Transport bosses in Greater Manchester have voted to retain the ban on bicycles on the Metrolink.
Greater Manchester Integrated Transport Authority (GMITA) looked into the idea of allowing bicycles on trams after pressure from cyclists.
But a working party concluded that the cost of adapting trams was too high.
Despite reiterating the ban, the GMITA report - which members approved - said that a cycle hire scheme similar to London's should be explored.
A survey of 1,083 tram passengers found that only 7.6% favoured removing four seats to accommodate bicycles.
Despite the continued ban, tram users will still be able to take "fully covered" folding bikes on trams.
Members of GMITA also agreed to ask Stagecoach Metrolink to investigate the possibility of extending the South West Trains' folding cycle lease scheme to Metrolink and to explore the possibility of a major bicycle hire scheme for Manchester City Centre and Salford.
Councillor Keith Whitmore, chairman of the policy and resources committee, said the authority had conducted a thorough and in-depth review into this issue.
"The issues associated with allowing bikes to be carried on our busy tram network, including the question of safety, mean we cannot change the existing policy," he said.