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Three-year replacement cycles are ‘optimal point’ for Arval fleet

Arval has, like many leasing companies, seen replacement cycles edge towards four years/80,000 miles. But it has resisted change on its own fleet, which remains at three years/60,000 miles.

Mike Waters explains. “There’s a general trend to extend replacement cycles but there is an optimal point to change.

"Our work identifies the tipping point for customers depending on their type of operation, mileage, SMR costs, etc.

“Three years/60,000 miles is the optimal point for us. Our fleet is heavily CO2-focused and we could be at a disadvantage – us and our drivers – if we leave them in cars for longer than we need to because technology is changing so quickly leading to reductions in CO2 and improvements in mpg.”

Arval has a three-tiered capping structure starting at 135g/km and peaking at 155g/km for the highest grade, via 145g/km. It applies to everyone with a company car.

Average CO2 emissions are low at 139g/km.

“Manufacturers are leading the way, so it’s not difficult to meet the caps,” says Tracey Scarr.

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