Vehicle leasing company Wheels4Sure says that 80% of its customers surveyed have switched from owning a car outright to leasing one through personal contract hire (PCH).
Drivers who want to own their car outright either pay cash upfront, either from savings or a loan, or enter into a hire purchase or contract hire deal which means they pay off the full value of the vehicle.
PCH involves the driver making an initial payment followed by a number of monthly rental over the length of the car leasing contract. At the end of the agreement, the car is either handed back or can be purchased outright.
Reginald Larry-Cole, founder and CEO of Wheels4Sure and Buy2LetCars, said: “With so many external factors influencing consumer confidence such as Brexit, Wheels4Sure customers have embraced the idea of having a brand new car every few years and essentially driving a car that they wouldn’t normally be able to afford to buy, all at a fixed price and with peace of mind; this is the key reason that people are opting to lease.”