Car-sharing company ZipCar to end UK operations

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Car-sharing platform Zipcar has said it is to close its UK operations by the end of the year.

The US-based company, which is owned by car rental giant Avis Budget, told customers it will temporarily suspend new bookings after 31 December, pending the outcome of a consultation with its 71 staff members.

In an email to members, UK boss James Taylor said the firm had launched a formal consultation with employees and bookings due to finish by the end of the month were being honoured.

ZipCar UK and Avis Budget have been contacted for comment.

The company has around 650,000 members in the UK, mostly in London, who rent cars by the hour or day from an app and collect the vehicles from parking spaces.

In its most recent company accounts for 2024, Zipcar blamed the "cost of living crisis", which was affecting UK customers, for revenues falling to £47m from £53m the year before, while its after-tax losses had widened to £11.6m.