Luxury taxi firm Uber has launched a new mid-level car in London that it claims is up to 50 per cent cheaper than a black cab.
Uberx uses cars including a Toyota Prius and BMW 3 series sedan and costs far less than the company's Uberlux limousine service, established in the capital a year ago.
Fares start with a base cost of £3 and then £1.75 per mile, with a £5 cancellation fee.
The upmarket Uberlux service - which utilises chauffeur-driven, high-end vehicles including Mercedes, Jaguars and BMWs - has a base cost of £5 and then £4 per mile, with a cancellation fee of £10.
The Uberx service will cost between 30 and 50 per cent less than the equivalent journey in a black cab, Uber claims.
The company said in a blog post introducing Uberx: "We're merging the value of minicabs with the efficiency and instant gratification of Uber."
Customers book an Uber car using their smartphone. The company's app uses GPS to establish your location and find the nearby vehicle.