A taxi company in Kendal said it has been "really difficult" as the average fuel price reaches near £1.60 per litre around Kendal.
Beth Calvert, managing director for Bluestar Taxis, said that because of council rules meter rates have not been allowed to change with the cost of fuel:
"The meters have stayed the same, but the cost of operating has definitely not the stayed the same."
Most of the drivers that work for Bluestar Taxis are self-employed.
"There have been a few drivers that have come to us with concerns about how make ends meet. It's not so bad with longer pre-booked journeys but with shorter cash journeys around town the cost does not add up."
This comes after the RAC reported that the average price of a litre of diesel hit a record high of over £1.80 across the UK. Petrol is also rising, at £1.66 on average.
This is due to economic sanctions on Russian oil and gas feeding through to costs at the pump, on top of already high oil and gas prices.
A full EU ban on Russian oil could lead to prices rising even higher.
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