Fleet News

Big switch from purpose-built vans

RESIDUAL values for car-derived vans are being hit hard as fleet buyers turn to purpose-built vehicles of the same size, allowing manufacturers like Renault and Citroen to attack Ford's domination of the commercial vehicles market. Total sales volumes for CDVs have dropped in three of the past four years as new entrants to the purpose-built market lure away buyers of car-based vehicles with better comfort and increased specification.

It has had a significant effect on residual values for fleet favourites such as the Ford Escort van, which now costs £500 more in depreciation costs compared to PBV models such as the Citroen Berlingo over three years/60,000 miles. CAP Commercial Vehicle Monitor says a two-year-old Escort 1.8 55 diesel with 40,000 miles would today cost £3,975 - a drop of 56% on its £8,990 cost new. A similar-age Citroen Berlingo 600 1.9 D van (£9,150 new) would drop in price by 49% to £4,650 over the same period.

Figures from the Society of Motor Manufacturers and Traders show that, in the four months to the end of April, registrations for car-derived vans dropped by more than a quarter to 3,300 from 4,573 for the same period in 1997 while the purpose-built van sector rose from 13,611 to 14,738.

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