Co-wheels has been awarded a three-year contract to deliver car-sharing in Birmingham.
The independent national car club already delivers a network of almost 600 cars in more than 50 towns and cities across the UK and already operates 11 cars in the south of Birmingham.
It has now taken on a further 10 fixed bays in the city centre with the option to at least double the fleet in the future using both fixed and floating bays in zoned streets, expanding the service to new areas of the city.
Co-wheels is taking over the existing bays from Enterprise Car Club.
Richard Falconer, managing director of Co-Wheels said: “Birmingham is a brilliant opportunity and we are keen to expand the existing service and grow the membership.
"This will not only help improve environment friendly transport options in Birmingham but also help the city reach its targets to reduce air pollution and CO2.
“We already have a very popular franchise which has been operating in the south of the city for five years and this expansion allows us to offer more vehicles to a much wider audience across the city.”
Councillor Waseem Zaffar, cabinet member for transport and environment at Birmingham City Council, added: “The introduction of this new expanded car club offering from Co-wheels will support the important work we are doing to tackle air pollution in Birmingham, providing people with access to clean, low-emission vehicles when they need one.