Zipcar to cease UK operations 'in coming weeks' - 650,000 customers impacted

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Zipcar has confirmed it will close operations from today, with thousands of customers told they will have their accounts closed in days. Zipcar general manager James Taylor has reportedly written to customers confirming the end of the brand just a month after services were suspended.

The car hire firm, which allowed members to get access to cars for as little as an hour, had around 650,000 customers in its books, with over half a million of these based in London. Bosses had suspended operations at the end of 2025 following financial pressures. However, confirmation that Zipcar would cease to exist came on Friday in a major blow to the car-sharing sector.

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Taylor said: "Following formal consultation with our UK employees, we can now confirm that Zipcar will cease operating in the UK.

"In accordance with clause 7.5 of the member terms, please take this as your written notice that we will formally close your account in 30 days' time.

"On behalf of the entire Zipcar UK team, whether you used Zipcar occasionally or regularly, we'd like to thank you for being a member and being part of our journey."

Zipcar bosses had asked officials to be exempt from London's Congestion Charge after the scheme was extended to include electric vehicles. There were concerns that the car-hire brand could be 'commercially unviable' if it was forced to pay fees.

Zipcar customers will be entitled to a pro-rated refund for any remaining time left on their plan or subscription. Zipcar is set to try and process refunds to any impacted drivers before the end of January.

Richard Dilks, chief executive of CoMoUK, a national organisation for shared transport, stressed the importance of Zipcar's demise.

He said: "Zipcar's departure is a major loss, not just for the hundreds of thousands of people who rely on its vehicles as a cheap, convenient and occasional way of travelling, but for London as a whole.

"As by far the largest car-sharing operator in the capital, it has made a major contribution to reducing car ownership and mileage and supporting public transport and active travel use, all of which cuts traffic congestion and improves our air quality."