LondonB次元官网网址檚 transit authority on Monday refused to renew UberB次元官网网址檚 operating license over concerns about impostor drivers, with the ride-hailing company vowing to appeal the decision as it struggles to secure its future in the British capital.
ItB次元官网网址檚 the latest chapter in UberB次元官网网址檚 rocky history with London transport officials, who have subjected the San Francisco-based tech company to ever tighter scrutiny over concerns about passenger safety and security.
Uber called the decision B次元官网网址渆xtraordinary and wrong,B次元官网网址� and has 21 days to file an appeal, which it said it would do. It can continue operating during the appeals process.
Transport for London cited B次元官网网址渟everal breaches that placed passengers and their safety at riskB次元官网网址� in its decision not to extend UberB次元官网网址檚 license, which expires at midnight Monday. Among other things, unauthorized drivers carried out thousands of rides, the regulator said.
B次元官网网址淲hile we recognize Uber has made improvements, it is unacceptable that Uber has allowed passengers to get into minicabs with drivers who are potentially unlicensed and uninsured,B次元官网网址� said Helen Chapman, director of licensing and regulation at Transport for London, known as TFL.
B次元官网网址淲e cannot be confident that similar issues wonB次元官网网址檛 happen again in future.B次元官网网址�
The company fired back, pointing out that TFL had found it fit and proper in its most recent license renewal in September.
B次元官网网址淲e understand weB次元官网网址檙e held to a high bar, as we should be. But this TFL decision is just wrong,B次元官网网址� CEO Dara Khosrowshahi tweeted. B次元官网网址淥ver the last 2 years we have fundamentally changed how we operate in London.B次元官网网址�
The denial in a lucrative European market is a big setback for Uber as it struggles to turn a profit. The company posted a $1.16 billion loss in the latest quarter and Khosrowshahi forecast it wouldnB次元官网网址檛 make a profit until 2021. Shares fell 1.3% in New York.
TFL had already been keeping Uber on a tight leash. It had revoked UberB次元官网网址檚 license once before, in 2017, but a court later granted it a license lasting 15 months, which TFL then extended for two more months in September, but added 20 conditions.
In the latest decision, the transit authority said it was concerned UberB次元官网网址檚 systems B次元官网网址渟eem to have been comparatively easily manipulatedB次元官网网址� by drivers.
One key issue was a change to UberB次元官网网址檚 systems allowing unauthorized drivers to upload their photos to other driver accounts.
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This let them pick up passengers as though they were the booked Uber driver on at least 14,000 trips, which means all those journeys were uninsured, TFL said.
The change also resulted in some passengers travelling with unlicensed drivers, including one whose license was previously revoked by TFL.
The Associated Press
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