Black cab drivers in London plot to sue Uber for £1.25billion ‘in lost earnings’

Black cab drivers in London are plotting to sue Uber for £1.25billion in ‘lost earnings’, according to a new report. 

The Licensed Taxi Drivers’ Association (LTDA) is working with a leading law firm to weigh its options in making a legal claim against the ride hailing giant, reports Sky News.

The group is likely to argue that 25,000 black cab drivers in London suffered lost earnings averaging around £10,000 for at least five years as a result of Uber’s failings.

This would take the overall possible bill that Uber could be hit with to £1.25billion.

The Sky News report said the LTDA had engaged the law firm Mishcon de Reya to explore the options.

The LTDA were not immediately available for comment. Uber declined to comment. 

Last month, Uber won a partial victory at Westminster Magistrates’ Court in getting its London operating licence renewed.

A judge granted a new 15-month permit which will allow the car service to continue to operate in the city.

The decision comes months after Transport for London (TfL) bosses blocked the Silicon Valley company from renewing its licence to operate for another five years, in September 2017. 

The group is likely to argue that 25,000 black cab drivers in London suffered lost earnings averaging around £10,000 for at least five years as a result of Uber’s failings

The taxi hailing app admitted to a judge during an appeal that TfL was right to have safety concerns.

But Uber said the operating licence should be now renewed as it has made ‘wholesale’ reforms. 

Chief magistrate Emma Arbuthnot said Uber was, in her judgement, ready for a renewal and granted a 15-month licence. 

Why did Uber lose its London licence and where else is it banned?

Uber was not considered ‘fit and proper’ to retain an operating licence in London because of its failure to report crimes in London.

 But passenger were furious because many said they would be unable to afford late-night lifts home and will put thousands of drivers out of work.

After TfL denied them a licence in September York and Brighton followed suit. 

Sadiq Khan, Mayor of London, announced TFL’s decision to deny Uber its license after a series of serious criminal offences including customer data hacking with more than 1,000 London-licensed Uber drivers being accused of ‘category A’ offences including, stalking and dangerous driving.

Uber claims it has improving procedures for reporting criminal action and appointed three non-executive directors to its UK boards.

It now proactively reports serious incidents to the Metropolitan Police.

Uber is seeking a new licence for just 18 months, rather than the full five years.

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