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Robotaxis Threaten Taxi Driver Jobs

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Pilita Clark Published September 20 2026 Jump to comments section Print this page Unlock the Editor’s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. A large part of me cannot wait for robotaxis to take over. This is the part that sees a day when I have grown too feeble to drive but still have the wherewithal to summon a driverless car so I can visit friends, go shopping or simply tool around outside for a few hours.

I also like the idea of robotaxis slashing the use of privately owned cars that typically sit parked for more than 90 per cent of the time, hogging as much as a third of city land. But the arrival of self-driving taxis in London this month is a reminder that the outlook is bleaker for the city’s nearly 15,000 black cab drivers and their 105,000 private-hire counterparts. If robots take those jobs, they will kill a multitude of benefits that are not always obvious to those of us in the back seat.

This is especially true for one group of workers: immigrants. It is no accident that newcomers account for a large share of taxi drivers in countries across Europe and North America. It’s one of the fastest ways to earn money while building a new life.

A recent study from Sweden, where more than 60 per cent of taxi drivers are foreign-born, showed immigrants’ monthly income jumped by nearly 50 per cent after they passed a written taxi-driving exam. At the same time, their dependence on social welfare dropped sharply. The share of these workers who were claiming benefits fell by 25 per cent after they qualified.

But taxi driving is also important for immigrants because it lets you work flexibly, at days and times that suit. Many people arrive in a new country with a poor grasp of the local language and without qualifications that employers readily recognise. It’s much easier to study or train if you are a cab driver without the fixed shifts of, say, an office cleaner or dishwasher.