Uber Enlists London Black Cabs in Milestone Move

Uber has announced its intention to incorporate London’s renowned black cabbies into its app after previously being banned in the UK. London black cabs hold significant cultural and symbolic value, rivaling New York’s yellow cabs as the most iconic taxis globally. While this collaboration symbolizes a significant victory for Uber, it could also serve to rebuild trust with taxi operators who remain suspicious of Uber’s intentions.

The integration of London’s black cabs into Uber’s app won’t take effect until early 2024, but some taxi drivers from the city have already started the sign-up process. Uber’s ambitious plan will extend an offer to all 15,000 black cabbies in London to join the platform for trip referrals. This announcement follows similar recent partnerships with taxi fleet owners in major cities like New York City, Paris, Rome, and Los Angeles.

However, not all parties within the taxi industry are thrilled about Uber’s proposal. The Licensed Taxi Drivers’ Association (LTDA) — a trade union representing 10,000 drivers — raised doubts about the appeal of such a partnership. The group has shown concern about being associated with Uber due to its history of safety issues and workers’ rights in London. The LTDA underscored that London’s black cab passengers already have access to various apps, such as Gett, Taxiapp, FreeNow, and ComCab, for availing rides. Therefore, aligning with Uber could tarnish the esteemed reputation of London’s iconic black cab trade.

With this partnership, Uber receives a portion from every taxi hailed through its app. The company observed a slight increase in its average global take rate for rides to 28.3% in the third quarter from 27.9% in the same quarter of the previous year. However, Uber plans to exclude its commission from trips for London cabbies during the first six months.

Despite recent obstacles, including a legal battle regarding its drivers’ employment status, both Uber and London’s black cabs have seen a resurgence. New cabs, including electric ones, have started to register. Notably, Uber also secured a 30-month license to maintain its ridesharing services in London after a protracted struggle with Transport for London over its safety record.

As of now, Uber’s app features taxis in 33 countries, benefiting “hundreds of thousands” of taxi drivers with trip referrals. Major markets by volume include Hong Kong, Poland, South Korea, Sweden, and Turkey.

Uber aims to enlist every taxi worldwide on its app by 2025.