A British designer has come up with a solution to parking space problems: a car that folds in half.

Designer Jonathan Bailey has submitted his creation to Peugeot as part of a design competition.

Called the BRB Evolution, it jacks up on its nose with its back wheels sliding underneath on two rollers, allowing it to use 50 percent less parking space.

Motorists would have to step out of the car before it morphs into its "upright" parking pose, which has been compared to that of a Dyson vacuum cleaner.

The car will run on electricity or hydrogen fuel, but 22-year-old Bailey hopes it will be more "sexy, sleek and mean" than other eco-cars.

It is inspired by the Lamborghini Murcielago and Peugeot 908.

"I figured two of the main problems of future cities would be pollution and over population," he told The Telegraph.

"With more vehicles needing more places to be stored, I came up with the concept of a folding car. The car folds up to 50 percent of its original size, and uses the negative vertical space, usually disregarded. This potentially doubles the amount of parking spaces," said Bailey.