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Could This Be The End? Uber Loses Its License In London
Popular rideshare service, Uber, is in a race against the clock. The app lost its license to operate in London back in 2017, which is one of its top 5 markets worldwide.
Since then, Uber has been given two extensions with the latest of them expiring next Monday. The company will appeal the decision and in that time can continue its service.
Why they lost their license
According to Transport for London, the service has repeatedly been found not fit and proper to be a license holder. The regulator found that there were several violations including unauthorized drivers being able to upload their photos to other Uber drivers accounts.
In addition to this, it was found that drivers with suspended or revoked licenses have been able to operate under the app.
“While we recognize Uber has made improvements, it is unacceptable that Uber has allowed passengers to get into minicabs with drivers who are potentially unlicensed and uninsured,” Helen Chapman, director of licensing at Transport for London said.
At least 14,000 fraudulent trips were found between 2018 and early 2019. However, the company has taken steps to rectify the issues.
“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, ” Boss Dara Khosrowshahi said in a tweet.
How do residents feel?
The news has caused mixed reactions from local residents in London. One rider, Donna Stevens, expressed that she has always felt safe when using the app. She uses it often since she works late and has found that catching a taxi can be pricey.
On the other hand, one resident shared her experience of getting a driver that made her uncomfortable during a ride. She reported the driver and Uber only issued a credit to her and no apology. Because of this, she would rather not see the company’s license be extended.
As for drivers, many feel that current Uber drivers would sign on with other rideshare companies now popping up around London.
“There would be competition that would fill that void quite quickly,” Fiona Cincotta, a market analyst at City Index said in a statement to the BBC.