Zipcar Exits UK Amid Rising Costs and Challenges
Zipcar, the world’s largest car-sharing company, has announced plans to close its UK operations by the end of 2025, marking a major setback for shared mobility in London. The decision will remove access to thousands of shared cars and vans across the capital, with new bookings halted after 31 December pending staff consultations. Zipcar UK currently employs 71 people.
James Taylor, Zipcar UK’s general manager, informed customers that the company is proposing to cease operations completely and directed users to shared mobility charity CoMoUK for alternative services. The closure comes after a difficult financial period for car-sharing firms, with Zipcar UK reporting an £11.7m loss in 2024.
The move coincides with London’s upcoming congestion charge changes, which include applying the daily fee to electric vehicles from January. Zipcar—operating nearly 3,000 vehicles, more than half of the UK’s shared fleet—would face up to £1m in added annual costs.
Shared mobility advocates say the closure highlights weak policy support for car-sharing. The UK still lags behind Europe, with only 0.7 shared cars per 10,000 people, compared with 2.2 in Germany and 4.4 in Switzerland.
Zipcar will honour all existing bookings, including during the Christmas period, and paying members will receive refunds for any subscription time after 31 December. Other markets, including the US and Canada, remain unaffected.
