Fleet News

Fleet policies hit as companies cut costs

One in five fleets intends to reduce the choice of cars they offer to employees, while one in four is planning to extend lease periods, as businesses clamp down on company car polices.

Restrictions have also been imposed on the CO2 emissions of cars - 37% of organisations have now placed a cap – and 15% of companies plan to provide cheaper cars, according to PricewaterhouseCoopers’ Company Car UK report.

“For those companies with a large mobile sales force, cars are clearly essential to the business,” explained Matthew Hunnybun, employment solutions partner at PwC. “However, companies are balancing these requirements with the continued need to reduce costs and environmental impacts, as part of their corporate responsibility agenda.”

Certain types of car are also being subjected to restrictions due to safety concerns. For instance, 79% of companies have placed restrictions on sports cars and 76% on convertibles.

The greatest rise in restrictions has been for petrol turbos (45% of companies, up 5% on last year); four-wheel drive cars (34%) and people carriers (14%), both up 4% on last year. These restrictions are likely to be driven more by the green agenda, say PwC.

Generally the greatest rise in car choice restrictions has been among financial services firms. However, for company chairmen and chief executive officers, the choice of car is unlimited in 80% and 75% of companies respectively.

More follows on page two... 
 

Leave a comment for your chance to win £20 of John Lewis vouchers.

Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

Login to comment

Comments

No comments have been made yet.

Compare costs of your company cars

Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

What is your BIK car tax liability?

The Fleet News car tax calculator lets you work out tax costs for both employer and employee