By ANNA USHER

Local Uber passengers will be slugged more for their rides following a permanent pricing overhaul that specifically targets wealthier Sydney suburbs – with Mosman, Northbridge and Chatswood among those explicitly named as higher-fare zones.

The changes, which took effect this week, were triggered by surging petrol costs pushing unleaded towards $2.50 per litre – but unlike rival Didi’s temporary 5¢-per-kilometre fuel levy, Uber’s increases are permanent and cover a broader range of costs.

Emails obtained by The Sydney Morning Herald show Uber telling drivers they will earn more on trips beginning in suburbs including Mosman, Manly, Northbridge, Chatswood, Killara, Forestville, Pymble, Wahroonga and Hornsby.

Sydney customers will pay an average 5 per cent more across UberX, XL, Comfort, Electric, Assist and Pet services. Drivers receive an average 6 per cent earnings increase nationwide. Minimum fares in Sydney have also risen to $11.

There will be no price decrease for any fares as part of Uber’s pricing change.

The $218 billion company declined to say whether its fare increases exceed the earnings boost being passed to drivers – or whether the restructure also lifts Uber’s own bottom line.

The new model marks Uber’s first national fare overhaul since 2023 and breaks from its long-standing pricing structure based on distance, time and demand surges. Under the new regime, where a trip begins now determines how much riders pay.

Shorter trips will also attract higher fares across the board, following years of driver complaints that the old model incentivised rejecting short rides in favour of longer, higher-earning ones.

Peak period pricing – covering weekends, weekday morning commutes and late nights – will also be extended to encourage more drivers onto the road during Uber’s busiest windows.

“We regularly review our fares to ensure we’re striking the right balance between supporting strong earning opportunities for driver partners while continuing to offer reliable, affordable options for riders,” an Uber spokesperson told the Herald.

“These changes build on work already under way and reflect our ongoing commitment to better supporting driver earnings over time. We know operating costs, including fuel, remain front of mind for many driver partners, making continued support more important than ever,” the spokesperson said.