Electric Vehicles for Business & Fleet
Current tax and grant incentives for electric vehicles are so generous that businesses and their staff can make significant savings when 'going electric'.
Get in touch with our Business & Fleet team now for up-to-the-minute advice on electrifying your fleet.
With over a decade’s experience of fleet management services, Select Car Leasing provides tax efficient business and fleet leasing solutions for companies big and small.
Our dedicated Business & Fleet team will analyse your overall vehicle and fleet requirements for the coming years.
We'll then recommend a tailored solution that both saves you money and keeps you compliant with the rules and regulations.
Where to start? Take a look at our video introduction with Nicki Shields.
Here’s a quick example of how fully electric vehicles can now radically reduce your fleet costs:
Electric vehicles have much lower running costs than traditional cars and vans. The fuel cost of a petrol car is 12-13p per mile, according to the RAC Foundation, whereas it can be as low as 2-3p per mile in an all-electric car. Signing up to an EV-friendly energy tariff is the key.
In addition, electric vehicles also enjoy:
- Lower servicing and maintenance costs
- Zero or reduced road tax
- Exemptions to congestion charges
- No restrictions to ultra-low emission zones
- Various grants covering charging points and OTR prices
- Excellent first year capital allowances
When you put it all together, the whole life costs of an electric vehicle can be substantially lower than a traditional petrol or diesel car. We provide worked examples to show you where the savings can be achieved.
Ultra-Low Benefit in Kind (BiK) Tax
There are also some fantastic advantages for your staff if they opt for an electric car.
If an employee has a petrol or diesel company car at the moment, they will be paying a few hundred or even thousands of pounds in tax a year to HMRC for the benefit of having the car.
In a fully electric car in the current 2022/23 tax year, your staff member would pay 2% Benefit in Kind tax. The 2% rate remains in place until at least the 2024/25 tax year.
In other words, employees’ personal tax bills plummet if their company car is fully electric.
The second major benefit to staff applies if your company sets up a salary sacrifice scheme.
If an employee is not eligible for a company car, salary sacrifice allows them to take a vehicle with payments coming out of their gross pay before tax.
The savings can be as much as £250 a month for a 20% tax payer.
If your employee is a 40% tax payer, the savings are even greater. A vehicle lease that was going to be £500 a month, would actually cost about £240 instead via salary sacrifice.
Contact us now for a free consultation around how electric vehicles can benefit your business.
We have a wide range of cars and vans to lease, and a great track record in supporting businesses up and down the country with all their vehicle needs.
We'll save you and your staff money, keep you compliant with all the rules and regulations, and help your organisation reduce its carbon footprint.
For further details, phone 0118 304 8690 or email firstname.lastname@example.org