TfL Decision on Uber: September 2017

The decision not to renew Uber’s operating licence was taken by TfL on a quasi-judicial basis based on the evidence before them. I set out below TfL’s announcement and the Mayor’s statements on the decision.

 

Uber have now said they intend to appeal, so the evidence supporting TfL’s decision will be tested in that appeal. Uber can continue to operate until the appeal process  is concluded, which no doubt will take many months.

 

The basis of TfL’s announcement is  that Uber London Limited is not fit and proper to hold a private hire operator licence. TfL considers that Uber’s approach and conduct demonstrate a lack of corporate responsibility in relation to a number of issues which have potential public safety and security implications. These include:

 

 

Uber had previously been given a four month extension to deal with the serious concerns expressed by TfL as regulator, including those serious safety issues raised by the Metropolitan Police. Uber has failed to do so. those concerns are not illusory: they are set out in the announcement  from TfL which I set out below.

 

Whilst these concerns remain, TfL it would be irresponsible of TfL to renew Uber’s licence. TfL’s ruling was solely based on safety and not the poor working practices for which Uber has also been criticised.

 

I and other Assembly  Members have  raised concerns for some time about Uber’s unsatisfactory working practices  and the exploitative toll this can place on their drivers, the wider industry and on public safety but this could not lawfully be part of their decision.

 

The London Assembly has made it clear in two cross-party motions that whilst these concerns remained, TfL shouldn’t renew Uber’s licence.

These can be found here: https://www.london.gov.uk/press-releases/assembly/make-workers-rights-a-condition-for-ph-licenses, and here: https://www.london.gov.uk/press-releases/assembly/mayor-under-pressure-over-renewing-ubers-licence

 

I have also criticised  other Uber linked behaviour, for example the way their vehicle fleet providers  use residential roads and public car parks to park their dozens of cars for free (unlike responsible car hire  businesses who make proper arrangements to store their fleets on private car parking) , to the considerable inconvenience of local residents.

 

I know Uber is a business that is popular with many Londoners, but companies like Uber, however large, must play by the same rules as everyone else. No company can be seen as too big to fail nor too big to believe the same rules should not apply to them.

 

In this respect, you may also find it useful to read this article:

 

https://www.londonreconnections.com/2017/understanding-uber-not-app/

 

 

This decision will affect many Uber drivers and of course Londoners who use the app. However, I am sure you will agree that public safety is of paramount importance and only those companies that are fit and proper should be licenced in London. It therefore falls to Uber to take action to address their working conditions and matters of safety.

 

Personally, I think Uber would be using better their considerable resources by cleaning  up their act and  resolving  the problems that have led to the ending  of their licence  and improving  conditions for their drivers, rather than engaging in hiring no doubt very expensive lawyers to conduct protracted  litigation.

 

Andrew Dismore AM

 

 

TfL statement

 

Transport for London (TfL) has today (Friday 22 September) informed Uber London Limited that it will not be issued with a private hire operator licence after expiry of its current licence on 30 September.

 

TfL’s regulation of London’s taxi and private hire trades is designed to ensure passenger safety.  Private hire operators must meet rigorous regulations, and demonstrate to TfL that they do so, in order to operate.  TfL must also be satisfied that an operator is fit and proper to hold a licence.

 

TfL has concluded that Uber London Limited is not fit and proper to hold a private hire operator licence.

 

TfL considers that Uber’s approach and conduct demonstrate a lack of corporate responsibility in relation to a number of issues which have potential public safety and security implications.  These include:

 

  • Its approach to reporting serious criminal offences.

 

  • Its approach to how medical certificates are obtained.

 

  • Its approach to how Enhanced Disclosure and Barring Service (DBS) checks are obtained.

 

  • Its approach to explaining the use of Greyball in London – software that could be used to block regulatory bodies from gaining full access to the app and prevent officials from undertaking regulatory or law enforcement duties.

 

The Private Hire Vehicles (London) Act 1998 includes provision to appeal a licensing decision within 21 days of it being communicated to the applicant.  Uber London Limited can continue to operate until any appeal processes have been exhausted.

 

No further comment will be made by TfL pending any appeal of this decision.

 

 

Mayor of London, Sadiq Khan statement

 

‘I want London to be at the forefront of innovation and new technology and to be a natural home for exciting new companies that help Londoners by providing a better and more affordable service.

However, all companies in London must play by the rules and adhere to the high standards we expect – particularly when it comes to the safety of customers.

 

Providing an innovative service must not be at the expense of customer safety and security.

I fully support TfL’s decision – it would be wrong if TfL continued to licence Uber if there is any way that this could pose a threat to Londoners’ safety and security.

 

Any operator of private hire services in London needs to play by the rules.’

 

 

Mayor responds to Uber petition

 

 

In response to a petition on Change.org about TfL’s licensing decision on Uber, The Mayor of London, Sadiq Khan, said:

 

“Transport for London (TfL) yesterday informed Uber London Limited (Uber) that it will not be issued with a private hire operator licence after expiry of its current licence on 30 September.  This decision was made independently by TfL as the legal taxi and private hire regulator for London.

 

“TfL has concluded that Uber’s conduct is not fit and proper to hold a private hire operator licence. TfL considers that Uber’s approach and conduct demonstrates a lack of corporate responsibility in relation to a number of issues that have potential public safety and security implications. These include Uber’s approach to reporting serious criminal offences, ‎its approach to how medical certificates are obtained and its approach to how Enhanced Disclosure and Barring Service (DBS) checks are obtained.  Read more here: http://bit.ly/2yhssmC

 

“I have written for The Guardian about why I have backed TfL’s decision – read more here<http://bit.ly/2hoqQ3B> – however, I want to be absolutely clear that there is a place in London for all private hire companies that play by the rules.

 

“Uber’s current licence does not expire until the end of September so the service will continue until then. The company can also continue to operate until the appeals process has been exhausted.

 

“I know that Uber has become a popular service for many Londoners – but it would be wrong for TfL to license Uber if there was any way this could pose a threat to Londoners’ safety or security.

 

“As Mayor of London I welcome innovative new companies that help Londoners by providing a better and more affordable service – but providing an innovative service is not an excuse for not following the rules. All companies in London must play by the rules and adhere to the high standards we expect – particularly when it comes to the safety of customers.

 

“I have every sympathy with Uber drivers and customers affected by this decision but their anger really should be directed at Uber. They have let down their drivers and customers by failing, in the view of TfL, to act as a fit and proper operator.

 

“I suspect it will take some time before this situation with Uber fully plays out. In the meantime, I will continue my work to help support innovative businesses in London and to create a vibrant and safe taxi and private hire market.”

 

 

Mayor of London response to Uber apology

 

Mayor of London, Sadiq Khan, said:

 

“I welcome the apology from Dara Khosrowshahi, the Uber CEO. Obviously I am pleased that he has acknowledged the issues that Uber faces in London.

 

“Even though there is a legal process in place, I have asked TfL to make themselves available to meet with him.”

 

 

 

ENDS

 

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