The 2026 Cost Squeeze: What Every London PCO Driver Should Know

2026 has brought a string of cost changes that are hitting London PCO drivers all at once. Here is what has changed.

The Congestion Charge rose to £18 per day from 2 January, and the free entry for electric vehicles has ended. If you are on Auto Pay, electric cars pay £13.50 and vans pay £9. If you are not registered, you pay the full £18. Worth sorting quickly.

Fuel had a difficult spring. Petrol climbed from around 132p in January to 158p by mid-April, and diesel went from 141p to over 191p following global supply disruptions. Prices are easing but still well above where the year started.

On top of that, ride-hailing platforms including Uber and Bolt are now required to charge 20% VAT on full passenger fares in London. This may affect commission structures and trip demand over the coming months.

Costs are higher across the board. Keeping vehicle running costs low, staying registered for Auto Pay, and spreading work across multiple platforms will make the biggest difference to your weekly earnings right now.

Source:

https://www.splend.com/en-GB/blog/uber-vat-changes-london-2026-impact-on-pco-driver-earnings/ 

https://checkfuelprices.co.uk/news/fuel-price-check-analysis-week-of-january-20-2026 

https://www.petrolprices.co.uk/uk-fuel-prices-april-2026-crisis-eases.php 

https://tfl.gov.uk/modes/driving/congestion-charge/congestion-charge-changes