Resourceful homeowners in the city are renting out their unused parking spaces to the Streetcar scheme in exchange for either cash or free driving time, helping to cut congestion across the city whilst giving members access to conveniently located parking bays. 

Streetcar offers a range of BMW and VW vehicles on a pay-as-you-go basis. The scheme in Edinburgh is being launched with 10 cars in four areas across the city and residents will be encouraged to help develop the scheme by nominating new locations via the company's website – www.streetcar.com.

Streetcar says its services are becoming increasingly popular alternative for those who need occasional use of a vehicle. It currently operates from a thousand locations across eight cities; London, Brighton, Cambridge, Southampton, Guildford, Maidstone, Oxford and most recently Bristol. Edinburgh residents will have access to the entire operation including, very shortly, Zipcar's international network of cities and its 7,000 cars.

Andrew Valentine, executive vice-president of Zipcar and co-founder of Streetcar, said: 'We're thrilled to be able to bring our service to Edinburgh – the scheme's phenomenal success elsewhere has shown that city dwellers really want the flexibility and convenience of owing a car, without the costs and hassle that go with it. By joining, residents can use a local service in the knowledge that they will soon have access to the biggest car club network in the world. It will provide the ideal option for people looking to give up a car, a trend which we've seen growing among our thousands of members.'

Streetcar will also be launching in Glasgow this month.