Hungary set to ban taxi service app Uber

Hungarian government proposing new legislation to drive out unlicensed taxis from Hungary

The Hungarian government says it wants to drive out private taxi app service Uber and is proposing new legislation to crack down on unlicensed passenger transport, reports Associated Press today.

Janos Fonagy, State Secretary for National Development, says the aim is to make Uber's activities "impossible in Hungary."

Fonagy, speaking on Monday after meeting with representatives of 16 taxi companies and transportation organizations, said Uber was "consciously and cynically breaking every Hungarian law."

Fonagy said parliament was expected to approve government proposals later this month increasing penalties for unlicensed drivers and banning apps like Uber for up to a year.

Taxi drivers have held several demonstrations against Uber and unlicensed drivers, slowing traffic in Budapest and petitioning authorities to crack down on the American company, whose European headquarters are in Amsterdam.

Public calls for the app to remain in service are widespread due to the relatively cheap cost of Uber cars compared to other taxi services in Hungary.

Read more here.