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ACT rules Uber can ride into the territory

The British Hospitality Association (BHA) today commended Transport for London (TFL) for issuing a second consultation to modernise private hire regulations, which could result in tighter regulations on so-called sharing economy businesses like Uber.

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The new rules will allegedly include an imposed wait time of at least five minute before the start of a journey for operators to provide booking confirmation details. Outlawing companies from showing available cars on an app is a Luddite solution to a problem which doesn’t exist.

Johnson also defended Uber at the London Assembly, telling cabbies: “You are dealing with a huge economic force which is consumer choice and the taxi trade needs to recognise that”.

Transport for London (TfL) is launching a consultation that could result in stringent new rules against Uber’s current business model. Taxi drivers displayed their frustration with Uber and the London’s administration September 16, shutting down a question time session after Mayor Boris Johnson labelled them “luddites”.

France last September also introduced a host of nationwide restrictions on ride-sharing service drivers before they can operate legally.

Moreover, the proposed regulations restrict the flexibility of drivers to drive for more than one company. Booking services have to have customer complaint mechanisms and surge pricing will be banned during emergencies.

While Uber has been popular with commuters around the world, it has faced backlash from traditional taxi operators and a few governments, and been hit with legal challenges in cities including Brussels and Jakarta. If adopted, they will mean an end to the Uber you know and love today.

“This is a step in the right direction towards tightening up controls on the PHV sector and apps like Uber but the union recognises we need to continue to fight for full implementation and a rigorous system of monitoring and control to make this work”, RMT General Secretary Mick Cash said.

London black cab drivers have meanwhile been staging numerous protests against the proliferation of Uber and the increase in minicab licensing.

The recommendations are part of a consultation on minicab regulation starting Wednesday and running for 12 weeks, Transport for London said in an emailed statement.

“Hailo was made strong by its original connections to the taxi trade and we feel we’ve drifted too far from it”.

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Black-taxi drivers, who have to pass a grueling test to get a license, have complained that Uber threatens their livelihoods and is lowering service quality.

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