Turo expands in London targeting former Zipcar users with peer-to-peer car sharing model

Turo is increasing its momentum in London, targeting former Zipcar users with a simple car-sharing model that avoids the high costs associated with owning and maintaining cars.

The US-based peer-to-peer platform, which has been active in the UK since 2018, allows private car owners to rent their cars directly from users. More than 2,000 London motorists have already registered on the platform, according to the company, as it seeks to take advantage of the gap left by Zipcar’s withdrawal from the capital at the end of 2025.

Unlike traditional car clubs, Turo does not own or lease cars. Instead, it functions as a marketplace, allowing temporary employment between people. This approach significantly reduces capital expenditure and increases in workload, which is an important difference at a time when rising costs have pressured ship operators.

Rory Brimmer, managing director of Turo in the UK, said the model unlocks a number of untapped assets. “Cars are idle most of the time,” he said, describing them as assets that can generate income rather than sitting idle.

Hosts set their own availability and pricing, with variable rates depending on demand and time of year. Turo takes a commission of between 25% and 35%, depending on the level of insurance and services selected. The company says the average London host earns around £400 a month, although active users can earn much higher returns.

Brimmer himself rents his Audi Q3 for about half a month, earning around £800, and said built-in safeguards such as insurance cover and DVLA-linked license checks were vital to building trust in the area.

The company has moved quickly to capture demand after Zipcar’s exit, launching a £120,000 advertising campaign across the London Underground network and beyond. Brimmer described the market shift as a clear “opportunity” to attract users who previously relied on traditional car clubs.

Zipcar’s move reflects growing pressure for heavy-duty models. The company cited deteriorating financial performance, lower capital spending and rising costs, including energy, insurance and vehicle maintenance, as key factors behind its decision. Additional pressures, such as the expansion of congestion charges in London for electric vehicles, have eroded the limits.

The contrasting fortunes of the two models highlight a broader shift in the shared mobility economy. While operators with heavy assets are facing increasing volatility and operational challenges, market-driven platforms like Turo are benefiting from growth without balance sheet exposure.

Policy momentum in London continues to favor shared transport solutions. With lower levels of car ownership than the national average, the city authorities, led by Mayor Sir Sadiq Khan, want to reduce the use of private cars and promote alternatives such as car clubs and shared transport schemes.

Turo’s UK expansion also comes as it reviews its global strategy. The company recently suspended plans to list on the New York Stock Exchange, with CEO Andre Haddad citing market conditions and a desire to remain private to continue investing in growth.

Despite that decision, the business grew rapidly. Revenue increased from $150 million in 2020 to $958 million in 2024, with 150,000 active hosts and 3.5 million users worldwide.

In the UK market, the difference between capital-intensive platforms and traditional fleet operators is becoming more pronounced, and as funding tightens and pressure continues, that difference may define the next phase of urban mobility.