Uber to withdraw from Quebec

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TORONTO (Reuters) – Ride-hailing service Uber [UBER.UL] will stop operating in the Canadian province of Quebec, CBC News reported on Tuesday, deciding to pull out rather than abide by tougher rules.

Uber also is battling a decision to strip the company of its London license, the latest regulatory attack on Uber as its new chief executive, Dara Khosrowshahi, seeks to rebuild the company’s image.

Uber did not say when it would stop service in Quebec. It had been had been operating there under a one-year pilot project put in place last October, which the province renewed last week with stricter conditions, including the need for drivers to undergo 35 hours of training, in line with the requirement for traditional taxi drivers.

Uber has said the “new and challenging” Quebec regulations “significantly threaten” the company’s ability to continue operating in the mostly French-speaking province, the report said.

The company’s presence in Quebec has been loudly opposed by its taxi industry, which has on occasion blocked traffic in Montreal in protest.

Uber is due to hold a news conference in Montreal on Tuesday morning to discuss the impact the new regulations have had, a spokeswoman said.

In Canada, Uber currently operates in Toronto, the country’s largest city, as well as in Montreal, Quebec City, Ottawa, Calgary and Edmonton. It does not operate in Vancouver or Winnipeg, due to a lack of provincial regulation in British Colombia and Manitoba, respectively.

Uber rival Lyft, which currently only operates in the United States, has started exploring a move north of the border, with its lobbyists having met several times with municipal officials in Toronto, according to city records.