Could your fleet policy be a vehicle for further company savings?
With budgets becoming tighter and tax incentives in decline, you may be exploring whether there are still any savings to be had through your fleet policy.
Optimising a fleet depends on a wide range of factors: the type of company, the vehicles involved, and the nature of usage. LeasePlan reviewed over 133,000 vehicles, and discovered that we could help our customers save over £50million – £390 per vehicle – by making key changes to the running of their fleet. Across the UK’s total of over one million fleet vehicles, this could mean a collective £400m of potential savings for UK companies.
LeasePlan have identified three key areas where you could be making savings and put together some tips to help you review your costs:
1) Vehicle Maintenance
You could achieve the greatest savings – 39% – by improving technical support, such as automating regular servicing. Is there a local garage that you could partner with for repairs? Teaming up with them could cut your annual maintenance bill and also lighten the administrative load.
Additionally, 20% of savings could be achieved by changing your company’s policy on replacement vehicle types and by reducing off-road time through improved accident management. This may well be of particular benefit to construction companies.
It’s so important to get your funding right. There could be substantial savings to be made by switching to a more appropriate funding solution. Chat to your fleet manager to check that your current solution is the best available option for your company. Work with them to develop a clear plan of action aligned to your company’s specific goals moving forward. It’s essential that you have the right people and expertise around you, so if you think that you’re not getting the savings you really need, then it could be time to start shopping around…
3) Tax Incentives
Optimising tax efficiency is a key issue for the retail sector. Make the most of tax incentives. Selecting the right vehicles and observing those key emission thresholds, or optimising tax efficiency by removing private free fuel, could lead to a further 12% savings. If you’re still getting your head around car taxation, we’ve put together a free guide for you here.
Here at LeasePlan we know that company cars and vans are a cost-effective productivity tool and that making key changes in these three areas can have a significant impact on your bottom line. For more cost saving ideas, watch our showreels insights.leaseplan.co.uk/star