Strip Uber's licence to operate in London after it 'failed to report sex attacks on passengers', MPs say

  • MPs have demanded taxi firm Uber be stripped of its London operations licence 
  • Labour MP Wes Streeting urged TfL to not renew Uber's licence expiring shortly
  • The letter, signed by 10 MPs point to Ubers failure to report sex attacks by some drivers on passengers

By Tim Lamden For The Daily Mail

Published: | Updated:

MPs have called for taxi firm Uber to be stripped of its licence to operate in London after a string of controversies.

The cross-party group wrote a letter to Transport for London (TfL) urging it not to renew the firm’s licence when it expires at the end of the month.

The letter, signed by ten Labour, Liberal Democrat and Conservative MPs, claims Uber is an ‘unfit and improper operator’ after police accused it of failing to report sex attacks on passengers by drivers.

MPs led by Labour MP Wes Streeting have demanded taxi firm Uber is stripped of its licence to operate in London in light of a string of recent controversies

MPs led by Labour MP Wes Streeting have demanded taxi firm Uber is stripped of its licence to operate in London in light of a string of recent controversies

Writing to the TfL Commissioner Mike Brown, Labour MP Wes Streeting said: ‘The safety of Londoners must be at the forefront of decisions taken about the taxi and private hire industry in our capital city. We do not believe that Uber has shown itself to be a fit and proper operator.’ It comes after the Metropolitan Police accused Uber of failing to reveal at least six sex attacks and an assault.

In the 12 months to February 2017, police recorded 48 allegations of sexual assault involving Uber drivers, reported only by passengers or via TfL.

Inspector Neil Billany accused Uber of being selective about the crimes it reported, only telling police about ‘less serious matters’.

Uber has also come under fire for failing to give drivers basic employee benefits.

In October an employment tribunal ruled its drivers should be classed as workers, not as self-employed. The decision, which it is appealing against, means Uber could be entitled to pay pensions and holiday leave.

In May TfL signalled its uncertainty over the taxi firm by only granting it a four-month licence following the expiration of its first five- year licence. A TfL spokesman said: ‘This will allow us to conclude our consideration of a five-year licence.’

The US-based company, which was originally licensed in London in 2012, has also raised eyebrows over its tax affairs – with claims it has avoided paying an estimated £40million in VAT by exploiting a legal but controversial loophole.

Taxi-hailing smartphone apps are supposed to pay 20 per cent VAT on booking fees.

A cross-party group, led by Mr Streeting, has written to Transport for London (TfL) urging it not to renew the smartphone taxi-booking firm¿s licence when it expires at the end of the month

A cross-party group, led by Mr Streeting, has written to Transport for London (TfL) urging it not to renew the smartphone taxi-booking firm’s licence when it expires at the end of the month

But Uber avoids this by treating its 40,000 UK drivers as separate businesses – most drivers earn less than the £85,000 a year threshold for VAT registration.

But two of its main rivals, Gett and Mytaxi, both said they do pay VAT on their fees.

Uber collects an estimated £1 billion a year in fares, meaning HMRC could be losing out on at least £40million a year in VAT, according to calculations by Reuters.

Politicians claim the practice is giving Uber an unfair advantage. The firm also cuts its taxes by channelling profits to the Netherlands.

In his letter, Mr Streeting, chairman of the All Party Parliamentary Group on Taxis, added: ‘Competition in the taxi and private hire industry is welcome, but it must be on a level playing field and the safety of passengers must be paramount.

The letter, signed by 10 Labour, Liberal Democrat and Conservative MPs, claims Uber is an ¿unfit and improper operator¿ after police accused it of failing to report sex attacks on passengers by drivers

The letter, signed by 10 Labour, Liberal Democrat and Conservative MPs, claims Uber is an ‘unfit and improper operator’ after police accused it of failing to report sex attacks on passengers by drivers

‘In cities around the world, Uber has shown itself to be an unfit and improper operator.

‘It’s time that London followed cities in the United States, Canada, Australia, Italy, Denmark, Germany, Bulgaria and Hungary by revoking Uber’s licence.’

Earlier this year, the Mail revealed how David Cameron and George Osborne allegedly told aides to lobby Boris Johnson against curbs on Uber.

When Mr Johnson was Mayor of London in September 2015 he threatened to curtail Uber’s activities.

He claimed that Uber drivers were breaking the law ‘in lots of minor ways’, which London’s authorities were unable to keep up with.

In the 12 months to February 2017, police recorded 48 allegations of sexual assault involving Uber drivers, reported only by passengers or via TfL

In the 12 months to February 2017, police recorded 48 allegations of sexual assault involving Uber drivers, reported only by passengers or via TfL

An Uber spokesman said: ‘More than 40,000 drivers rely on our app to make a living, with average fares last year of £15 an hour after our service fee. Drivers who use Uber are licensed by Transport for London and have been through the same enhanced background checks as black cab drivers.

‘Our technology goes further to enhance safety with every trip tracked and recorded by GPS and we employ former Met Police officers who work closely with the police.’

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