Daily Management Review

Uber loses license in London


Uber refused to renew its license to work in London, one of the key markets for taxi services. Inspection of the company by the British regulator revealed several thousand violations: for example, drivers took orders without a license.

The British state-owned enterprise Transport for London (TfL, a transportation unit of the Greater London Administration) said it had refused to renew Uber’s license to work in London.

TfL found out that the company's systems allowed unauthorized drivers to take orders. Authorities counted at least 14,000 such cases: some of the drivers did not even have the driver’s license. Another Uber vulnerability allowed fired or suspended drivers to create new accounts and re-engage in transportation. All this put passengers at risk, Transport for London believes. The state organization noted that Uber cannot guarantee that such problems will no longer arise, therefore it was decided not to renew the service license. “Uber systems are relatively easy to intervene,” the report said.

Uber took a number of constructive steps to eliminate the regulator’s claims, but that wasn’t enough, TfL noted. The company now has 21 days to appeal the decision. At this time and during the process, the company will be able to continue working in London.

TfL first revoked its license from Uber in 2017, but the company appealed and gained the right to work under a temporary license. In September, Uber received a license for a very short period of time, only two months, and it expires on Monday. As TfL explained, it took extra time to complete the Uber validation.

source: forbes.com