Uber Prices Are Up

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Uber Prices Are Up

Uber Prices Are Up

Taking the next Uber ride can become expensive. The ride-hailing giant has revised the fare and it is now costly by as much as 20 percent. The hike is basically due to changes in the VAT. It is forced to roll out changes.

Lately, a ruling of the High Court stated that Uber is to be considered a contractor and not an agent. The company then said the additional charges would be clubbed into the price instead of displayed separately.

The company spokesperson said the changes have been made abiding to the relevant law and simultaneously they are always committed to offering affordable prices to customers. The trip price will be displayed before making a booking.

The rivals including Ola and Bolt are assumed to be making similar changes in fares soon and follow the relevant law. However, the price rise has a wrong timing as the cost of living has jumped high and more people to looking for alternatives like public transport or black cab.

Uber last raised the fares in November 2021 and it was as much as 10 percent to attract more drivers as the COVID-19 pandemic led to less availability of drivers.

The pandemic, lockdown and restrictions led to a weaker economy in the country and this resulted in the increased cost of living later with rising in the inflation rate. Inflation is also on the rise due to the Russian invasion of Ukraine that is in the second month. The conflict between the two countries has hit the supply of oil and gas significantly due to the ban on imports from Russia amid sanctions by the Western allies.

Russian missiles and tanks have destroyed key cities of Ukraine amid a couple of failed peace talks. Millions of people have been displaced. They have taken shelter in neighboring countries including Poland.

The United States has removed Russian banks from the international SWIFT payment systems to generate pressure on ending the war.

About Uber

Uber was founded in March 2009 by Travis Kalanick and Garett Camp. The company is based in San Francisco and operates in about 72 countries across the world. Its services are ride-hailing, package delivery, food delivery, freight transportation, couriers, ferry, motorized scooter and electric bicycles.

Globally, the American mobility company is equipped with about 118 million monthly users and generates 19 million trips a day. It has a 71 percent market share in the United States.

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