The French interior ministry announced that UberPop, a low-cost service which lets private drivers make money picking up passengers like a taxi, will be banned in France from January 1.
Ministry spokesman Pierre-Henry Brandet told iTELE:
Currently, people who use UberPop are not protected if there is an accident. So not only is it illegal to offer this service but additionally for the consumer there is a real danger.
Last week a French commercial court ruled against Uber's competitors who wanted to ban UberPop on the grounds of unfair competition.
This prompted three taxi unions to call on taxi drivers to clog some of the French capital's main streets from 5am this morning.
This isn't the first time UberPop has courted controversy in France. In October Uber was fined 100,000 euros by a French court for misrepresenting the app as a car sharing scheme.