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IEA reaction to TfL announcement yesterday

Commenting on TfL's announcement yesterday that they have thrown out a number of proposals that would have imposed restrictions on Uber's car hire business Diego Zuluaga, the IEA'S Financial Services Research Fellow said: 

“TfL’s announcement is good news for competition, variety and innovation in the London transport market. The regulator’s concern, first and foremost, should be the welfare of passengers, not the protection of incumbent transport providers. But, as our consultation submission made clear, the proposed rules would have curtailed competition and made consumers worse off, with little apparent benefit to Londoners.
 
"Recent developments in passenger transport, such as ride-sharing and the rise of mobile apps, have highlighted the potential for innovation to increase choice and improve outcomes in the absence of choking regulation. At a time when technology is radically changing our lives for the better, regulatory restraint should guide all public authorities.”

Notes to editors:

To arrange an interview, please contact Nerissa Chesterfield, Communications Officer: nchesterfield@iea.org.uk or 020 7799 8920

To read the full briefing on Private Hire Regulations click here.

The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems.

The IEA is a registered educational charity and independent of all political parties.