Four in 10 car owners have reduced the number of vehicles they own within the last two years, citing affordability, a change in lifestyle, sustainability and hybrid working. A poll of 2,000 adults found those who went from two or more cars to one have saved up to £1,533.24 annually by freeing up their driveway, with 57% agreeing they are now better off for it.
Financial Benefits and Spending Choices
Of those better off, 41% have put the money into savings or investments, while 34% have directed it towards everyday essentials, such as groceries and energy bills.
How Households Share One Car
With one car between them, households are finding a system that works. The most common method for deciding who gets the car is simply whoever needs it most that day (39%). A quarter (25%) settle it through mutual discussion, 18% prioritise work or school commitments, and just 4% operate a formal daily rota, while 7% live by a ‘first come, first served’ ruling.
Though 23% admitted plans or social events have occasionally been missed or cancelled due to sharing one car, the majority say the trade-off is worth it.
National Trends
The findings sit alongside government data from the National Travel Survey 2024, which shows single-car households outnumber multi-car households by 10 percentage points. 44% of UK households have just one vehicle, compared to 34% with two or more.
Paul Gilshan, CEO of temporary car insurance provider Tempcover, which commissioned the research, said: “Our research shows that for households that have downsized, one car works well. People are better off financially, it fits how they're working and living now, and they're more intentional about when they use it, and it’s better for the environment.
“In many ways, these households are already practising a form of car sharing, coordinating access, prioritising who needs it most, making it work around everyone's schedule. The car is more of a shared resource rather than a personal fixture, and that mindset is only going to grow.”
Challenges and Disagreements
The study also found 22% of those who are a single car household experience disagreements over having to share their transport. When it comes to sharing a car with family or friends to ease the pressure, 28% said concerns about other people’s driving would put them off. A further 24% wouldn’t entertain it due to the hassle or cost of altering the annual insurance policy.
It also emerged 56% of those with one car or more are hanging on to their vehicle for longer than planned because the cost of replacing it is too high. Exactly six in 10 cited the current cost of cars, and 50% pointed to the cost-of-living crisis as the reasons holding them back, with the data showing the average household vehicle is now seven years old.
Changing Driving Habits
Meanwhile, 39% said their driving habits have permanently changed since the pandemic and they now drive far less than they used to, a shift that has persisted well beyond lockdown.
The OnePoll.com data also revealed the average car owner spends £174.95 per month on running and standing costs.
Future of Car Ownership
Thinking about the future, 23% are likely to consider getting rid of car ownership entirely, relying on ‘usership’ services instead, such as car sharing apps or temporary insurance for car sharing or borrowing. More than a quarter (26%) are thinking about doing this within the next few years, but 15% are already weighing it up and could potentially make the switch over the next six months.
Paul Gilshan at Tempcover, which has seen its customer base more than double since 2022 to four million customers, added: “The friction around insurance is one of the main issues stopping people from sharing more flexibly. The risk to a no claims bonus or the cost of changing an annual policy, but when that barrier comes down, the case for usership becomes compelling.
“For some, that could mean moving away from traditional ownership altogether but for others, it's simply about having greater flexibility in the moments they need it, whether that's borrowing a family member's car or lending their own.”
