Hard-pressed drivers turn to car clubs in bid to avoid soaring costs

Published on Sunday 20 July 2008 22:01

THE number of drivers joining Scotland's biggest car club has rocketed following hikes in fuel prices and vehicle taxes, The Scotsman has learned.

New membership of the Edinburgh City Car Club was 75 per cent higher in the four months since the tax rises were announced in the Budget in March than in the same period last year.

The 1,844-member club gives motorists the use of pay-as-you-go cars without the costs of ownership. Officials said many new members agreed the tax increases had made having a car prohibitively expensive.

Several have joined the club after ditching their second car, while others have become members rather than buy their own vehicle. Business people are also using the club as a way of providing transport for their firms.

The number of designated parking areas across Edinburgh for the club's cars are being increased by about ten to nearly 60 to meet demand.

Membership has also increased in the six English cities, including London, in which the City Car Club also operates.

The total has risen overall by more than 1,000 to over 6,000 since the Budget.

James Finlayson, the club's chief executive, said: "We have seen the biggest increase in members in our company's history after Alistair Darling's last Budget.

"Clearly, the huge rise in the cost of motoring has made many motorists in Edinburgh realise they need to change the way they own and use a car.

"To keep up with demand, we are looking at adding several new cars around the city."

Mr Finlayson said the club enabled drivers to save hundreds of pounds by not having to pay car costs such as road tax, insurance, maintenance, breakdown cover and parking.

The club's cars cost from about 5 an hour to hire, which includes a 50-mile free fuel allocation per day.

Members enter a personal code into a computer in the car that records their journey details. These are sent to them in a monthly statement.

According to the Royal Automobile Club, Ford Mondeo owners doing 4,000 miles a year could halve their annual costs to 1,200 by using a car club vehicle instead.

Motoring groups agreed that car club membership made sense for all but those completely dependent on their cars.

Kevin Delaney, the head of road safety for the Institute of Advanced Motorists' Motoring Trust, said: "An awful lot of people in cities, especially in the suburbs, use their cars simply because they are there outside their house.

"Car clubs take most of the hassle out of motoring, such as tax, owning a wasting asset and having to find a place to park.

"Unless a car is vital to your life, car clubs are a sensible and attractive idea."