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   Cost benefits of car clubs

 

    Cost of private motoring

If you drive less than 6,000 miles per year then a car club will be likely to save you between £1000 and £1500 a year. Replacing a second family car with car club membership is likely to bring even more cash savings.

Most people do not think about the true costs of running a car, which once you include the finance cost, depreciation, tax, MOT, petrol, servicing, repairs, and parking can add up to an average of over a hundred pounds a week.

Some real examples of car running costs:

Source: RAC cost of motoring report 2005

 

    References


Cost of car clubs

Car clubs give you greater flexibility charging only for the time you use the car not when it is sitting on the drive. Car clubs allow you to free up the travel budget to use on trains and buses or taxis when that is the more convenient way to travel.

 


Car Club costs

Car club WhizzGo  City Car Club Streetcar Zipcar
Membership fee £49.50 per year £75 one-off registration fee £49.50 per year from £25 per year
Returnable deposit to cover any insurance excess incurred none none none none

Cost per journey:

Hourly rate from £4.95 from £4.75 from £3.95 from £4.21 
Mileage rate, including fuel first 30 miles free, then 20p per mile (depending on Package) first 50 miles free, then 20p per mile (depending on Package) first 30 miles free, then 23p per mile  first 60 miles free, then 23p per mile (depending on Package)
Daily rate (per 24 hour period) from £35 from £47.50 from £39.50 from £38.25
Weekend rate from £35 (per 24 hour period) from £71.25 from £39.50 (per 24 hour period) from £93.50
Additional benefits Discounts from partner organisations, and London cars exempt from Congestion Charge. Special offers for members from selected organisations. - Membership covers London Congestion Charge

 

Rates may vary depending on the car club, location and the size of the car.

 

    Economic benefits

Businesses can reduce the cost of owning, running and administering company pool cars by joining a car club as a corporate member. Employees can then book the cars as and when they need them for work trips. This has been proved to have the knock-on effect of discouraging car commuting – staff no longer have to drive to work as they can use car club vehicles during the day. Other advantages include freeing up parking space or locating in more prestigious city centre offices with less parking.  

See the Carplus Car Clubs at Work guide for more details.

Cars affect how we live and run our economy in a whole host of ways. Significant economic benefits can be made from having fewer, more efficiently run, shared vehicles on the road.

Accidents lead to social costs of £2 billion per year, and greenhouse gas emissions, air pollution, noise and infrastructure cost a further £2 billion.