Urgent call for TfL to save car-sharing in London
Transport for London (TfL) has been urged to take action to preserve the viability of car-sharing companies in the capital after Zipcar recently announced it would shut down in the UK.
The London Assembly Transport Committee said that TfL is failing to grasp the importance of Zipcar’s departure from the city and has urged the organisation to be more proactive in supporting car-sharing companies, also known as car clubs.
It argued that TfL should have set a clear policy direction for car clubs earlier this year to resolve the challenges faced by operators in the sector, and that the organisation is now playing catch-up as a key operator plans to leave the city.
On 1 December 2025, Zipcar sent a notice to users saying it is looking to cease its UK operations and had begun consultations with its local employees over the decision.
As a result of this action, Zipcar will no longer accept any bookings beyond 31 December 2025.
The Transport Committee called on the Mayor and Deputy Mayor to write to TfL about the reasons behind Zipcar’s proposal to cease its UK operations and to determine what incentives, support, or policies are under consideration or have been offered to Zipcar.
In its letter, the Committee said that the departure of Zipcar from London directly undermines the city’s key transport strategy goals, and it voiced concern over the lack of urgency over the issues raised in its previous report on this issue, as well as TfL’s reaction to the closing of Zipcar in the UK.
The Committee added that TfL should immediately work to secure the viability of car clubs as an operating model in the city by preserving the car club parking bays for use by these operators, earmark funding for car club parking bays, and engage with all London boroughs to support these businesses in the city.
“Much to the frustration of the London Assembly Transport Committee, there is no sense of urgency from TfL on this issue. There is currently a patchwork approach to car clubs in London, and they are failing to reach their full potential,” said London Assembly Transport Committee Chair Elly Baker.
“We heard from TfL that it is working to update its six commitments on car clubs, and this work will continue in the new year. Yet, if Zipcar goes ahead with its proposal, 90 per cent of London’s car club market will have disappeared by then.”
“TfL must take action now to ensure that car club provision in London does not disappear entirely,” Baker said.