The Bay-area based app-for-rides just got a bit of bad news this morning, the London Transport Authority just announced that they will not be renewing Uber’s license to operate in the city.
The city says of Uber that they are “not fit and proper to hold a private vehicle hire license.” Uber employs 40,000 drivers in London, and that accounts for one-third of private for-hire vehicles in the town. Uber, of course, is planning to fight that, which will give them more time to operate (until the appeals process is over). Their license expires on September 30th, but depending on how long the appeals process goes, they’ll still be able to run the service for a bit longer.
London made their decision based on a lot of issues that Uber has been going through recently, including accusations of sexism, racism, fights between drivers and passengers, as well as London police who say that Uber drivers have been waiting longer than they should to report crimes. London police feel that the public’s safety was at risk in many cases.
London Mayor Sadiq Khan stands behind the decision to not renew Uber’s license.
Uber has been working on a strategy to improve their reputation, including in-app tipping, a new CEO, and some other changes, but this is a serious blow to the company.