Uber's 'two miles for 36p' deal irks rival cabbie

Uber received a licence to operate in Blackpool this summer

Promotional Uber deals are "cheaper than bus fares" and could threaten other cabbies' livelihoods, a taxi driver has warned.

Uber recently started operating in Blackpool and its drivers have reportedly been charging as little as 36p for a two-mile trip.

Driver Neil Charnock, who campaigns for taxi licensing laws to be tightened, said: "This company cannot and should not be allowed to cause such damage to fragile economies like Blackpool."

Uber said it was normal practice to offer discounts to passengers for their first few journeys in one of the company's new towns.

'Surge prices'

Uber was granted a licence by Blackpool Council in August, although some of its drivers - licensed by other councils - had already been plying for trade in the resort.

Mr Charnock said people would be "astounded to hear of the fares Uber are charging".

He added: "I have heard of fares such as 36p from the town centre to the Hampton by Hilton Hotel near the Pleasure Beach, and 9p from Fleetwood to the college at Ashfield Road.

"Students are hiring Ubers to college as they are cheaper than buses.

"If the young people of today are choosing rideshare apps ahead of local buses, this will mean significantly more congestion, [longer] journey times and ultimately losses to Blackpool Transport."

Bill Lewtas, secretary of the Blackpool Taxi Association, said Uber was using a loss-leader pricing strategy to attract passengers.

But he predicted promotional fares would soon end and warned: "When Uber bring in their surge prices, they charge considerably more than us."

Uber said it was supporting Blackpool’s economy by meeting unmet demand.

"Promotional offers such as £5 off your first trip may well explain the 36p trip," a company spokesman said.

Discounts are funded by Uber, with the driver being paid the normal fare.