Several factors are combining to provide a significant boost to the company car sector. Electric vehicles, low BIK rates, reduced mileages and a revival in salary sacrifice and affinity schemes are encouraging cash takers to return to company programmes while offering non-qualifying employees the chance to buy a new car via company-negotiated benefits packages.
We see company car becoming a broader term for company-provided vehicles, either via a traditional company lease scheme, salary sacrifice or via a company affinity scheme for other employees.
The people responsible for tendering the contracts, doing the supply chain management and setting up and running the schemes are our readers, whether that’s traditional fleet managers or HR/benefits staff, an area where we are planning to grow our penetration (you’ll see more evidence of this at this year’s Fleet & Mobility Live).
With current BIK at 0% for BEVs and 2021/22 BIK rates at 1%, rising to a maximum of 13% for plug-in hybrids, it is no surprise that EV registrations at an all-time high. Last year, BEVs accounted for 6.6% of the total new car market (PHEVs 4.1%) after a 186% year-on-year increase in registrations – 68% of these were company cars.
This year, sales are already up by another 49% compared to 2020 (PHEVS +35%).
Meanwhile, leasing companies are increasingly targeting non-qualifying staff with an array of company-based affinity and PCH schemes, including Lex Autolease, Arval, LeasePlan, Alphabet, Zenith and Arnold Clark.
Private/retail now accounts for 18% of the FN50’s car risk fleet, up from just under 13% in 2018, reflecting the increasing popularity of PCH products.
With such significant changes occurring in the sector, now’s the perfect time to find out more at Company Car in Action, with unbeaten access to the leading manufacturers and suppliers in fleet vehicles.
The event is very informative, allowing fleet decision makers to get up to speed on the latest in innovation, fleet efficiencies, and key fleet operational issues as well as exploring a large range of new products from a wide range of vehicle manufacturers.
If there is any event you’re going to attend make sure it’s CCIA. It’s a great opportunity to test drive new and existing products whilst getting to meet the manufacturer teams to build those relationships.
Fleet Managers now have an unprecedented opportunity to determine which power source in each duty cycle best suits their operation, from both an environmental and economical position.
Excellent day, well run and well attended. Manufacturers were impressive and had the right people there as well as the cars.
The most important driving event in the UK for fleet managers.
Great Event. The best way to compare vehicles back to back.
Very informative event.
Very good event, nice to come back to one place and compare vehicles.
Totally enjoyable event.
Great event to compare cars.
Great range of manufacturers in a relaxed atmosphere.