The City Car Club in Edinburgh was launched four years ago and now has 215 members, still well short of the 700 needed to break even. Members of the club, run by Smart Moves, pay an annual fee and hire cars by the hour or day. Edinburgh City Council has agreed to grant £45,000 over the next three years on top of the £90,000 it has already provided.
Transport leader Andrew Burns said that he is "perfectly happy" with the progress of the club, the largest in the UK. But Conservative spokesman Allan Jackson said: "They've been trying to bludgeon people into joining by making it as difficult as possible to own a car in Edinburgh, but it's not worked."