Author: Alan

Toronto City Council freezes Uber and Lyft’s permits for new rides

Toronto City Council freezes Uber and Lyft’s permits for new rides

Uber warns of higher prices and longer wait times following Toronto’s decision to freeze new licences of all ride-hail companies with pending launches.

This week, the taxi and ride-hail companies Uber and Lyft received notice from the city of Toronto that it plans to freeze their permits for new rides from April 30, with the end of the freeze following a council vote on Monday, April 19, over whether to suspend Uber and Lyft’s permits for new companies.

The taxi medallion holders have been protesting the ridesharing apps since they first launched in Toronto last February, arguing that the sharing economy’s growth will lead to higher prices for taxis and more pollution from cars driving to and from Uber and Lyft when their customers need to get around.

The city decided to freeze Uber and Lyft’s permits for new companies after the company failed to comply with a request from the city in early April to provide data to justify its argument for allowing new ridesharing companies into the city.

“We’ve always made it clear to city staff – we would have been more than happy to share our data and our analyses of the economic impact of ridesharing, but we were never satisfied with the level of their questions or their time frame.”

“Uber is not an innovator here; they are opportunist,” said Toronto City Councillor Adam Vaughan in a recent interview. “They just want us to open up Toronto to be more like Paris or the Bay area– where the car is king.”

This post has been updated to include the official statement from Uber.

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