Taxi driving in the Lake District: Expensive times and declining driver numbers!

Taxi driving in the Lake District: Expensive times and declining driver numbers!

The taxi industry in Germany is currently experiencing increasing challenges. While the offer is still flourishing in urban regions, things look completely different in rural areas such as the Mecklenburg Lake District. Here the situation for taxi companies has worsened dramatically.

The number of taxis in the region has fallen by half since 20 years ago. What is particularly worrying is the fact that there are no longer any taxi companies between Waren and Neubrandenburg. This has an impact on the mobility of residents, especially for chronically ill people who rely on ambulance rides. They often have difficulty getting a taxi, especially in less densely populated areas. “Working as a taxi driver hardly makes sense anymore,” says Nadja Sabielny, the deputy chairwoman of the taxi company association. The outdated tariff structure no longer corresponds to the real costs, which forces drivers to suffer the misery that also poses challenges for other industries.

Price increases as a solution?

In view of the permanent decline in driving orders and the increased operating costs, the association of taxi companies plans to negotiate new tariffs with the Mecklenburg Lake District in the coming year. A price increase per kilometer is on the agenda. This project is urgently needed to ensure the existence of taxi companies. At a time when many taxi drivers only make sporadic trips in the evenings or at weekends, concerns about the sustainability of the entire sector can easily arise.

The negotiations could also address cost factors such as the increasing pressure from on-call buses and other mobility providers as competitors. Many taxi drivers feel that their services are no longer in demand to the same extent, especially in rural areas.

The view of the entire industry

On average, there are around 53,500 taxis across Germany, most of which are located in North Rhine-Westphalia. The taxi industry in Germany comprises around 23,200 companies, with Bavaria having the most taxi companies and Saarland the fewest. However, from 2009 to 2019, the industry's revenues, which were around 4.86 billion euros in 2019, increased steadily, which makes the search for new sources of revenue in rural regions all the more important. The Statista shows that taxis are still a popular means of transport, especially for night owls and visitors looking for a safe ride home after a boozy evening.

Current discussions among the associations show that there is a lack of support. In the latest issue of Taxi Times DACH there is a debate about possible mergers of taxi and rental car associations in order to be able to respond better to the needs of the diverse forms of transport in the future. Faster adjustments to the reality of the market appear to be urgently needed.

In summary, it can be said that the taxi industry in the Mecklenburg Lake District is not only struggling with internal problems: the question arises as to whether a price increase or new collective bargaining can offer a solution to the ongoing challenges in order to ultimately do justice to both the service providers and the passengers.