TAXI giant Uber is to launch in Newport, the Argus can exclusively reveal.

The app-based taxi firm, which uses drivers who use their own vehicles, has been granted an operator’s licence by Newport City Council.

But the firm has not confirmed when the service will launch.

The service has proved widely unpopular with taxi companies, with many claiming it unfairly affects their businesses. But Dennis Griffiths of Newport firm Servu said it was no different from another cab company launching in the city.

“There’s not a lot we can do about it,” he said. “It’s just a bit more competition.

“They’re going into a lot of cities –- it’s just one of those things we’ve got to put up with.

“Everyone is undercutting each other.”

And Shahid Ali of Chow Taxis in Commercial Road said he was not concerned.

“We’re really not bothered about it,” he said. “We’ll just have to step up our game a bit, but our customers are loyal.

“The only problem I have with it is how they check their drivers. "

Journeys are booked and paid for using the smartphone app so no cash changes hands and the passenger can track the vehicle through their phone so they know exactly when they will arrive.

Each passenger has the opportunity to rate their driver between one and five stars after the journey, with ratings shown on the driver’s profile.

Although drivers use their own vehicles and are technically independent contractors rather than employees of the firm, they are required to be licensed in the same way as a regular taxi driver.

An Uber spokeswoman said: “We look forward to offering a safe and affordable ride for people in Newport, especially following our success in Cardiff.

“Uber has already proved popular in the more than 20 towns and cities across the UK and we’re excited to be able to open the app for private hire drivers who are licensed by the Newport City Council.”

A council spokesman said: “Newport City Council can confirm that it has issued an operator’s licence to Uber.

“Its drivers and their vehicles will also have to be licensed with the council.

“Under the licensing regulations, there is no difference between Uber and any other private hire company operating in the city.”

First launched in San Francisco in 2011, the service is now available in more than 66 countries and 507 cities worldwide.

Although customers complained of a lack of drivers when the app launched in Cardiff in April this year, the availability has reportedly since improved.