[225]

I am looking to do some work with a fleet management company and have been doing some research. I am particularly interested in current and future business challenges, wltp,tax etc and what IT technical solutions, inovations would help.

Any pointers appreciated.

cheers

[Abdul Karim]

Get out of diesel would be my advice. The way taxation is going the residuals will be hammered.

[isleaiw1]

Son in law has done fleet management so will ask him when back home. Whole life costs are everything. Move to hybrids giving some fleet managers challenges - drivers want them to keep BIK down but running costs can be higher.

Also remember that a large portion of any fleet can be vans where weight limits, suspension options, load space size and usability can be very important - along with comfort and convenience for drivers who spend hours in them.

[225]

Originally Posted by isleaiw1

Son in law has done fleet management so will ask him when back home. Whole life costs are everything. Move to hybrids giving some fleet managers challenges - drivers want them to keep BIK down but running costs can be higher.

Also remember that a large portion of any fleet can be vans where weight limits, suspension options, load space size and usability can be very important - along with comfort and convenience for drivers who spend hours in them.

Nice one cheers

[Wills2]

Fleets are dying most businesses want out of them and prefer allowances for obvious reasons.

I don't agree with the move as it moves the financial obligation on to the employee but it's the direction of travel.

[isleaiw1]

Originally Posted by Wills2

Fleets are dying most businesses want out of them and prefer allowances for obvious reasons.

I don't agree with the move as it moves the financial obligation on to the employee but it's the direction of travel.

Still a good few companies with very large fleets - not all fleet management is about private cars. Think BTs is the biggest in total.

My previous employer had a fleet of 800 and 600 or so were cars, and that was increasing. Partly due to growth, partly due to low BIK rates on hybrids attracting people back in and partly because the firm were expecting more people in the office more days - meaning more commute / private miles.

[Wills2]

Originally Posted by isleaiw1

Still a good few companies with very large fleets - not all fleet management is about private cars. Think BTs is the biggest in total.

My previous employer had a fleet of 800 and 600 or so were cars, and that was increasing. Partly due to growth, partly due to low BIK rates on hybrids attracting people back in and partly because the firm were expecting more people in the office more days - meaning more commute / private miles.

Still a few left but the company car is going away, the company van isn't but I wouldn't put it past the bean counters to try it on.

I really don't agree with it as large businesses are clearing their balance sheets and dumping the risk onto their employees.

I work for a FTSE 100 business and we have closed the company car scheme to new entrants and you're forced off it when your car comes up for renewal and it's causing hardship for some people.

[225]

I think the market is moving towards short term business hire/lease and towards usership from ownership so still a role toplay just different.

[teaston]

Originally Posted by Wills2

Fleets are dying most businesses want out of them and prefer allowances for obvious reasons.

I don't agree with the move as it moves the financial obligation on to the employee but it's the direction of travel.

Yep, my bro in law works for Beaverbrooks and they have now switched from buying company cars to giving staff an allowance to get a lease car. It has changed the way staff choose the cars, he was going to get a Mondeo next time to save money but now a 3 Series would be the same or cheaper due to how leases work. Also no need to worry about BIK with this method I believe.

[Wills2]

Originally Posted by teaston

Yep, my bro in law works for Beaverbrooks and they have now switched from buying company cars to giving staff an allowance to get a lease car. It has changed the way staff choose the cars, he was going to get a Mondeo next time to save money but now a 3 Series would be the same or cheaper due to how leases work. Also no need to worry about BIK with this method I believe.

No BIK as you're taxed on the allowance and renting the car yourself however you also have the debt against you for me if your job needs you to travel day to day on company business and isn't just a perk then you should have the option to have a company car.

[teaston]

Originally Posted by Wills2

No BIK as you're taxed on the allowance and renting the car yourself however you also have the debt against you for me if your job needs you to travel day to day on company business and isn't just a perk then you should have the option to have a company car.

I don’t think there is any debt against your name on a lease is there?

They do get all their fuel paid for, including all personal use, so they get a quite a perk.

[Wills2]

Originally Posted by teaston

I don’t think there is any debt against your name on a lease is there?

They do get all their fuel paid for, including all personal use, so they get a quite a perk.

If you sign the paperwork then yes.

[teaston]

Originally Posted by Wills2

If you sign the paperwork then yes.

Strange, I had my 330d on PCH when we got our mortgage and were told that the car didn’t count towards our current debt, we just had to declare the monthly payment as outgoings.

[isleaiw1]

Originally Posted by teaston

Strange, I had my 330d on PCH when we got our mortgage and were told that the car didn’t count towards our current debt, we just had to declare the monthly payment as outgoings.

The debt in a lease is the commitment under the lease rather than the cost of the car.

The attractiveness of company cars is always down to the tax environment, the govt could make them more attractive overnight by changing the rules. As it stands they are pushing personal financing, but if they want to change how and what we buy they just need to change the rules..

Private fuel seems to be growing in popularity again for non company cars - no scale charge, you just pay 20/40/45% of amount spent as your tax bill.

I am trying to get my car allowance changed to salary so it’s pensionable (and bonusable - but it’s the pension contribution I want..)

[Wills2]

Originally Posted by teaston

Strange, I had my 330d on PCH when we got our mortgage and were told that the car didn’t count towards our current debt, we just had to declare the monthly payment as outgoings.

Not sure what that has to do with being responsible for the payments on a lease agreement? You sign the lease you're responsible for paying the lease cost over the term.

If you take a lease on a 3+23 agreement at £500 a month your credit file will show a commitment to the balance of that operating lease at the start of £11500 and then reducing from there.

It's an outstanding debt commitment, what your mortgage provider does or doesn't count as part of their affordability test is neither here nor there.

[teaston]

Originally Posted by Wills2

Not sure what that has to do with being responsible for the payments on a lease agreement? You sign the lease you're responsible for paying the lease cost over the term.

If you take a lease on a 3+23 agreement at £500 a month your credit file will show a commitment to the balance of that operating lease at the start of £11500 and then reducing from there.

It's an outstanding debt commitment, what your mortgage provider does or doesn't count as part of their affordability test is neither here nor there.

There was definitely nothing on my credit file when I had the lease, I check my credit file regularly.