LibrariesWest launch their ebook service in January 2012.
LibrariesWest is a consortium of five library services - Bath & North East Somerset, Bristol, North Somerset, Somerset, and South Gloucestershire.
Some information about the new service is here:
Kindle readers are NOT accommodated due to DRM issues (quelle surprise!)
You have to be a member and to join you have to "...live, work or study in Bath and North East Somerset, Bristol, North Somerset, Somerset or South Gloucestershire."