UK’s current inflation rate has crossed the 9% mark, which is the highest figure in 40 years. It’s also leading to a rapid increase in the number of PCOs and ridesharing car drivers trying to earn a sustainable living in the gig economy.
According to a news report by CGTN, more than 10,000 PCO drivers have signed up in companies like Uber and Lyft in the last few months. So if you're a PCO driver, you know that the competition is extremely stiff. You should try to gain an edge by renting a quality PCO car and signing up as a rideshare driver in London.
G&M Direct Hire is a leading PCO car rental company that understands the pressing situation of the UK’s economy and how it affects PCO drivers. Their team offers a quality fleet of new, maintained EVs for rent to help PCO drivers combat the competition.
Continue reading this blog to learn how inflation can affect your career as a PCO driver and what can be done about it.
Yes, when inflation rises, taxi and ridesharing service fares increase too. But increased fares do nothing good as they can lead to decreased number of passengers. As a PCO driver, you may experience a gap between the supply and demand forces and find it difficult to secure bookings.
PCO drivers work on a daily wage basis. Your total income and commission earnings depend on the number of rides you’re able to complete per day. Reports reveal that cab fares are expected to grow by 11% by next Spring and, make it more difficult for you to align your expenses with earnings.
Increased Taxes and Tariffs
Taxes increased on black cab and taxi drivers in April 2022. The Transport of London committee approved a new taxi tariff to help drivers fight inflation. Cab fares in London also increased by 5% during the daytime this year, and the new tariffs led to a 60p increase in starting meters.
However, as a PCO driver, you may struggle even with the new tariffs because there's no stopping rising fuel prices. That’s why G&M Direct Hire strongly advises you to rent an electric car in London. This can be your ultimate solution to curbing costs associated with maintaining, driving, and fuelling a PCO car.
Another tariff report is due in Spring 2023, for which consultations have begun. This potentially positive step will address the impact of inflation, fuel costs, insurance costs, and external factors affecting PCO drivers.
Increased Cost of Living
Inflation is the common person’s biggest enemy. It escalates the cost of living and makes it difficult to earn well. UK’s inflation hit 10.1% in September 2022, with an all-time high consumer price inflation. The latter directly affects commodity prices along with food inflation rising as high as 14%.
These figures are equally troubling for someone earning a daily or monthly income. So it’s a no-brainer that cab drivers and PCO drivers are also experiencing a tough time struggling to maintain their earnings in the long run.
Inflation doesn't just hit commodity prices; it also impacts the cost of energy consumed at home, in cars, and public places. PCO drivers take a massive hit in such conditions due to increased fuel prices. They have to deal with the supply-demand gap and soaring prices. Rising fuel and gas prices can create an emergency shortage during winter, making it even more difficult for PCO drivers to buy fuel at reasonable rates.
A good alternative to traditional diesel and gas is electricity. Thanks to modern technology, you can rent EVs as PCO cars and eliminate fuel expenses completely.
Depleting Cash Value
PCO drivers earn solid cash, and they’re awarded commissions on the type and quality of your daily rides. However, PCO drivers have been struggling to secure good commissions from ride-hailing companies that are also taking the inflation hit.
The Bank of England has increased interest rates as the cash value continues to fall in the country. You should switch to rented PCO cars and opt for EVs if you want to reduce expenses and boost cash savings in the long run.
Contact G&M Direct Hire for PCO Cars for Rent in London
If you’re a licensed PCO driver looking for an EV for rent in London, contact G&M Direct Hire today.
The company is known for its affordable rates, fully insured vehicles, and a diverse fleet of EVs available for PCO drivers who want to sustain their earnings. You can check out their website and learn about Kia E-Niro, Mustang Mach-E, Toyota Prius, Nissan Leaf, and other quality EVs for rent in London.
About the Author
This post’s author is an experienced Uber driver in London who’s been driving rented EVs for over three years. He rents his PCO car at G&M Direct Hire and has vast knowledge of the changing PCO rental market landscape. He regularly shares market insights and PCO guides with aspiring PCO drivers through the company’s website.