Fleet News

TMC goes viral to promote benefits of actual cost fuel expenses

TMC has launched a campaign to draw the attention of fleets to the drawbacks of traditional fleet fuel expenses.

The campaign includes a 90-second video and a new white paper on using actual cost expenses to reduce costs.

The message, says TMC managing director Paul Jackson, is that pay-and-reclaim expenses and flat-rate mileage payments are barely fit for purpose in today’s volatile price environment.

“Flat rates hide the real cost of fuel,” said Jackson. “In fact they are a black hole for management information. They actively hinder fleets’ efforts to manage their fuel bills at a time of huge price volatility.”

TMC calculates that a 500-car fleet might pay between £30,000 and £70,000 a year too much for fuel if it uses the HMRC Advisory Fuel Rates (AFRs). The total bill for UK fleets is likely to run to hundreds of millions of pounds a year.

“In today’s market and with today’s technology, no-one would have invented a process with as many shortcomings as pay-and reclaim,” said Jackson. “It’s now just as easy to pay precise expenses with the help of low-cost solutions such as online mileage capture.

“Actual cost also delivers huge spin-off benefits in terms of visibility over fuel spend, vehicle performance and driver productivity.”

The new white paper covers capturing real-world cost data using online mileage reporting, fuel cards and/or scanned receipts. It describes using web-based solutions such as TMC Mileage Audit to capture data and process fuel expenses automatically.

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


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