After Legal Battle, Uber Allowed To Continue Operating In London

Once on incredibly thin ice with regulators in London, ride-sharing giant Uber got some good news this week. Westminster Magistrates’ Court ruled on Tuesday that Uber could have a 15-month license to continue operations in the U.K.’s capital after months of uncertainty following a ban last fall.

Regulatory body Transport for London refused to renew Uber’s license in the city of more than 8 million last year, according to CNBC. Citing a “lack of corporate responsibility,” TfL struck down Uber’s business similar to how Austin, Texas, briefly got rid of Uber and Lyft in 2016.

However, Uber appealed the ruling and was allowed to keep operating in London until the matter was legally resolved.

Tuesday’s ruling was a win for Uber, who can keep operating in London for the next 15 months as long as it complies with new regulations. For example, Uber has to provide training for its drivers and be more diligent about reporting drivers with safety citations against them to authorities. If a driver is fired from Uber after committing a crime, authorities must be notified.

The company will be subject to an independent review every six months as part of this deal. Around 3.6 million Londoners use Uber on a regular basis, according to CNBC, meaning the last thing Uber wanted was to lose access to what is assuredly a profitable market.

London mayor Sadiq Khan, who supported TfL’s September ruling against Uber, tweeted a statement Tuesday following Uber’s license renewal. He emphasized that Uber, no matter its prominence, must comply with TfL’s rules if it wants to remain in London.

Uber has come under fire several times over the years for its treatment of drivers and customers. Just this year, reports of low median wages and widespread, underreported sexual harassment or assault claims against drivers in the U.S. have drawn negative attention to the company.

Uber drivers are technically independent contractors instead of employees, which has been a legal battle in many different places over the years. As CNBC pointed out, TfL’s stipulation that Uber train its drivers could bump up against the drivers’ employment status. Independent contractors do not have as many labor rights as regular employees.