City-Mandated Fare Increases Cause Concern for Ridehailing, Taxis

Photo via Joiseyshowaa/Flickr. 
Photo via Joiseyshowaa/Flickr.

Uber and Lyft riders can expect to see fares increase in Manhattan, due to a congestion pricing plan included in New York City’s newly approved budget, Slash Gear reports.

Rides south of 96th Street are set to have a surcharge fee of $2.75 per ride; shared rides, such as UberPOOL, will be surcharged at $0.75; taxis will also increase by $2.50 per ride.

The fee is supposed to help ease congestion in the city’s busiest areas, although critics argue it won’t decrease traffic.

In Seattle, the City Council is considering doubling the minimum fare per ride for ridehailing companies, according to King 5 News. Proponents argue it will ensure drivers are compensated fairly for their service; additionally, it will level the playing field for taxi drivers and ridesharing drivers.

However, one Uber driver told the news group that he fears the base fare increase from $1.35 to $2.40 per ride will discourage customers from using the service, and will ultimately decrease a driver’s take-home pay.

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