“New cars were in short supply while the scrappage scheme was running, but the recent drop-off in the retail car market has helped rental operators, because more car manufacturers are now turning to the rental market to pick up some of the slack,” he says.

Many rental companies have introduced new schemes and initiatives to provide extra support to fleets and help win business.

Services like Europcar’s same-day delivery service and Connect by Hertz, as well as Nexus’s rental-versus-mileage tool, helps to control costs as well as improve operational efficiency for fleets.

Nexus Vehicle Rental believes confidence is an important part of the fleet-rental relationship.

“The key to making daily rental work effectively for a business is having the confidence in supply as well as being able to access vehicles quickly and easily through tools that will give them total insight into costs,” says Neil McCrossan, Nexus CEO.

Although rental companies are being pushed by the market to increase rates (although the UK is far cheaper than mainland European countries), they are also investing in new tools and services to help fleets run more efficiently.

This move offer a complete solution will push rental further into the corporate sector.

Advantages

• No long-term financial commitment
• Flexibility of vehicles on demand for full utilisation
• Could help reduce dependence on grey fleet

Disadvantages

• More expensive than leasing a vehicle
• Cars can be delivered at inconvenient times; can be availability issues
• No driver ‘ownership’ – might mean end of hire charges for damages