Uber’s Fate In London To Be Sealed On Tuesday
Uber Technologies Inc. will know their fate in London on Tuesday. The company which opeartes in 633 cities worldwide will know if the bid to overturn a ruling stripping it of its licence to operate in london had succeeded.
The ruling said that its corporate culture and practice had changed. London is its biggest European market.
The taxi-hailing app overhauled its policies and personnel in Britain after Transport for London (TfL) refused to renew its licence in September.
This was so because it failed in its approach to reporting serious criminal offences and background checks on drivers.
While the appeal process is ongoing, Uber can continue to operate in the city, and Tuesday’s decision can also be appealed, meaning the whole legal process could take years.
With backers including Goldman Sachs and BlackRock and valued at more than 70 billion dollars (52.70 billion pounds).
Uber has faced protests, bans and restrictions around the world as it challenges traditional taxi operators, angering some unions.
The firm, which has about 45,000 drivers in London, introduced several new initiatives in response to the ruling.
It introduction includes 24/7 telephone support and the proactive reporting of serious incidents to the Police.
It has also changed senior UK management.
The ruling has also been a test of Uber’s new management at the board level, with Chief Executive, Dara Khosrowshahi, who took charge the month before TfL’s decision.
He pledged to “make things right” in London after the ruling.
Uber’s corporate culture has changed since Khosrowshahi’s arrival, company officials told the court on Monday, promising better practices and more transparency.
After its application for a five-year licence was rejected last year, Uber is now seeking an 18-month one to prove to the authorities that it has reformed.
But Judge Emma Arbuthnot on Monday said she thought 18 months “would be rather too long’’.
TfL’s lawyer told the court on Monday that if Arbuthnot does decide to give Uber a London licence, it should be under strict conditions.
The condition would be one the regulator has agreed with Uber, and for a short time-period, as there are questions over whether the changes implemented can be relied upon.
The court will hear evidence from Helen Chapman, TfL’s Interim Director of Licensing, Regulation and Charging, on Tuesday.
After the evidence, Arbuthnot plans to make her decision, the judge said on Monday.
The ruling is set to be made on Tuesday but the full judgment would follow later, she said.
