Fleet News

Fleets favour smaller cars as environmental concerns grow

GROWTH in the public sector fleet market and increased concerns regarding the environment, traffic congestion and fuel consumption is favouring smaller company cars, according to Cowie Interleasing. However, the leasing and fleet management company says small is not always beautiful and budget-conscious firms opting for cars with the lowest list price could face bigger bills than they bargained for.

Cowie Interleasing's latest 'Company Car Comparisons Guide', which details list price, fuel costs and pence per mile running costs - which also incorporates finance, insurance, maintenance and repair costs - for 1,500 vehicles highlights how vehicles which have a low list price can be more expensive to operate than higher priced cars.

The £6,920 SEAT Ibiza 1.0 CL compares well with the £8,060 Citroen AX 1.5 diesel, or the £8,146 Rover 100 111 SLi, the £8,145 Vauxhall Corsa 1.5D or the £9,100 Nissan Micra 1.0 LX. But as higher depreciation, fuel and maintenance costs take their toll, the SEAT works out to be the most expensive to run at 18.91p a mile, while the Citroen, at 17.41p a mile, is £900 cheaper over 60,000 miles.

Cowie Interleasing managing director Neil Pykett said: 'Understanding the running costs of small cars is particularly important in the public sector where more than 60% of the market falls into his category. For organisations running large fleets of cars, a bad choice can cost many millions of pounds more than the right one.'

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