Minimum wage threat to Uber

UBER could face a tougher licensing regime to ensure that it pays its drivers the minimum wage.

The prospect was raised by transport minister John Hayes in response to a call from a senior MP for councils to be able to set minimum standards before granting private hire car firms taxi licences.

Labour’s Frank Field said companies such as Uber flout existing lax rules to avoid paying drivers a decent living.

His calls in a Westminster debate were met with a positive response from Mr Hayes, who pledged to review the guidance issued to councils.

He said he would establish a working party in the Department for Transport to inquire into pay and working conditions at Uber, adding: ‘I will look at the guidance issued to local authorities, who may be unaware of the extent of their powers, and certainly may be unaware of their ability to use them.’