Uber receives five-year private hire licence in Blackburn and Darwen, sparking concerns from local taxi drivers.

Blackburn with Darwen Council has issued a five-year taxi operating licence to Uber, the globally recognized ride-sharing company, allowing it to operate in the borough, at least until November 11, 2029.

This move permits Uber to pick up passengers directly within Blackburn and Darwen under the licence number PO8022.

Uber’s new licence takes effect from November 12, 2024, following an official approval by the council.

Strategic Director of Environment and Communities, Martin Eden said:

"The application has been considered fully and it has been approved. The council has issued Uber with a licence to operate private hire vehicles in Blackburn with Darwen for the next five years."

This development allows local drivers to register and drive for Uber under the Blackburn with Darwen licence.

Local Taxi and Private Hire Driver Concerns

The licence approval has raised concerns among local private hire and taxi drivers in Blackburn. Local Hackney Carriage drivers previously voiced frustration over the increasing presence of out-of-town Uber drivers who, they say, are undercutting local fares by working on Blackburn's routes without a Blackburn licence. With Uber’s licence in place, these drivers worry about the impact on their own businesses, especially those employed by smaller, locally owned firms.

Additionally, many local drivers hold private-hire licences issued by Wolverhampton Council, which allows them to operate across multiple regions, including Blackburn. Uber's licensing in Blackburn may intensify competition, potentially challenging smaller firms to maintain their customer base amidst Uber’s widespread popularity.

Uber’s Growth and Licensing in the UK

Uber, which serves over 150 million monthly active users globally and has six million active drivers worldwide, has steadily expanded its reach across the UK by securing private-hire operating licences in various councils. In the UK, private-hire drivers working for Uber must obtain a licence from the relevant council, which now includes Blackburn with Darwen. The licence requirement underscores the regulatory framework Uber must adhere to in order to operate legally, maintaining passenger safety and operational transparency.

Impact on Local Firms and Industry Shifts

Rumours about Uber seeking a local operating licence circulated among the Blackburn taxi industry over the past month. Local drivers speculated about Uber's formal entry into Blackburn after the council initially dismissed any knowledge of an Uber application two weeks ago. Despite these reassurances, Uber’s presence is expected to reshape the borough’s transportation landscape, with some smaller firms potentially unable to compete with the app-based giant's pricing model and service flexibility.

The council’s decision has sparked ongoing discussions about how Uber’s licensing will affect the private hire and taxi market in Blackburn, as local drivers and firms brace for a highly competitive environment.