NYC signs bill to cap new ride-hailing licences

New York City, the largest American market for Uber, has become the first U.S. city to regulate the growth of app-based rides.

Mayor Bill de Blasio signed a bill placing a temporary cap on new licences for a year, with the exception of wheelchair accessible vehicles.

The city council approved a package of bills that included the moratorium while the city studies the rapidly changing industry. The legislation also will allow the city to set a minimum wage for app-based drivers.

“We are taking immediate action for the benefit of more than 100,000 hard-working New Yorkers who deserve a fair wage, and halting the flood of new cars grinding our streets to a halt,” de Blasio said on Tuesday.

Backers of the proposals said both the traditional yellow cab industry and drivers for appbased services are suffering as for-hire cars flood the city’s streets. They said the growth of ride-hailing apps has also worsened traffic congestion.

“Today, New York City is hitting pause on the economic hemorrhaging that has left tens of thousands of immigrant families in chaos and despair,” the New York Taxi Workers Alliance said.

“Driver incomes across all sectors have been in a downward spiral as Uber and Lyft flooded our streets,” the advocacy group said. “The immediate cap on new forhire vehicles puts a stop to that. Now, yellow taxi, green cab, black car, livery, Uber and Lyft drivers can finally hope for stability.”