will this week allow passengers to pay with as part of a major shake-up to its payment system. Following trials in several UK cities, the new option will be rolled out to the majority of the country this week.
However, the payment option will not be extended to London, as it is still being reviewed. Uber has dominated the ride-hailing market for the last decade and has now expanded to other transport sectors.
Since its launch, it has been completely cashless, with customers only able to pay through the app with a linked or through PayPal.
The option to pay in cash will now appear on the Uber app. However, drivers can opt out of accepting notes and coins if they can't provide change or if they fear for their safety by carrying money. If drivers are unable to provide any change, Uber will credit the customer's account on the app.
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The 18-month pilot trials took place in Birmingham, Stoke, Nottingham and Leicester. Customers told Uber that they liked the option being there, as some preferred paying in cash, while others didn't have a bank card they could link to the app.
Authorities in London are reviewing the cash option, and remains unavailable for Uber Eats or booking other forms of transport through the Uber app. The firm has not confirmed when a decision could be made on including the capital in the shake-up.
A spokesman for Uber said: "We believe that movement should be accessible to everyone, so following successful pilots in some UK cities over the last 18 months, we have decided to give passengers outside of London the option to pay for trips with cash."
Ron Delnevo, chair of the Payment Choice Alliance, told the that Uber's decision "demonstrates that they now believe in the future of cash in the UK" and called on government to go one step by further by making it a law for shops and services to accept cash.
The move follows a Treasury Committee report that suggested that all shops and services must be forced to accept cash in the future to help protect vulnerable people who rely on it. The report, which looked into cash acceptance, highlighted various groups who relied on cash, including some people with learning disabilities and those who use cash to keep to a budget.
Among those reliant on cash - and who gave evidence to the committee - were victim-survivors of domestic and economic abuse.
The report said the government had to improve its monitoring of cashless businesses. However, ministers have said there are no plans to introduce blanket rules for cash acceptance.
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