Agenda item

Report of the Corporate Director of Environment and Resident Experience. To be presented by the Cabinet Member for Climate Action, Environment and Transport

The Cabinet Member for Climate Action, Environment and Transport introduced the report.

It was explained that car clubs were an important and powerful tool that helped reshape the Council’s relationship with transportation.

It was suggested that car clubs created ripple effects that extended far beyond the realm of transport in its traditional sense and reshaped urban landscapes, freed up valuable space previously dedicated to parking, and enabled the creation of more liveable, people-centric environments.

It was explained that the adoption of car clubs had the potential to fundamentally alter the way we thought about mobility in our cities and create a holistic vision of sustainable transport that integrated car clubs with public transport and active travel.

It was explained that car clubs were aimed to work in synergy with investments in public transport, cycling infrastructure, and pedestrian priority schemes, and create a borough that prioritised people over cars.

In response to comments and questions from Cllr Connor, the following information was shared:

• Officers explained that a five-year timescale was the expected reasonable timeframe to allow for the development of a customer base for car clubs in the borough.
  
  
• It was explained that the Council had been working with car club operators to develop fair and equitable fees and charges.

RESOLVED:

That Cabinet:

1. Noted the responses received as part of the community engagement on the future of fixed bay car club services in Haringey.
   
   
2. Waived the provisions of the Council’s Contract Standing Order (CSO) 9.01.1 (requirement to let a contract following publication of appropriate advertisement) and approved the appointment of the Fixed Bay selected supplier for the 79 car club bays, with the possibility of expansion across the borough for the next 44 months.
   
   
3. Waived the provisions of CSO 9.01.1 and approved the appointment of the selected supplier for the Fixed Bay Pilot programme to introduce a new provider of car club services in the borough and expand its service over the next five years, with the possibility of extending for a further two years at annual intervals, subject to performance.
   
   
4. Waived the provisions of CSO 9.01.1 and approved entering into formal agreements with the selected suppliers of each service to deliver the fixed bay car club services, as permitted under CSO 9.07.1(d). The anticipated contract start date was 1st June 2025. The Fixed Bay contract lasted for 44 months, ending on 31st January 2029. The Pilot programme contract lasted for five years, ending on 31st May 2030.

Reasons for Decision

Car clubs were a vital service in Haringey, aiming to reduce car reliance by catering to residual car trips within the borough and reducing the need for private vehicle ownership. This, in turn, freed up space that could be repurposed for other uses. The Corporate Delivery Plan for 2022–2023 included the retendering of the car club contract to introduce multiple operators in the borough, enhancing service quality and availability. The re-tendering of fixed bay car club services was a key aim within the “A Zero Carbon and Climate Resilient Haringey” section of the Haringey Corporate Delivery Plan 2024–2026. This initiative aligned with the Council’s adopted Walking and Cycling Action Plan (2022) and Transport Strategy (2018), both of which supported car club schemes as a means of creating alternative travel options to help reduce reliance on private cars, thereby reducing congestion and pollution.

At the time, the only operator of car clubs in the borough was ZipCar, which continued to operate fixed bay services and their floating service under the terms of lapsed contracts. This issue was highlighted in the previous Corporate Delivery Plan, which aimed to introduce multiple operators to improve service and foster competition. A new tender, the “Fixed Bay Car Club Tender (Pilot),” was developed to introduce a new supplier and allow growth and customer base development alongside the existing 79 bays.

The Council had engaged extensively on the future of fixed bay car club services. A dedicated community engagement was conducted from 11th December 2023 to 21st January 2024, seeking views from residents, businesses, and other stakeholders. The Council also engaged with groups protected under the Equality Act 2010 through the Transport Inclusion Group. Extensive market testing ensured the deliverability of the specifications. A “Haringey Approach” was developed to maximise benefits and minimise impacts.

A competitive procurement exercise was conducted, resulting in the selection of a supplier to deliver the Haringey Approach. The tender process, open from 2nd December 2024 to 31st January 2025, included two contracts: a Fixed Bay contract for the existing 79 bays with potential expansion and a Fixed Bay Pilot for a new supplier.

Submissions were evaluated based on quality (90%) and cost (10%). Key quality criteria included fleet management, bay expansion, innovation, monitoring, and social value. The winning bidders scored 80 and 82 for the main contract and pilot programme, respectively.

There were no known significant inequalities associated with the car club service in Haringey. However, concerns included access for those with mobility needs, age restrictions (minimum age of 25), income barriers, and digital literacy requirements.

While these issues were not documented as significant inequalities, they were noted for future service improvements. A formal contract provided a framework for cooperation and granted enforcement powers to the Council for addressing poor operator performance.

Alternative Options Considered

Option 1: Do Nothing – This option would have allowed the current operator to continue under an assumed contract. Though resource-light, it posed legal risks and lacked opportunities for better value or renegotiated terms.

Option 2: Tender Only for the Main Contract – This option excluded the Pilot programme. It streamlined the process but reinforced ZipCar’s dominance, contrary to the goal of promoting competition and improving service.

Option 3: Cease Operation of Car Clubs – This would have meant asking ZipCar to cease operations. This option was rejected as it ran counter to Council policy, reduced access to sustainable transport, and undermined strategic objectives on congestion, climate, and public health.