Uber loses UK Supreme Court appeal over tax on rival apps

Uber's rival taxi operators in England and Wales will not face a 20% VAT charge on their profit margins outside of London after the ride-hailing firm lost its appeal on Tuesday against a previous ruling. (Shutterstock/File)
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Updated 29 July 2025
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Uber loses UK Supreme Court appeal over tax on rival apps

  • Uber sought to have the same terms applied to rival operators and the High Court ruled in its favor last year
  • The ruling applied to rides in England and Wales outside London

LONDON: Uber’s rival taxi operators in England and Wales will not face a 20 percent VAT charge on their profit margins outside of London after the ride-hailing firm lost its appeal on Tuesday against a previous ruling.

Uber had sought a declaration that rival private-hire taxi operators enter into a contract with passengers, meaning operators must charge 20 percent value added tax (VAT) outside London as Uber is required to do.

It brought the case after a 2021 Supreme Court ruling that Uber drivers were workers, making them eligible for the minimum wage and holiday pay, and making Uber subject to VAT for rides.

Uber sought to have the same terms applied to rival operators and the High Court ruled in its favor last year. The ruling applied to rides in England and Wales outside London, which has a different regulatory regime.

However, that ruling was reversed by the Court of Appeal in July 2024 following a challenge by private hire operators Delta Taxis and platform Veezu.

Uber then brought an appeal to the Supreme Court, which on Tuesday unanimously dismissed the appeal, ruling that operators are not required to enter into a contract with passengers.

An Uber spokesperson said the ruling “confirms that different contractual protections apply for people booking trips in London compared to the rest of England and Wales,” but has “no impact on Uber’s application of VAT.”

Delta Taxis’ lawyer Layla Barke Jones, from Aaron & Partners, said a victory for Uber would have badly affected many private hire operators, adding: “A crisis has been averted.”

In a separate case, Estonian ride-hailing and food delivery startup Bolt this year defeated an appeal by Britain’s tax authority HMRC on what it has to charge VAT at 20 percent.

HMRC has since been granted permission to challenge the ruling that Bolt is only liable for VAT on its margin, rather than the full cost of the trip, at the Court of Appeal.

Kimberly Hurd, Bolt’s senior general manager for the UK, welcomed the Supreme Court’s decision on Uber’s appeal, but said a new regulatory framework was needed so that rules were consistent across the UK.


Pakistani fighter jet crashes in Jalalabad, pilot captured: Afghan military, police

Updated 28 February 2026
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Pakistani fighter jet crashes in Jalalabad, pilot captured: Afghan military, police

  • Fighting between Pakistan and Afghanistan’s Taliban military entered its third day on Saturday
  • Pakistan’s strikes on Friday hit Taliban military installations and posts, including in Kabul and Kandahar

JALALABAD: A Pakistani jet has crashed in Jalalabad city and the pilot captured alive, the Afghan military and police said Saturday, with residents telling AFP the man parachuted from the plane before being detained.
"A Pakistani fighter jet was shot down in the sixth district of Jalalabad city, and its pilot was captured alive," police spokesman Tayeb Hammad said.
Wahidullah Mohammadi, spokesman for the military in eastern Afghanistan, confirmed the Pakistani jet was downed by Afghan forces "and the pilot was captured alive".

The AFP journalist heard a jet overhead before blasts from the direction of the airport in Jalalabad, the capital of Nangarhar province, which sits on the road between Kabul and the Pakistani border.

Fighting between Pakistan and Afghanistan’s Taliban military entered its third day on Saturday, following overnight clashes as the international community expressed increasing concern about the conflict and called for urgent talks.

Pakistan’s strikes on Friday hit Taliban military installations and posts, including in Kabul and Kandahar, in one of the deepest Pakistani incursions into its western neighbor in years, officials said.

Islamabad accuses the Taliban of harboring Tehreek-e-Taliban Pakistan (TTP) militants, who it claims are waging an insurgency inside Pakistan, a charge the Taliban denies.

Pakistan described its actions as a response to cross-border assaults, while Kabul denounced them as a breach of its sovereignty, saying it remained open to dialogue but warned any wider conflict would result in serious consequences.

The fighting has raised ‌the risk ‌of a protracted conflict along the rugged 2,600-kilometer frontier.

Diplomatic efforts gathered ‌pace ⁠late on Friday ⁠as Afghanistan said its foreign minister, Amir Khan Muttaqi, spoke by telephone with Saudi Arabia’s Prince Faisal bin Farhan about reducing tensions and keeping diplomatic channels open.

The European Union called for both sides to de-escalate and engage in dialogue, while the United Nations urged an immediate end to hostilities.

Russia urged both sides to halt the clashes and return to talks, while China said it was deeply concerned and ready to help ease tensions.

The United States supports Pakistan’s right to defend itself against attacks by ⁠the Taliban, a State Department spokesperson said.

Border fighting continues

Exchanges of fire continued along ‌the border overnight.

Pakistani security sources said an operation dubbed “Ghazab Lil Haq” was ongoing and that Pakistani forces had destroyed multiple Taliban posts and camps in several sectors. Reuters could not independently verify the claims.

Both sides have reported heavy losses with conflicting tolls that Reuters could not verify. Pakistan said 12 of its ‌soldiers and 274 Taliban were killed while the Taliban said 13 of its fighters and 55 Pakistani soldiers died.

Taliban deputy spokesman Hamdullah Fitrat ⁠said 19 civilians were ⁠killed and 26 wounded in Khost and Paktika. Reuters could not verify the claim.

Pakistan’s Defense Minister Khawaja Muhammad Asif said “our cup of patience has overflowed” and described the fighting as “open war,” warning that Pakistan would respond to further attacks.

Taliban Interior Minister Sirajuddin Haqqani said in a speech in Khost province that the conflict “will be very costly,” and that Afghan forces had not deployed broadly beyond those already engaged.

He said the Taliban had defeated “the world, not through technology, but through unity and solidarity,” and through “great patience and perseverance,” rather than superior military power.

Pakistan’s military capabilities far exceed those of Afghanistan, with a standing army of hundreds of thousands and a modern air force.

In stark contrast, the Taliban lacks a conventional air force and relies largely on light weaponry and ground forces.

However, the Islamist group is battle-hardened after two decades of insurgency against US-led forces before returning to power in 2021.