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Uber Stripped of Its London License as It Failed to Ensure Passenger Safety

Uber Stripped of Its London License as It Failed to Ensure Passenger Safety

Due to the appeal, nothing will change for passengers and drivers who use the Uber app for the time being. However, the ban represents a huge blow to the ride-sharing agency, which has labored to improve its repute as a friend rather than a foe to regulators under present CEO Dara Khosrowshahi.

TfL had beforehand suspended Uber’s license in 2017, flagging issues with the company’s method to security. Following that initial resolution, Uber was twice granted a temporary license to proceed working within the city — the primary, a 15-month reprieve issued by a decision last year, and a two-month permit granted by TfL in September.

Uber was stripped of its license to function in London on Monday by town’s transport regulator, which cited a “pattern of failures” that had put passengers in danger. The San Francisco-based firm immediately stated that it plans to appeal Transport for London’s decision, labeling the move “extraordinary and wrong.” The shares of Uber fell over 1% after the ruling.

London is Uber’s largest European market and a key driver of its revenues past the U.S. It has confronted elevated competitors within the U.K. capital from the likes of Estonian start-up Bolt and French rival Kapten.

In its announcement, London’s transport authority stated it took a problem with a change made to Uber’s identification programs that allowed unauthorized drivers to add their photos to different Uber driver accounts. In accordance with TfL, this allowed them to choose up riders as if they have been the booked driver in no less than 14,000 trips. Ahead of Monday’s announcement, Uber had made a number of safety updates to its application in an obvious attempt to allay regulatory issues.