Uber vows to appeal after losing licence in London

Transit authority refused to renew licence because of fake drivers

In this Wednesday, Feb. 10, 2016 file photo, London taxis block the roads during a protest in central London, concerned with unfair competition from services such as Uber. (AP Photo/Frank Augstein, File)

London’s transit authority on Monday refused to renew Uber’s operating license over concerns about impostor drivers, with the ride-hailing company vowing to appeal the decision as it struggles to secure its future in the British capital.

It’s the latest chapter in Uber’s rocky history with London transport officials, who have subjected the San Francisco-based tech company to ever tighter scrutiny over concerns about passenger safety and security.

Uber called the decision “extraordinary and wrong,” and has 21 days to file an appeal, which it said it would do. It can continue operating during the appeals process.

Transport for London cited “several breaches that placed passengers and their safety at risk” in its decision not to extend Uber’s license, which expires at midnight Monday. Among other things, unauthorized drivers carried out thousands of rides, the regulator said.

“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,” said Helen Chapman, director of licensing and regulation at Transport for London, known as TFL.

“We cannot be confident that similar issues won’t happen again in future.”

The company fired back, pointing out that TFL had found it fit and proper in its most recent license renewal in September.

“We understand we’re held to a high bar, as we should be. But this TFL decision is just wrong,” CEO Dara Khosrowshahi tweeted. “Over the last 2 years we have fundamentally changed how we operate in London.”

The denial in a lucrative European market is a big setback for Uber as it struggles to turn a profit. The company posted a $1.16 billion loss in the latest quarter and Khosrowshahi forecast it wouldn’t make a profit until 2021. Shares fell 1.3% in New York.

TFL had already been keeping Uber on a tight leash. It had revoked Uber’s license once before, in 2017, but a court later granted it a license lasting 15 months, which TFL then extended for two more months in September, but added 20 conditions.

In the latest decision, the transit authority said it was concerned Uber’s systems “seem to have been comparatively easily manipulated” by drivers.

One key issue was a change to Uber’s systems allowing unauthorized drivers to upload their photos to other driver accounts.

READ MORE: B.C. to allow Uber-style ride hailing services to operate in late 2019

This let them pick up passengers as though they were the booked Uber driver on at least 14,000 trips, which means all those journeys were uninsured, TFL said.

The change also resulted in some passengers travelling with unlicensed drivers, including one whose license was previously revoked by TFL.

The Associated Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Fernie Hotel supports through bushfire fundraiser

Sunday Funday at The Fernie raised thousands for Australian Bushfire Relief On… Continue reading

Ridgemont trail network closed to public

On January 10, 2020, the Fernie Trails Alliance issued a press release… Continue reading

New plane for Air Search and Rescue Association

The new Cessna 182 will also be used for Angel Flight services

Fernie Chamber of Commerce signs lease for downtown coworking space

By: Brad Parsell, Executive Director Fernie Chamber of Commerce The Fernie Chamber… Continue reading

Province looking at steps to dissolve Jumbo resort municipality

Disincorporating municipality will likely require a legislative change, according to the province

‘Presumptive case’ of coronavirus in Canada confirmed by Ontario doctors

Man in his 50s felt ill on his return to Canada from Wuhan, China

People knowingly take fentanyl so make policy changes to reduce harm: B.C. study

Dr. Jane Buxton, an epidemiologist at the centre, says drug users need more resources,

‘My heart is going to bleed’: Bodies brought back to Canada following Iran plane crash

Remains of Sahar Haghjoo, 37, and her eight-year-old daughter, Elsa Jadidi, were identified last weekend

UBC grad and sister killed in Iran plane crash had bright futures ahead, close friend says

Asadi-Lari siblings Mohammad Hussein and Zeynab were two of 57 Canadians aboard downed Flight PS752

BCLC opens novelty bet on Harry and Meghan moving to the west coast

Meanwhile, real estate agency points to four possible homes for the family

Canada slips in global corruption ranking in aftermath of SNC-Lavalin scandal

The country obtained a score of 77, which places it at the top in the Americas

Wuhan bans cars, Hong Kong closes schools as coronavirus spreads

Hong Kong leader Carrie Lam said her government will raise its response level to emergency, highest one

Elkford curlers headed to B.C. Winter Games

Four young women from Elkford will be representing the East and West… Continue reading

Most Read