Toronto suspends Uber licences after staff report finds company broke the law with its self-driving vehicles

Uber warns of higher prices and longer wait times following Toronto’s decision to freeze new licences for ride-hailing companies.

In an email to Uber customers, executives note that the company is “working closely” with city officials to “restore the rideshare regulations that were suspended in Toronto on July 10, 2019,” an announcement that preceded the city’s move to suspend new licences for Uber and its rivals in the face of new and potentially higher costs, the New York Post reports.

The email also references the “significant financial impact” that the city’s decision has had to the company, noting that the “number of new drivers who have registered has significantly declined” since mid-July.

The email goes on:

“After months of careful planning, we’ve had to make some serious changes to our plans in Toronto in terms of revenue and our ability to grow.”

Toronto, which has been on a year-long battle with ride-hailing companies, last week decided to freeze new licences for Uber and its rivals in the face of new and potentially higher costs, citing a “material change to the facts and circumstances” regarding the services.

Read more: Toronto has suspended Uber and its rivals’ licences after city’s staff report found the company broke the law with its self-driving vehicles

And while not naming any rival services, the city warned that “there will be additional costs to consumers over time as we work with cities to develop a uniform set of regulations.”

“While this step was necessary to ensure Uber complies with our laws, it is also the right thing to do,” Toronto Mayor John Tory said in a statement on the decision. “We think this is the best decision to return Uber and other ride services to a system of rules in which drivers are paid for their time and services are measured and regulated.”

City staff report

The New York Post noted that the city’s decision “was based on a staff report that detailed how Uber exploits drivers’ time and costs to its benefit while paying little, if any, to cities.”

The city council decision “was widely condemned by consumer and advocacy groups, cities and lawmakers, and Uber’s own board” and has been “c

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