London Denies Uber License Renewal Over 14,000 Fraudulent Trips
London's transportation regulator refuses to renew Uber's operating license after discovering unauthorized drivers took thousands of trips using fake accounts. Uber plans to appeal the decision and continues to operate during the process.
London's transportation regulator refuses to renew Uber's license to operate in the U.K. capital, declaring the ride-hailing company is not "fit and proper" to run a private hire service. The decision comes after Uber's license expires, though the company currently has 21 days to lodge an appeal and continues to serve its 3.5 million London users during the legal process.
Transport for London finds that Uber's computer systems allow unauthorized drivers to upload their photos to other driver accounts, enabling them to pick up passengers as if they are the verified driver. This security flaw results in at least 14,000 fraudulent trips, all of which operate without proper insurance and include instances of unlicensed drivers and even a driver whose license regulators previously revoked.
The regulatory agency also identifies a separate issue where former Uber drivers dismiss or suspend from the platform simply create new accounts to bypass their punishments. This is not the first time London takes action against Uber, as the city previously attempted to cancel the company's license in 2017 before a judge overruled the decision and granted a short 15-month renewal.