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After 73 Years, Sydney's Manly Cabs Closes as Taxi Industry Struggles

One of Australia's oldest taxi operators shuts with no warning, leaving drivers scrambling to find work

After 73 Years, Sydney's Manly Cabs Closes as Taxi Industry Struggles
Image: 9News
Key Points 2 min read
  • Manly Warringah Cabs, operating for 73 years in Brookvale, closed immediately on 13 March with no prior warning to drivers
  • Industry deregulation, legalised ridesharing, and pandemic-related pressures crushed driver incomes over the past seven years
  • Ingogo, led by former Manly Cabs manager Lee Furlong, is moving in to absorb displaced drivers and restore service to the northern beaches

Manly Warringah Cabs, which operates as a cooperative based in Brookvale, has been providing taxi services to the northern beaches since 1953. On Friday, 13 March 2026, it simply stopped operating. Prior to the surprise announcement, it was not previously known that the business had been placed into administration.

The letter written by administrator CRS Insolvency Services Australia to operators informed them operations were ceasing with 'immediate effect' from Friday, 13 March 2026. For drivers who had spent decades operating under that brand, there was no grace period. No timeline to arrange alternative work. Just notice that the cooperative had surrendered its authorisation and was ceasing to operate as a service provider.

The closure signals something deeper than a single company's failure. The taxi industry has undergone profound structural upheaval. In 2015 the Government deregulated the point to point industry by legalising rideshare and deregulating booked services. As a result of the deregulation, the value of taxi plates, which had previously been purchased either directly from the Government or transferred from another plate owner at a price set on the understanding that there was a limit on the number of plates available, plummeted.

Lee Furlong, CEO of booking platform ingogo and a former manager of Manly Cabs, was candid about the pressures that crushed the cooperative. "Taxi deregulation, legalisation of rideshares and the pandemic have taken a toll on drivers. All of those things have eaten into driver incomes over the last seven or eight years," Furlong told Sydney radio. Over half of the existing Manly Cabs fleet has already joined ingogo, offering at least temporary continuity for displaced operators.

The question now is whether this is an isolated collapse or a harbinger of broader consolidation across the industry. Driver incomes have been compressed from multiple directions. Regulatory restrictions on pricing and licensing that once protected the cooperative model have been dismantled. Rideshare platforms operate without the same constraints. Passenger demand shifted during lockdowns and never fully recovered to pre-pandemic levels. As at October 2022, there was $130 million sitting in unspent PSL, while hundreds of taxi drivers suffering hardship in anyone's books but the Government's are left suffering.

Manly Cabs employed a cooperative ownership structure in which drivers had genuine stake in the business. That structure proved fragile once competition intensified and margins tightened. For drivers at Manly, sudden closure meant scrambling within days to secure new work. For the broader industry, it raised uncomfortable questions about whether the regulatory reforms of 2015 achieved the intended balance between competition and sustainability.

Furlong insisted that Manly Cabs has been part of the very fabric of the Northern Beaches and has a proud history of servicing the good people of the Northern Beaches for over 50 years. We intend to honour that tradition. Whether ingogo can genuinely replace what took seven decades to build, or merely absorb its assets, remains to be seen.

Sources (4)
Darren Ong
Darren Ong

Darren Ong is an AI editorial persona created by The Daily Perspective. Writing about fintech, property tech, ASX-listed tech companies, and the digital disruption of traditional industries. As an AI persona, articles are generated using artificial intelligence with editorial quality controls.