The government has acted quickly to curb the costly use of taxis by asylum seekers after investigations revealed some jaw-dropping journeys billed to taxpayers.
A BBC report uncovered that migrants were traveling vast distances for medical appointments, including one instance where a single trip to a GP cost £600 for a 250-mile round journey.
Home Secretary Shabana Mahmood confirmed that the previous system allowing such taxi use has now been scrapped, describing the practice as wasteful and stressing the need to safeguard public funds.
New Restrictions and Exceptions
Under the new rules, taxis can only be used in exceptional cases, such as for individuals with disabilities, serious illnesses, or pregnancy.
Each journey now requires prior approval from the Home Office.
Taxis may still be used to transport asylum seekers between accommodation sites, but this part of the policy remains under review.
Mahmood told the BBC that the government is determined to remove incentives that encourage illegal migration while maintaining control at the borders.
Inside the Taxi Industry
Taxi drivers have revealed the extent of the problem.
One driver described handling around 15 daily trips from a hotel in south-east London to a nearby doctor’s office, each only about two miles, but the total cost to the Home Office reached around £1,000 per day.
Another driver, Steve, explained that some taxi companies deliberately extended journey lengths.
While working for a subcontractor, he was sent on trips from Gatwick to Southampton, covering more than 275 miles in a single day, often with passengers only for half the distance.
These revelations underline how the previous system was both inefficient and open to exploitation, costing taxpayers an average of £15.8 million annually.
Rising Channel Crossings
The new taxi restrictions coincide with record-high numbers of migrants arriving in the UK via the English Channel.
In 2025, 41,472 people made the crossing, the second-highest annual figure on record, just below 2022’s 45,774 arrivals.
This marked a 13% increase from 2024 and a 41% rise from 2023, with arrivals peaking throughout much of the year.
However, the pace slowed toward the end of 2025, including a 28-day period between mid-November and mid-December when no migrants arrived.
Government Measures and Border Security
The government has faced increasing pressure to tackle hazardous Channel crossings.
Border Security Commander Martin Hewitt admitted to MPs that the situation was frustrating but emphasized that dismantling smuggling networks would take time.
Labour introduced new laws aimed at curbing small boat crossings, and the Border Security, Asylum, and Immigration Act became law in December.
The legislation introduces criminal offences targeting people-smuggling gangs and allows law enforcement to use counter-terror-style powers to disrupt their operations.
Major Asylum Reforms on the Horizon
Home Secretary Mahmood has announced what she called the most significant changes to the UK asylum system in modern times.
Inspired by reforms in Denmark, the proposals aim to deter arrivals and make deportations easier.
Under these plans, refugee status would become temporary with regular reviews every 30 months, and the wait for permanent settlement would increase from five years to 20 years.
These proposals have sparked criticism from Labour MPs, who likened them to far-right policies, while Tory leader Kemi Badenoch argued the measures do not go far enough.
The Conservatives have pledged to deport 150,000 people annually if they return to power.
Looking Ahead
With taxi restrictions now in effect and major asylum reforms pending, the government is signaling a much tougher approach to migration.
The coming months will reveal whether these changes reduce costs, curb Channel crossings, and restore greater control over the UK’s borders.
