The neatest thing about driving for Uber is that you may work when and how much you want. This directly influences how much money an Uber driver earns.
People join Uber for several reasons, such as:
• Full-time professional driver for Uber
• Uber driver as a side profession.
• Driving Uber part-time.
The appropriate answer to the question “How much do Uber drivers earn in London?” is depending on various factors. To begin with, how much time you spend influences your profits. Traffic congestion, for example, will add an extra hour to your commute, but an unexpected change in weather or rush hour surge pricing will almost surely increase your profits.
Second, it is determined by the vehicle you drive and, if you do not own it, the cost of a car subscription service.
Another thing to consider is that, since about March 2021, all Uber drivers are considered employees, with benefits like sick and holiday pay, which affects how much Uber drivers earn.
How much do Uber drivers make in London?
The hourly income for an Uber driver in London is around £13 which is greater than the minimum wage. The National Minimum Wage was £8.91 per hour in April 2021, which equates to £400.95 in a 45-hour workweek, so it’s reasonable to assume that a full-time Uber driver may make more than that (before expenses).
What are the charges of becoming an Uber driver?
Even though you work for Uber, you are still running a private company as an on the driver. You are responsible for all car expenditures, including maintenance, insurance, and any additional taxes. So, in order to achieve sustainability, keep the following in mind:
Uber service charge
Uber deducts 25% of your profits, which is critical when it comes to maintaining your expectations. If you want to see how that compares to other ridesharing apps, determine the most prominent rideshare apps in London side by side to get a better idea of the commission rates, pricing, and prices.
Your fuel expenditures are the most obvious and consistent investment. This is influenced by the vehicle you drive, where and when you drive a lot of the season, as well as your driving behaviour.
The most important factor is your car’s powertrain — traditional vehicles with a single internal combustion engine cost around £13 to £16 every 100 miles to run. Petrol-hybrids, on the other hand, consume 20% to 35% less fuel than even the most fuel-efficient petrol/diesel vehicles.
You might remember about it until something happens. We recommend saving sufficient money each week for at least supplies, ordinary wear and tear, annual tyre replacements, and yearly modifications. Whether you’re thinking how much it will cost, we generated an estimate based on our fleet of petrol-hybrid, plug-in hybrid, and electric vehicles, which average 32,000 miles a year. Material and labour expenses vary on manufacture and engine type, but our fleet averages around £24-£25 each week.
As an Uber driver who has a personal car, you must handle your private hire vehicle insurance, which, unlike standard auto insurance, is the only one that covers accidents in this scenario.
A PHV insurance policy is expensive, ranging from £2,000 to £4,000 a year, depending on the vehicle’s age, the distance driven each year, and your driving history. For a typical £3,000 coverage, this amounts to approximately £55-£60 per week in insurance just.
Although ridesharing drivers in the UK are now considered Uber employees, HMRC neither collect Income Tax nor National Insurance directly from your earnings, and you need to complete a Self-Assessment every year.