booked and recorded. Hackney operators benefit too — from apps, cashless payments and tracking — but the legal record-keeping burden is heaviest for private hire. A good platform handles both models and keeps the records authorities expect. Learn more in how to get a private hire operator licence.
Rules vary by licensing authority — always confirm specifics with your council or TfL.
