The UK Government has announced that asylum seekers will no longer be allowed to use taxis for medical appointments starting in February, following concerns over excessive transport costs.
The decision comes after reports revealed that some asylum seekers were being taken on long-distance taxi journeys costing hundreds of pounds, with the Home Office spending an average of £15.8m a year on transport.
Earlier, asylum seekers were given one weekly bus pass, while taxis were used for additional medical travel.
Drivers told the media that some firms exploited the system by inflating mileage or dispatching cars from distant towns for short trips.
Speaking to the media, One driver reported making up to 15 daily drop-offs from a hotel to a nearby clinic, costing the Home Office around £1,000 per day.
Home Secretary Shabana Mahmood said the widespread use of taxis was ending, with approval now limited to exceptional circumstances. She blamed previous Conservative contracts for the high costs and insisted the new approach would cut waste as the government works to close asylum hotels.
Under the new rules, taxis will only be allowed for people with disabilities, chronic illnesses, or pregnancy-related needs, and each request must be approved by the Home Office.
Refugee Council CEO Enver Solomon said the issue reflects poor government management and contractor profiteering, rather than misuse by asylum seekers. He urged the government to reform contracts and allow more asylum seekers to work.
The shift comes as ministers aim to phase out hotel accommodation despite rising numbers, over 36,000 people currently live in asylum hotels.

