London taxi drivers considering taking legal action against Uber over loss of earnings

Black cabs descend on Whitehall
Oli Scarff/Getty Images
Sophie Williams24 July 2018

London's black cab drivers are looking to take legal action against Uber following a decision to extend its licence in the capital.

The Licenced Taxi Drivers Association has sought legal advice from Mishcon de Reya to consider whether there is action for a legal claim against the popular ride-hailing app.

According to Sky News, the LTDA which has over 11,000 members in London, will claim that 25,000 taxi drivers in London have suffered a loss of earning for at least five years due to Uber’s operations.

The LTDA is claiming each driver would have lost earnings of around £10,000 meaning that should they win their case, Uber’s compensation bill could be as much as £1.25bn.

Uber would face a hefty compensation bill 
AFP/Getty Images

Steve McNamara, General Secretary of the LDTA said: “We’ve been approached by a number of members to help them explore whether there would be grounds for a potential class action on behalf of all taxi drivers against Uber.

“We are in the very early stages of obtaining legal advice from leading law firm Mischcon de Reya on whether this is a possibility.

“We’ll continue to do everything we can to support our members and taxi drivers across London by exploring every avenue to ensure they are treated fairly.”

After a two-day hearing, chief magistrate Emma Arbuthnot concluded that the taxi app firm is “fit and proper” to hold an operating licence in the capital.

The firm had its licence granted for a period of 15 months.

The taxi company has also agreed to pay all of TfL's costs for the appeal process. This comes to a total of £425,000.

Following the verdict Mayor of London Sadiq Khan released a lengthy statement in support of the decision.

It reads: "After years of operating poorly in London, Uber has now accepted that TfL's action in refusing to renew their licence was totally justified. Today our stance has been vindicated by the court.

"Uber has been put on probation - their 15 month licence has a clear set of conditions that TfL with thoroughly monitor and enforce."

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