Transport for London (TfL) has announced its lowest rise in taxi fares for more than ten years.

Prices will increase by 0.7 per cent, equating to 9p on top of the average journey. The new charges will come into effect on April 5th.

Additionally, the TfL board agreed to extend provisions linked to diesel prices. Since 2008, fares have been increased if fuel costs rise dramatically. Over the coming year, should they increase to 175.48p per litre, it will trigger fares to go up by 40 pence.

Taxis that are booked in advance will incur a maximum surcharge of £2 if done over the phone. This has been extended to cover journeys reserved by mobile application, smartphones and online services.

According to Helen Chapman, TfL's general manager of taxi and private hire, the organisation "seeks to cover any changes in the costs of running a black cab while continuing to provide passengers with value for money".

Board members also endorsed a review of payment options in taxis, following a report that showed the majority of people wanted to be able to pay for their journeys by credit or debit card.