Car-sharing firm Zipcar has proposed shutting down its UK operations by the end of the year.
The US-based firm told customers in an email on Monday that it plans to suspend new bookings temporarily after December 31.
It also said it has launched a formal consultation with employees.
The UK operation had 71 employees at the end of last year, according to its most recently filed accounts.
Zipcar said its customers would still be able to use Zipcars over Christmas and until December 31.
James Taylor, general manager of Zipcar UK, told customers: “I’m writing to let you know that we are proposing to cease the UK operations of Zipcar and have today started formal consultation with our UK employees.
“We will temporarily suspend bookings, pending the outcome of this consultation.
“This means it will not be possible to make any new bookings beyond December 31 2025, pending the outcome of the consultation.”
He added that customer accounts will remain until the company has confirmed its decision at the end of the consultation process.
Accounts showed that the van and car hire firm saw losses deepen to £5.7 million in 2024 after a decrease in customer trips.
