Hello and a very warm welcome to the first edition of our revised Monthly Newsletter. We have previously mailed an article with a few Special Offers, this probably did not explain the breadth of our Automotive Services.
So as Your Fleet Partner, our new format incorporates a topical article or two from each of our principal areas of our Fleet Management operation, and still with a few Special Offers.
We hope you find this interesting but not overpowering and we would welcome any feedback you may have.
Mike Manners, MD
Fleet & Market Update
The UK fleet sales market continues to play a crucial role in the automotive industry, contributing significantly to overall vehicle sales and in recent years, represents around half of all new car registrations in the UK. At cbvc we’re seeing a move toward a more flexible approach in customers fleet requirements: traditional business contract hire including company cars, employee salary sacrifice, and daily rental / flexible term rental vehicles - with fleets now able to transition from the legacy challenges of the now infamous semiconductor shortages and COVID challenges.
Several factors continue to drive the UK fleet sales market. Key among these are corporate tax incentives, total cost of ownership considerations, and the push towards sustainability. Fleet managers are increasingly focused on reducing operational costs and improving fuel efficiency, which has led to a growing interest in electric vehicles (EV's) and hybrid models, a trend that we can see increasing, certainly in the mid-long term.
The UK government’s commitment to reducing carbon emissions and promoting clean energy has significantly influenced the fleet market. The 2035 ban on the sale of new petrol and diesel cars has accelerated the shift towards electric and hybrid vehicles. As a result, fleet operators are increasingly integrating EV's into their fleets to future-proof their operations and take advantage of government incentives such as grants and favourable tax treatments.
So what does this mean for your fleet? The transition to electric vehicles presents both challenges and opportunities for the UK fleet sales market. One of the primary challenges is the development of a comprehensive charging infrastructure to support widespread EV adoption. Fleet operators need access to reliable and fast-charging options to maintain operational efficiency, something that has improved over the last 12 months and further investment in the UK EV charging market looks set to dramatically improve this in the next 12-18 months.
On the opportunity side, advancements in battery technology and the increasing availability of diverse EV models are making electric vehicles more practical and affordable for fleet use. Additionally, government incentives and increasing environmental awareness among businesses are driving the adoption of EV's, with the EV car segment growing faster than any other in the UK.
In conclusion, the UK fleet sales market is undergoing a significant transformation, driven by the push towards sustainability and the impending ban on new petrol and diesel vehicles. Electric vehicles are at the forefront of this change, with a growing number of new models being introduced to meet the diverse needs of fleet operators. While challenges remain, particularly regarding infrastructure, the future of the UK fleet market looks increasingly electric.
Prices based on 48-month contract hire, 9 months initial payment, 5000 miles allowance per annum, and customer maintained.
Prices based on 48-month contract hire, 9 months initial payment, 5000 miles allowance per annum, and customer maintained.
Why Outsource Fleet Management?
Running a vehicle fleet today requires the Fleet Manager to be a Lawyer, a Mechanic, a Buyer, a Finance expert, an IT Specialist and a Personnel manager! Whilst we know of some very talented Fleet Managers, very very few can excel in all operational areas.
That is why using the services of a Specialist Fleet Management company can be of great assistance, as some offer a menu of services so you can use just one say; Maintenance Management or Driving Licence Checking, or the whole shooting match. To support your own people enabling them to manage and develop other responsibilities, rather than being stuck in day to day data mechanical issues and minutiae.
Another area where outsourcing makes great sense is IT. As a business focused on Fleet we can invest in state of the art IT & Systems that would be impractical for a Fleet of up to 300 vehicles to acquire train and maintain themselves. Our volume purchases create larger discounts that we share with you.
If you then couple this with a firm who are small and personal enough to care it’s a win win! That’s why we describe ourselves as Your Fleet Partner!
For an initial discussion on how CBVC Fleet Management could help call Nick Alexander on 07538331856 or email nick.alexander@cbvc.co.uk
Not many people know that!
As part of our Fleet Management package CBVC can provide P11D reports for your payroll department.
From vehicle allocations we can quickly output data in either a csv file, importable to most accounting packages, or produce an actual P11D form showing all the vehicles driven by a driver during the year the value the Co2.
New Short and Mid term Rental Booking & Management System!
Following a period of significant investment in our rental proposition CBVC are delighted to offer our new and significantly improved Vehicle Rental Booking & Management System which offers customers:
- Online Booking - it takes seconds to book a hire
- Great availability via Multiple Hire Companies
- Online reporting to analyse your spend
- Enhanced mobility - the right vehicle for the right job
Rental Availability Improves
Supply of rental cars and particularly vans during covid were a particular challenge as manufacturers diverted production to the more lucrative rental and small fleet area. Questioned on the current situation CBVC’s Head of Rental David Beswick commented,
“we have seen significant improvements in supply however whilst availability is better really short notice vehicles are still a challenge. Our multi supplier shopper and sophisticated booking software served us well in recent years and now really comes into its own in fulfilling customers needs, we would however say a little notice is preferable. Both cars and commercials have eased although specialist commercials such as Luton Vans, Dropsides and Minibuses remain challenging and again we would request as much advance notice as possible, although we are here to serve and will fight to get our clients in the right vehicle when they need it”.
Contact David and the rental team on 0330 822 4500.
CBVC operate in partnership with a number of daily rental providers.
Vehicle availability and supply update
Vehicle availability and supply is now at the best level we have seen since the covid pandemic. The average days from order to delivery on new contracts written by CBVC/ElectriX is 21, down from 40 days in May 2023, and 62 days in May 2022.
The impact of the cost-of-living crisis is largely responsible for the reduction in the number of new vehicles being ordered, the knock on impact of this is that vehicle availability and discounts have dramatically improved over the last 12 months, meaning that those drivers looking to renew this year are likely to have much greater choice than they would have done this time last year.
Further to this, consumers and fleet customers now have greater choice than ever before, with the arrival into the UK market of Chinese OEM’s such as BYD and GMW. Whilst some entrants appear to have struggled to gain traction within the UK market, namely Fisker, it is more obvious that brand loyalty is being replaced by value and technology and new entrants to the UK market are offering this in abundance.
With the impending ZEV (Zero Emission Vehicle) Mandate, manufacturers are facing increasing pressure to supply more electric vehicles into the market than ever before. Again, this is a benefit for customers ready to make the switch to EV, with significant discounts becoming available to take advantage of.
Equally commercial vehicle supply has improved significantly, a mere 18 months ago you wouldn’t see a van for 12 months from order, but there is considerable stock on the ground enabling you to keep your fleet modern and reliable.
Salary Sacrifice?
A modern employer is expected to offer key employees a Vehicle Salary Sacrifice Scheme to attract and retain staff.
Whilst CBVC manage schemes for large companies with thousands of employees we have provide Schemes and back up material for as little as one car!
Call the CBVC team to find out how easy it is to launch your salary sacrifice scheme today!
0330 822 4500
How Does Salary Sacrifice Work?
Planning a trip abroad? Here’s what you need to remember
Packing up the car for a trip into mainland Europe is something familiar and exciting for many, stretching back decades for some. But recent years have seen plenty of changes to the rules, and even if you are a seasoned European driver, a recap on the key points could save you time and money. What are the most important bits of motoring documentation to pack if you are driving abroad? Take a look at our handy guide here.
