In his current spot, he's really no better than if he were living at home. You did the right thing by not banging her. But you ought to tell him what's up because he's being played for a fool. Just because you didn't fuck her doesn't mean she won't throw the pussy at the next swinging dick who drives her home.
He's not just being played. You also need to tell him because she may bring it up, and if she does, she'll be telling him you tried to fuck her. And if she gets to him first, he'll swallow her bullshit without question. It sounds like dude needs some tough love. 36 and no driver's license? It's not an issue if you're in a major eastern city, but elsewhere it's kind of weak.
He's not just being played. You also need to tell him because she may bring it up, and if she does, she'll be telling him you tried to fuck her. And if she gets to him first, he'll swallow her bullshit without question. It sounds like dude needs some tough love. 36 and no driver's license? It's not an issue if you're in a major eastern city, but elsewhere it's kind of weak.