Uber loses its licence to operate

Uber, which was already in hot waters, has now faced a ban of its licence in London by the city's transport authorit
Updated 23 Sep, 2017

Uber, which was already in hot waters, has now faced a ban of its licence in London by the city's transport authority.

Rejecting the proposal for new licence, Transport for London (TfL) said that it would not be renewing Uber’s licence to operate in London, adding that the firm is not ‘fit and proper’ private care hire operator. However, this controversial move led to an uproar from both the customers and drivers of Uber.

Uber’s current licence expires on September 30 and they have further decided to challenge the verdict by TfL in the courts straight away. The capital contains almost 3.5 million users of the car hailing service and it can go on continuing to operate in the country until the firm has exhausted the appeals process, reported Business Insider.

London Mayor Sadiq Khan claimed that he was completely in support of the decision to ban Uber’s licence, since all companies need to 'play by the rules'.

“I want London to be at the forefront of innovation and new technology and to be a natural home for exciting new companies that help Londoners by providing a better and more affordable service," the mayor said. "However, all companies in London must play by the rules and adhere to the high standards we expect – particularly when it comes to the safety of customers.”

Furthermore, Uber expressed that this conclusion would 'show the world that far from being open, London is closed to innovative companies'.

The organization expressed, “3.5 million Londoners who use our app and more than 40,000 licenced drivers who rely on Uber to make a living, will be astounded by this decision.”

Tech Juice wrote, while addressing the customers, the company asked them to defend the livelihoods' of the drivers through signing a petition in which they ask the mayor to undo TfL’s decision.

Copyright Business Recorder, 2017

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