Cabbies driven out of industry by 'worst ever' festive period

Cabbies say their takings are falling as more people tighten their belts and opt for other forms of transport.

Hogmanay is said to have been particularly difficult, with a higher than normal number of drivers chasing a dwindling number of fares.

Trade representatives say they have seen a significant rise in drivers approaching them for a reference so they can leave and look for employment elsewhere.

Murray Fleming, secretary of Central Radio Cabs, said: "There's no question that it was the worst New Year period I have experienced and that has been the feedback we're getting from drivers as well.

"We've seen a significant rise in cabbies looking for references. I've never known as many guys looking to get out of the industry."

Cab drivers say the continuing economic slowdown has led to valuable corporate contracts being scaled back. There are also worries about how the eight-month closure of Princes Street for tram works will affect business.

Raymond Davidson, secretary of the Edinburgh Taxi Association, said: "There's no two ways about it – journeys are not being made. We've seen the banks cutting back on the number of taxi journeys their staff take. People are walking to meetings when in the past they would have just jumped in a taxi."

It is understood a number of cabbies are retraining as bus drivers, while others who have passed the city's taxi examination are choosing not to take up work.

The last few months have also seen drivers attempting to save fuel by sticking to the ranks, rather than cruising the streets looking for fares.

Taxi fares in the Capital were raised by seven per cent recently to help struggling cabbies overcome the effects of previously high fuel prices and the loss of business caused by the tram works.

The increase, which was the first since 2006, saw a 5 fare rise to 5.35.