Strong fleet interest in low emission transport is driving significant growth in sales of electric and plug-in hybrid models from Britain’s leading premium corporate car suppliers.

Business drivers have accounted for more than half of the 836 hatchback i3 cars registered by BMW in the last three months while more than 60% of the orders Audi has received for its new A3 Sportback e-tron have been placed by the corporate sector.

BMW corporate sales manager Matt Bristow told Fleet News: “The interest we are receiving for the i3 shows there is a real appetite for alternative fuel and low emission vehicles and we see EV and range-extending models as instrumental in making up the modern fleet profile.

“These vehicles are a key component for the modern fleet manager and we have put measures in place to accommodate the increase in demand. We have increased the number of ‘i agents’ in the network and have appointed additional people who are dedicated to overseeing BMW i within corporate sales.”

Audi UK head of fleet sales James Douglas said: “We have been overwhelmed by customer demand for our new technology. Fleet buyers are embracing a proposition that offers no compromise on range, performance or comfort but comes with all the benefits of an electric vehicle.

“The message with our A3 Sportback e-tron is gaining real traction in the market – I only wish we could build them faster,” said Douglas.

Both executives agree with latest research results predicting substantial expansion in sales of plug-in hybrid cars across Europe in the run up to 2020. According to findings from analysts at growth partnership specialist Frost & Sullivan, “huge” progress in global electric vehicle markets has prompted car manufacturers to put more than 55 models in the showrooms.

More than 70% are battery EVs and around 25% are plug-in hybrids. Global sales of 304,683 in 2014 are expected to approach the half million unit mark by the end of this year with 27% of registrations in Europe.

“Over the next three or four years, all markets will see a greater demand for longer-range vehicles that allow customers to drive up to and past the range of pure electric vehicles,” claims the study.

Bristow said: “We support the view that the popularity of low emission vehicles is set to increase further. We have clearly defined objectives and are on schedule to achieve them, as we work with the SMMT and the Government on the Go Ultra Low scheme to provide a comprehensive and reliable charging infrastructure to realise the full potential of EVs. While our numbers for BMW i are ambitious in terms of EV market share, the total population in the overall fleet market will be modest compared to total market volume.

“There’s a natural limit to the number of company car drivers for whom an EV is practical – the needs of drivers undertaking thousands of miles of motorway travel will only realistically be met by an efficient combustion engine, most likely diesel.

“But the i3 with the range extender does provide a genuine alternative for the more normal mileage user.”

Douglas added: “We are anticipating consistent and significant growth in fleet sector demand for PHEVs in the short term, as awareness of the positive implications of the technology for running costs continues to build.

“We aim to demonstrate our commitment to hybrid power in the coming years by offering a plug-in version of every model in the Audi range, most recently the Q7 e-tron quattro which we will introduce later this year.”

At present, the i8 sports car is BMW’s only plug-in hybrid, but the company has announced PHEV versions of the X5 xDrive sport utility vehicle and the 3 Series saloon. It is also expected to offer the technology on the 7 Series and 2 Series Active Tourer in the near future.