A decision by London’s transport regulator to strip Uber Technologies of its license to operate in the city was “disproportionate” and has put thousands of jobs at risk, British Prime Minister Theresa May said on Thursday, September 28.
The San Francisco-based company is rushing to respond to the United Kingdom government’s conclusion that it doesn’t conduct sufficient background checks on drivers or properly report crimes, and actively avoids regulatory oversight.
Uber Technologies’ chief executive officer, Dara Khosrowshahi, is flying into London next week for a diplomatic mission with city regulators in hopes of negotiating a deal that prevents the ride-hailing service from being banned in Europe’s largest city.
The city regulator said it would not be renewing Uber’s license to operate when it expires on Sunday, October 1, due to the firm’s handling and reporting of alleged criminal offences. Regulator Transport for London last Friday deemed Uber unfit to run a taxi service and decided not to renew its license to operate when it expires on September 30, citing the firm’s approach to reporting serious criminal offences and background checks on drivers.
Uber has said it plans to appeal the ruling and accused London’s regulator of caving in to special interests “who want to restrict consumer choice”. The Silicon valley firm will be allowed to operate in London until the licence appeal process is exhausted, which could take several months.
“Our new CEO is looking forward to meeting with the commissioner next week”, an Uber spokesman said.
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