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London Deems Uber Unfit for Service
London’s transport authority has denied Uber Technologies Inc.’s request to renew the ride-sharing company’s operating license, citing a lack of “corporate responsibility” with potential safety and security implications.
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London’s transport authority has denied Uber Technologies Inc.’s request to renew the ride-sharing company’s operating license, citing a lack of “corporate responsibility” with potential safety and security implications.
The current license will expire at the end of the month, but Uber vows to “immediately challenge” the decision in the courts. The company has 21 days to appeal and can continue to operate until there is another ruling.
Transportation for London (TfL) says it wasn’t satisfied that Uber was “fit and proper” to hold a ride-hailing license in the city. The group faulted Uber for not properly reporting serious criminal offenses and not conducting thorough background checks on its drivers.
Uber’s 40,000 drivers in London account for about one-third of the ride-hailing market in the city, which has prompted legal suits from the city’s traditional taxi drivers. Some 3.5 million people in the city have downloaded the app.
Uber insists it works closely with the police and follows TfL’s rules for reporting serious incidents. The company also maintains its drivers pass the same rigorous checks as drivers of the city’s iconic black cabs.
Uber already has been banned in some countries, including Denmark and Hungary. The ride-hailing service also has faced regulatory fights in several U.S. states.
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