Uber capped in New York

NEW York City is to place a cap on new licences for Uber and other taxi apps.

It is the first US city to attempt to regulate the growth of Uber, which critics have blamed for increasing traffic congestion.

New York’s city council has now approved a year-long ban on new licences for vehicles for hire. Officials will study Uber’s impact on the city and set a minimum wage for app-based drivers during this period.

Unions said regulation would improve conditions for drivers of New York’s traditional yellow cabs as well as those working for apps. But Uber said failure to issue new licences would threaten one of the city’s ‘few reliable transportation options’.

Last year Transport for London refused to renew Uber’s licence, saying it was not a ‘fit and proper’ operator following a row over vetting drivers. It has since been awarded a probational 15-month licence.