Kristen Zanoni  |  September 22, 2020

Category: Legal News

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Smartphone showing Uber app lies on top of map with model car - london licence

Uber is fighting to get its London licence back after losing it twice over allegations by the Transport for London (TfL) that the company provided unsafe services.

This is the ride-hailing company’s last chance to appeal.

In 2017, an Uber ban was established over reported repetitive failures to keep passengers safe, CNBC reported.

In 2018, the initial court battle for its London licence granted Uber with a 15-month licence. Another London licence was given for a two month period in September 2019.

Then last year, an Uber ban went into effect for the second time. The ride-hailing company lost its London licence when unauthorised drivers operated at least 14,000 rides.

An alleged defect in Uber’s system allowed illegitimate drivers to upload their photos to existing drivers’ accounts and pick up passengers. 

“We found Uber not fit and proper to hold a new private hire operator’s licence on 25 November 2019,” TfL’s director of licensing Helen Chapman told CNBC in an email. “Uber has submitted an appeal and it will now be for a magistrate to determine if they are fit and proper.”

Uber has made changes to enhance the safety of its passengers.

An Uber decal is shown in the corner of a car windshield - london licenceUber argued its new verification system focuses on fixing the safety issues that the TfL was concerned about, according to Business Insider. In April, the Uber ban prompted the company to announce the new system, which requires drivers to take a selfie and have their identity verified before picking up a rider.

The four-day hearing began 14 Sept. Uber has still been running in London while awaiting the appeal decision, even though the company has no London licence.

According to Business Insider, TfL said in a statement that Uber produced “a number of positive changes and improvements to its culture, leadership and systems” after losing its London licence. However, the TfL is still not satisfied with the changes.

“We have worked hard to address TfL’s concerns over the last few months, rolled out real time ID checks for drivers, and are committed to keeping people moving safely around the city,” Uber’s regional general manager of Northern and Eastern Europe Jamie Heywood wrote CNBC in an email. 

On top of Uber bans and losing its London license, the ride-hailing company has been dealt a difficult hand with the coronavirus pandemic.

Uber has been significantly impacted by the restrictions of the pandemic, while people were staying indoors, CNBC reported. Now, drivers and passengers are required to wear a mask during trips for safety.

Re-establishing its London license will be critical for Uber.

In Europe, London is the ride-hailing business’ largest market. Uber has about 3.5 million riders and 45,000 drivers in London, which makes it the No. 1 ride-hailing app in the city since its introduction in 2012.

Despite Uber’s popularity in London, there have been major controversies in a number of incidents over its approach to the alleged sexual assaults to clashing with London’s black cab industry, according to CNBC. 

Recently there have been class action lawsuits against Uber in the U.S. over employment rights for its drivers. Uber’s drivers have taken them to court in an effort to be labelled employees rather than independent contractors, which would entitle them to worker benefits. 

Do you use Uber’s services? What do you think will be the outcome of the company permanently losing its London license? Tell us in the comments.

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