Carsharing scheme car2go is set to add 100 square miles of London to its coverage as of June, as well as 500 smart cars.

The scheme from manufacturer Daimler and car rental company Europcar began in the boroughs of Islington and Sutton in December 2012 and will expand its areas of operation in the capital.

While the service has been cancelled in Newham, the smart cars will be available for rent across much of South London, from Southwark to Croydon, to Kingston and Richmond.

The service is ‘free-floating’, meaning customers can book the cars through the car2go website or touching a registered card to the reader on any available car, without the use of fixed rental stations. Customers will be charged 35p per minute of use, billed to their account.

The UK urban car rental market hosts multiple alternative models, ranging from Alphabet and BMW’s AlphaCity, to WhipCar’s consumer-to-neighbour hire scheme.

Europcar and fellow rental firm Hertz each launched car club concepts around the turn of 2010. In January last year Europcar become the first company to offer vehicles for hourly rental in the UK while Hertz has gone on to partner with Vauxhall in the aim of making the Ampera the dominant electric vehicle rental car.