Uber loses licence to operate in London

INSUBCONTINENT EXCLUSIVE:
Media playback is unsupported on your deviceMedia captionJamie Heywood, who manages Uber's UK operation, says the firm will appealUber will
not be granted a new licence to operate in London after repeated safety failures, Transport for London (TfL) has said.The regulator said the
taxi app was not "fit and proper" as a licence holder, despite having made a number of positive changes to its operations.Uber initially
lost its licence in 2017 but was granted two extensions, the most recent of which expires on Monday.The firm will appeal and can continue to
operate during that process.London is one of Uber's top five markets globally and it has about 45,000 drivers in the city
Overall, there are 126,000 licensed private hire and black cabs in the capital
If its appeal is unsuccessful, some think Uber drivers would move over to rival ride-sharing firms such as Bolt and Kapten."There would be
competition that would fill that void quite quickly," Fiona Cincotta, a market analyst at City Index told the TheIndianSubcontinent.Why
won't Uber get a new licence?TfL said it had identified a "pattern of failures" in London that placed passenger safety at risk.These
included a change to Uber's systems which allowed unauthorised drivers to upload their photos to other Uber driver accounts
It meant there were at least 14,000 fraudulent trips in London in late 2018 and early 2019, TfL said.The regulator also found dismissed or
suspended drivers had been able to create Uber accounts and carry passengers
In one example, a driver was able to continue working for Uber, despite the fact his private hire licence had been revoked after he was
cautioned for distributing indecent images of children.Helen Chapman, director of licensing at TfL, said: "While we recognise Uber has made
improvements, it is unacceptable that Uber has allowed passengers to get into minicabs with drivers who are potentially unlicensed and
uninsured."London Mayor Sadiq Khan said: "I know this decision may be unpopular with Uber users, but their safety is the paramount concern
Regulations are there to keep Londoners safe."'I feel safe using Uber'Image copyrightGetty ImagesDonna Stevens says her experiences of using
Uber in London have "always been positive"
In her job as a carer she often works late, so regularly uses the service
"The drivers are friendly, courteous and professional
I can't afford to get a metered taxi."She says that if Uber were to go, she would probably have to go back to using public transport late at
night, which does not make her feel safe
However, another reader, Kay, says she would not be sad to see Uber go
"I complained a couple of months ago about a driver who made me feel so uncomfortable I abandoned the ride and walked home in the dark at 11
o'clock at night instead of staying in his cab." She says Uber gave her a £5 credit but did not apologise
"How is it OK to employ drivers that make women feel unsafe?" she says
Is this the end of Uber in London? Uber lovers in London, fear not! The company's cars will not suddenly disappear from the capital's
streets.Uber is going to appeal against this decision so a magistrate will have to decide whether Uber is fit to hold a licence in London,
or not
A decision from a magistrates court could take weeks or months and unless the court decides otherwise, Uber will retain its licence during
this period too
When TfL decided not to renew Uber's licence in 2017, the company addressed some of the issues raised by TfL back then and then a magistrate
later granted Uber a new licence
On the face of it TfL is standing tough against perceived failings by Uber
But in effect it is letting the courts decide, at a later date, whether Uber should have a licence, or not
What does Uber say?Uber said the decision was "extraordinary and wrong"
It said it had audited every driver in London over the past two months and strengthened its processes.Boss Dara Khosrowshahi tweeted: "We
understand we're held to a high bar, as we should be
But this TfL decision is just wrong
Over the last 2 years we have fundamentally changed how we operate in London."According to Uber, 24% of its sales come from just five
cities, including London
The others are Los Angeles, New York City, San Francisco and São Paulo in Brazil.In a public filing, it said: "Any inability to operate in
London, as well as the publicity concerning any such termination or non-renewal, would adversely affect our business, revenue, and operating
results."We cannot predict whether the TfL decision, or future regulatory decisions or legislation in other jurisdictions, may embolden or
encourage other authorities to take similar actions even where we are operating according to the terms of an existing licence or
permit."Image copyrightGetty ImagesImage caption In May, hundreds of Uber drivers in London, Birmingham, Nottingham and
Glasgow staged a protest against the firm over pay and conditions What do others say?Business lobby group the CBI said
customers valued Uber, and encouraged both sides to find a resolution.But the Unite union - which believes Uber has unfairly taken business
from black cab drivers - welcomed the news
"Uber's DNA is about driving down standards and creating a race to the bottom which is not in the best interests of professional drivers or
customers," said Jim Kelly, chair of Unite's London and Eastern cab section.Where else has banned Uber?Uber has faced pressure from
regulators around the world over the way it treats its drivers, competition concerns, and fears about passenger safety
The US firm pulled out of Denmark in 2017 because of new taxi laws that required drivers to have fare meters and seat sensors.Bulgaria and
Hungary both stripped Uber's right to operate following pressure from local taxi unions
And in May, the ride-hailing firm pulled its UberXL service in Turkey without saying why
What happened in London in 2017?TfL first declined to renew Uber's licence in September 2017, again over safety concerns
Back then it cited Uber's approach to carrying out background checks on drivers and reporting serious criminal offences.Uber's use of secret
software, called "Greyball", which could be used to block regulators from monitoring the app, was another factor, although Uber said it had
never been used in the UK.However, TfL granted Uber a 15-month licence extension - later extended by two months - conditional on it making
improvements to its business.TfL can offer licences of up to five years, but it has been more stringent of late.In July, Indian ride-hailing
company Ola got a 15-month agreement for its entry into the London market, while ViaVan got a three-year licence renewal.Would you be sad to
see Uber go in London? Or would you just move on to another ride-hailing app? Share your reactions by emailing
haveyoursay@TheIndianSubcontinent.co.uk.Please include a contact number if you are willing to speak to a TheIndianSubcontinent journalist
You can also contact us in the following ways: WhatsApp: +44 7756 165803Tweet: @TheIndianSubcontinent_HaveYourSayText an SMS or MMS to 61124
or +44 7624 800 100Please read our terms of use and privacy policy