Peel Group has outsourced the management of its car fleet to fleet management specialist, CLM, with the aim of reducing its corporate carbon footprint, lowering company and employee tax bills and cutting operating costs at the same time.
Following an extensive tender process in which Peel Group invited proposals from a variety of different fleet suppliers, it appointed CLM to handle all aspects of the management of its 127-strong vehicle fleet across two main operating divisions: Land and Property and Airports.
In line with Peel Group’s corporate social responsibility objectives to create a more sustainable business, one of CLM’s key objectives will be to lower carbon emissions across the whole fleet, which comprises models mainly from Volkswagen, Audi and BMW.
This will be achieved by the introduction of new carbon caps for different car grades.
The lowest limit of 140g/km will be for job need cars, with a new limit of 150g/km for middle management cars and 160g/km for senior management.
Peel has also increased the number of hybrid cars available by adding the Lexus CT 200h to the Toyota Prius which is currently featured on its choice lists.
These changes will have the effect of not only reducing carbon emissions and lowering the Group’s fuel costs, but also cutting Benefit-in-Kind tax bills and National Insurance Contributions for its company car drivers, as well as reducing the NI liability for the company as a whole.
“This is a win-win-win situation,” said Dale Mullane, head of procurement at Peel Group.
“By reducing our carbon emissions across the fleet, we are not only helping hit our sustainability targets, but we are also reducing our drivers’ tax bills, lowering NI Contributions as well as spending less on fuel. Everyone benefits.”
Peel Group currently contract hires all vehicles on three year/60,000 mile contracts. Following CLM’s appointment and advice, it will now use whole life costs as the basis for determining which vehicles to add to the company car choice lists while low carbon-emitting vehicles will be actively promoted.
CLM managing director, Tony Hulatt, commented: “We are delighted to have been selected by Peel Group to provide a fully outsourced fleet management solution and to assist in their targeting of a reduction in the corporate carbon footprint.”