Uber has its licence suspended in Sheffield

Uber's license suspended in British city of Sheffield

October 2016 saw the Central London Employment Tribunal rule in GMB's favour - determining that Uber drivers are not self-employed, but workers entitled to basic workers' rights including holiday pay, a guaranteed minimum wage and an entitlement to breaks.

If Uber decides not to appeal, its licence will be formally suspended.

The taxi app failed to respond to requests from Sheffield City Council about the management of the firm, the council said.

The Financial Times says the ruling could prove "critical" for Uber, which "could also face a substantially higher tax bill, because it may then have to pay employers' national insurance contributions and value added tax".

In September, Uber lost its licence to operate in London after TfL found it was "not fit and proper" to hold one.

Sheffield city council has said that the law doesn't allow for a license to transfer to a different name.

"If the new application can't be resolved by 18 December we will of course submit an appeal so we can continue to serve the people of Sheffield", it said.

Uber said it informed the council on October 5 that the named individual on its license needed to be changed as that person was leaving the company, but that the council said it couldn't change the name and instead the San Francisco-based company would need to apply for a new license. While we are in regular contact with the council, we did not receive the correspondence the council refers to as they sent the letters to an incorrect address.

"We hope our application for a new licence will be resolved before December 19 so that we can continue serving tens of thousands of riders and drivers in Sheffield".

It is the latest blow in what has been a bad year for Uber.

The American tech company is now fighting a ban in London, where it lost is licence in September.

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