Freenow by Lyft is set to increase the commission it charges London black cab drivers to 20% including VAT from 14 September 2026.
The change is being communicated to drivers by email, with the announcement beginning a notice period ahead of the new commission rate coming into force.
According to Freenow, the additional revenue will help fund further investment in product development, driver benefits and passenger marketing.
Lower commission available through advertising scheme
There is an important exception for drivers taking part in Freenow’s on-cab advertising programme.
Drivers already participating in the scheme, as well as those who sign up before the end of 2026, will remain on their existing commission rate. They will also retain the other benefits associated with the advertising programme.
The arrangement effectively links a lower commission rate to drivers displaying Freenow by Lyft branding on their taxis.
With the company seeking to increase its visibility across London following its acquisition by Lyft, the incentive could encourage more drivers to participate in the advertising scheme.
New driver services announced
Freenow is also introducing a number of changes to its driver services.
A new 24-hour support facility is being introduced to help drivers with urgent issues while they are undertaking trips.
Drivers in the Gold, Silver and Bronze categories will also gain access to an instant cashout facility.
The feature will allow eligible drivers to withdraw their earnings when they choose, rather than waiting for the platform’s normal payment cycle. Freenow has not confirmed whether a fee will apply when drivers use the cashout service.
Telephone bookings for passengers
Freenow is also expanding the ways passengers can book a London black cab.
A new 24-hour Black Cab telephone line has been introduced, allowing passengers to speak with a UK-based agent and arrange a journey that is subsequently dispatched to a Freenow driver.
The company is also working towards integrating its London taxi supply with the Lyft app in the coming months.
This could allow visitors from North America arriving in the UK to request London taxi journeys through the Lyft app, with those bookings being passed directly to Freenow drivers.
If successfully implemented, the integration could provide additional work from airports, hotels and longer-distance journeys. However, Freenow has not yet announced a specific launch date or indicated how many additional bookings drivers could expect.
What will the higher commission mean for drivers?
For drivers using Freenow, the key question will be whether increased demand and the additional services being offered can compensate for the higher commission deducted from completed fares.
The introduction of the Lyft app integration could potentially increase the number of passengers accessing London’s black cab network through the platform, particularly among international visitors already familiar with Lyft.
However, drivers will ultimately need to assess whether the additional opportunities and benefits justify the increased cost of using the service.
For London’s taxi trade, the changes represent another development in an increasingly competitive app-based booking market, with operators looking to attract both drivers and passengers while balancing commission levels, technology and the services provided.