The company car "seems to be the way forward" for employees at the moment, Wayne Millward, consultant at Arval, told delegates at ACFO's A Day at the Taxes event in a presentation highlighting issues around the cash or car argument.
“Car versus cash, there is no correct answer,” said Millward, a former fleet manager. “There is a place for both in most companies and that will be the way for many years to come.”
However, he said that some years ago cash was perceived as king by employers “because it was easy”.
But the advent of corporate manslaughter legislation and an ever-growing focus by employers on occupational road risk management had influenced corporate views.
Millward said: “Businesses realised their liabilities were the same whether employees drive a company car or take cash and drive their own vehicle on business trips.
"As a result, the car seems to be the way forward at the moment.”