New York Plans to Cap Uber and Lyft

Taxi drivers welcome the measures, while ride-hailing firms warn the cap will lead to reduced service in the outer boroughs and higher fares

New York plans to cap ride-hailing services including Uber Technologies Inc. and Lyft Inc., becoming the first U.S. city to take such a step.

The New York City Council voted Wednesday to freeze new vehicle licenses for one year while the city studies ways of reducing traffic congestion, among other steps.

Mayor Bill de Blasio, who has championed...