Company Car Schemes– Keep or Discard?

Thinking Of Ending Your Company Car Scheme? Announcements in the 2017 Government Autumn budget of tax increases on company vehicles have prompted many businesses to consider giving their employees cash allowances in place of running company car schemes. On the face of it, this would seem to be a cost-effective solution for the company, but comes with often-overlooked ramifications which impact on employees and company alike. Some of these consequences appear to be relatively minor but, taken as a whole, can seriously affect the business in several areas and may even raise costs, instead of reducing them. Costs to employees Companies have access to corporate leasing discounts, which individual employees [...]

Personal Car Finance Increases

Personal Contract Purchase and Personal Contract Hire Fuels Growth in the UK Car Leasing Market More new car buyers are alive to the benefits of personal leasing, according to the latest quarterly survey carried out by the British Vehicle Rental and Leasing Association (BVRLA). Total car leasing, including leasing of all types, grew by 8% year-on-year in the second quarter of this year, and much of this growth has been driven by the personal contract hire and leasing (PCH) sector. The BVRLA figures show that the PCH sector has grown by 36% year-on-year and 7% quarter-on-quarter. Personal lease cars are not greener However, there is an environmental downside to this [...]

Contract Hire Explained: Most Popular Vehicle Funding In UK

Contract Hire Explained – A Guide To The UK’s Most Popular Vehicle Funding Method There has been a definite shift towards the contract hire of company vehicles since the last recession, not least because it provides known, easily budgeted costs with no hidden surprises. But what is contract hire exactly and how does it work? What is contract hire? It’s the most popular type of vehicle leasing in the UK, and allows the end user or lessee to hire a car for a set period of time and pre-determined mileage, in return for a fixed monthly contract hire rental. How does contract hire work? There is no option for the [...]

Vehicle Funding Guide

Vehicle Funding - What are the Options? Introduction In the UK, the majority of business vehicles are sourced using contract hire, although other vehicle funding options are available and may be more suitable to your organisation. This vehicle funding guide has been created to help you understand the differences between funding options and think about what might suit you/your business the most. Here we review some of the options: Contract hire Finance lease Sale and leaseback Contract purchase Hire or lease purchase Outright purchase   At Maxxia, we offer a wide range of business car finance options and will work with you to find the right fit for [...]

Business Car Leasing Explained

Business Car Leasing Explained Buying vehicles for business purposes inevitably means handing over a large lump sum and is accepted by most businesses as a necessary expenditure, but this doesn’t have to be the case. The option of leasing a business vehicle is becoming increasingly popular in the UK, allowing companies to offer business vehicles to their employees, but with a smaller capital outlay, and as a result, a much healthier cash flow. So what is the process of business car leasing, how does it work, and will it benefit you? What is business car leasing? A business car lease allows employees the use of a vehicle for business purposes [...]

Business car leasing offers benefits to companies large and small

Benefits of Business Car Leasing Company cars can be expensive to operate, and, for many organisations can be one of the largest overhead costs. Selecting the most appropriate business car finance method for the company fleet is therefore of paramount importance, and there are a variety of finance methods available, each with its own features and benefits, depending on a company’s business objectives and its accounting and cash flow requirements. The most popular method of financing company cars is business car leasing, which is attractive to companies both large and small, as it allows them to finance their vehicles with a minimum down payment and an agreed mileage and period for the [...]

SUV sales are soaring in the UK

The nation’s car buying preferences are changing Traditional car buying habits, which have long inclined towards hatchbacks, saloons and estates, are changing in favour of the latest generation of SUVs (Sports Utility Vehicles). Once, the hatchback was the most popular single type of car bought by the British motor buying public. But, not any more. The rise of the SUV New figures show that the most popular type of car in the UK in 2015 was the SUV with a 22.5% share of the market, compared to a 19.8% share in 2014. The most popular model was the Nissan Qashqai. And for the first time, the SUV usurped the sub-compact [...]

By |February 13th, 2016|Categories: Cars, Vehicle Finance|0 Comments

New car buyers switch online to help record sales

Customers use the internet to research new car purchases The country’s new car buyers are increasingly using the internet to research the cars they are interested in before heading to the nearest dealership to buy the vehicle of their choice. According to research, the internet is playing a greater role in influencing the new car buying decision than ever before. And it has undoubtedly played a key part in helping new car sales reach their highest levels since the credit crisis of 2007. Sales at the end of last year finished 10% up on the back of many consecutive months of rising sales. By the end of April this year, [...]

By |June 1st, 2015|Categories: Cars, Vehicle Finance|Comments Off on New car buyers switch online to help record sales

2014 Budget points of interest for fleets

A much sign-posted freeze in fuel duty, an extension of the 2% increase in company car tax, a £200 million fund to repair the UK’s roads and a rise in VED in line with inflation. These were some of the headlines of interest for fleet operators announced by Chancellor George Osborne in his fifth Budget speech and possibly the last before the next General Election. In the Budget, which was, said Mr Osborne, for “the makers, the doers and the savers”, the Chancellor announced that the increase in fuel duty planned for September has now been cancelled. Company Car Tax He also revealed that the appropriate percentage of list price [...]

By |March 19th, 2014|Categories: Cars, Contract hire, Fleet management, Vehicle Finance|Comments Off on 2014 Budget points of interest for fleets