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New private hire rules would hurt Londons reputation

The British Hospitality Association has welcomed the move by Transport for London (TFL) to issue a second consultation to “modernise” private auto regulations on businesses such as Uber.

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It appears that Victoria will likely soon follow in Canberra’s footsteps, although this could be a much trickier path, with Uber already operating in Melbourne for more than two years, and an UberX driver now facing court. The new rules would ban companies from immediately showing available cars, even if a vehicle is nearby.

London is now the latest city to turn its attention to Uber’s potential impact on local registered taxi services.

Uber has announced in a media release that ‘sensible, safety-based ridesharing regulations will be in place for the ACT from the end of October, leading the way for permanent legislation in the coming months’.

Under new rules, cabs will have to wait for a minimum of five minutes for picking up a passenger (more on them below). The placement of greater controls around ridesharing is also indicated, which would hit the introduction of UberPool and other companies offering similar services in the city. “In recent years the private hire industry has grown exponentially and technology has also developed rapidly”.

Uber said it was a deliberate target and if the proposals went ahead they would raise prices and increase congestion in London.

Uber drivers would be bound by a few of the same regulations cab drivers face, such as the need for proper insurance, vehicle inspections, and background checks.

For its part, TfL wants to set standards for the private hire industry, and left the door open to input from the public.

“We are shocked that the Roads and Maritime Services did not appear to show these drivers any due process and we are reviewing the legal options to reverse this decision”, Uber said.

Drivers may only work for one operator at a time.

The petition has attracted more than 70,000 signatures in a matter of hours.

Uber meanwhile released a statement on its website urging supporters to sign the petition and adding that “these rules make no sense” and would “threaten drivers’ livelihoods by forcing them to drive for just one operator”. However, Hailo has chose to give up its PHV licence and focus the 15,000 black cab drivers who use the app to connect with customers. He said he hopes the new law will regulate both Uber and taxi drivers “fair and equitably”.

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“That system largely worked fine until recently, but the emergence of Uber has turned it on its head”, he said.

NSW Roads and Maritime Services has issued 40 suspension notices against 40 UberX drivers