The study analyzed data from 258 UK Uber drivers over more than 1.5 million trips between 2016 and 2024. This revealed a significant shift when Uber introduced a dynamic pricing algorithm in 2023. Passengers now pay more per trip, but drivers’ earnings have declined. Adjusted for inflation, drivers’ hourly income fell from over £22 to just over £19 before operating costs, and drivers are spending more unpaid time waiting for rides than before. Uber’s commission has risen from around 25% to 29% and in some cases, Uber took over half the value of the fare.
This is why on the rare occasion I even use these services, I get their contact info and just pay them directly in the future.
Look, sometimes I need a driver. Maybe I drank too much at a bar, maybe I’m coming back from the airport, I don’t know. But I’ll gladly pay extra to an individual knowing that they don’t have to pay a corporation.
I don’t use these services, but out of curiosity how has that gone for you? To and from the airport where you can give a heads up of at least a few days makes sense to me, but I always figured part of the allure was flexible scheduling and the location algorithm. I can’t imagine a driver would want to give their information out and possibly get a call at like 2 am to do a pickup somewhere they aren’t close to. Do they give you their general schedule and service area? Do you have a long list or do you just pay 1 or 2 well enough that they will make the trip even if they’re not actually working at that time?