India’s biggest ride-hailing firm, Ola, is taking on Uber in the UK with plans to roll out its service across the country by the end of the year.
The firm is to launch in Cardiff, Newport and Vale of Glamorgan in south Wales within the next month, followed by Greater Manchester, after obtaining operating licences, and is working with local authorities to expand nationwide.
Ola will be the first company in Britain to offer a choice of private hire vehicles or black cabs through the same app.
Fares are expected to be similar to those charged by Uber, but Ola says its drivers will earn more. It claims it is charging drivers the lowest commission rates in the industry, starting at 10% for private hire vehicles and 5% for metered taxis.
Ola says passenger safety features include round-the-clock voice support, options to share ride details with emergency contacts, and in-app emergency features that allow passengers to flag any issues they have with a driver to the company.
Uber, which operates in more than 40 towns and cities in the UK, and has more than 5 million active users and more than 60,000 licensed drivers, says passengers can share a live map of their trip. It is also rolling out 24/7 phone support.
The San Francisco-based company began operating in London in 2012 but was stripped of its London licence last year when Transport for London concluded the app company was not “fit and proper”, highlighting concerns over how it reported crime. Last month it was granted a 15-month licence to operate in London following a court hearing.
Aside from Uber, Ola will be up against Israel’s Gett and the London-focused firms MyTaxi, Kabbee and Addison Lee.
The UK will be the third country that Ola operates in, following its foray into Australia in February. It operates in seven major cities there, with more than 40,000 drivers registered.
Founded in 2011 in Mumbai by two graduates from the Indian Institute of Technology Bombay, Ola now arranges 1bn rides each year globally, with more than 1 million drivers and 125 million customers in more than 110 cities.
Uber, which was founded two years earlier, arranged 4bn trips worldwide last year, with 3 million drivers and 75 million active users in 600 cities across 65 countries.
Bhavish Aggarwal, Ola’s co-founder and chief executive, described the UK as “one of the world’s most evolved transportation markets”. He said: “The UK is a fantastic place to do business and we look forward to providing a responsible, compelling, new service that can help the country meet its ever demanding mobility needs.”
Ola and Uber are backed by Japan’s Softbank.
Uber is under pressure from mounting competition around the world and is working to rebuild its reputation following a string of scandals and negative publicity in recent years, including claims of sexual harassment and discrimination. It has retreated from south-east Asia, Russia and China.
