In March, Uber lost a court battle to stop TfL from imposing stricter English reading and writing standards on private hire drivers.
“Taxify is a fully compliant ride-hailing technology provider, already operating in 19 other countries and major European cities, where it is successfully delivering a new competitive ride-hailing platform to the benefit of both customers and drivers… Taxify is not a licensed private hire operator and is not licensed to accept private-hire bookings in London”.
The company said in a statement that it had “temporarily stopped operations to clarify its legal position with the regulator and reach a resolution so that services can return to normal”.
Global ride-hailing provider Taxify has been forced to stop its operations in London, at the behest of TfL. To launch its service to London customers, the business purchased a TfL licensed operator, running Taxify as a technology platform directing bookings to City Drive Services registered drivers.
The CEO of the company, Markus Villig explained that although Taxify itself isn’t licensed, it has bought a cab company called City Drive Services which has a licence for another two years.
TfL said in a statement: “The law requires private hire bookings to be taken by licensed private hire operators at a licensed premises, with appropriate record keeping”.
Taxify launched its London ride-hailing service on Tuesday, with more 3,000 drivers signed up, 7,000 drivers due to be on-boarded and over 30,000 customers downloading the app in the first three days.
“As per your agreement and contract you are not employed by Taxify“.
“The decision to acquire an operator and not advise Transport for London (TfL) of a fundamental change to licencing conditions seems incompatible with the law”, GMB’s Steve Garelick wrote in the letter.
Transport for London said the controversial Uber rival did not have the proper private hire licences to operate within the city.