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UberPOP is Finnished in Helsinki until 2018

Paused awaiting new taxi laws

Uber has given in to regulatory pressure in Finland, and is suspending its UberPOP until that country implements limited taxi deregulation next year.

The company was losing on points in its regulatory battles in the country, with Finnish police investigating whether its operations amount to an illegal taxi services. During that investigation, a Helsinki district court ordered the seizure of assets of the ride-share business's Finnish country manager.

Police had asked the court to seize the company's assets, but instead the court froze up to €246,000 of Joel Jarvinen's personal assets.

It's only legal for someone to drive for Uber in Finland if they hold a taxi drivers' licence; the problem is, rather than go through the lengthy process to get one, drivers are accused of driving illegally.

Drivers caught operating illegally are hit hard. As Reuters reports, they forfeited their income to the government.

So the company has decided to buckle: while its UberBLACK licenced operators will continue, it's going to shutter its Finnish UberX-equivalent, UberPOP, until Finland introduces new taxi regulation in 2018.

Jarvinen wrote in this blog post “we will soon be pressing the pause button on UberPOP in the Finnish capital Helsinki, before we relaunch next summer.”

Finland passed deregulatory legislation in April, but it doesn't take effect until July 2018. Under the new regulations, drivers will still need permits, but the number of permits issued each year will no longer be capped, and fare restrictions will be removed.

The company promises as-yet-unspecified support for drivers affected by the service suspension, which comes into effect on August 18. Jarvinen says staff working in the Helsinki office will remain. ®

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