Saturday 14 October 2017

The taxi-hailing app giant Uber has abandoned its plan to expand into at least nine cities and towns around Britain.

The company is in danger of losing its licence in another big market, Brighton, when it expires next month, after breaking promises to use only local drivers and vehicles.


The disclosures come as Uber battles for survival in the capital following the decision by Transport for London to refuse it a new licence. The company continues to accept bookings pending an appeal, which it lodged on Friday.


It can be revealed today that Uber has withdrawn its applications for operating licences in Oxford, Hull, Bournemouth, Gateshead, North Tyneside, South Tyneside and Sandwell in the West Midlands.


The decision was made after Uber was asked a series of questions about its business drawn up by the Local Government Association.


The questions are designed to challenge the company’s claim that it is merely an agent that “does not provide transportation services” and simply operates an app connecting “independent contractors” with passengers.


The questions include: “If Uber has no involvement in the contract between the customer and the driver of the vehicle, who accepts the booking? If Uber accepts the booking, how does it have no involvement in the contract between the customer and the driver?”


Oxford city council said Uber’s application had lapsed after it had failed to provide “vital details” of how its service would operate. The other councils confirmed that Uber had withdrawn.


The company has been refused a licence in Reading and told it will not be granted one in Southend-on-Sea, Essex. However, it continues to serve some of the areas using cars it sends in from other places where it does hold a licence.


The company said: “Uber has been granted more than 80 licences by councils. Over the last year a small number of licence applications lapsed while we focused on other areas.


“On rare occasions we’ve not pursued applications as proposed conditions didn’t fit with how our app works.”


Source : Sunday Times.



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