Electric vehicles (EVs) generally cost more than their petrol or diesel equivalents to buy or lease, but when you consider how much the adoption of EVs could save a company, the business case for adding them to your fleet is a strong one.
The key financial benefits for adding EVs to your fleet are:
The UK government also offers companies (and private individuals) a grant of up to £8,000 for vans and £5,000 for cars, which is taken off the purchase price.
Companies generally either lease (or buy then sell) a vehicle for a period of between 3 and 5 years*. For those that do, based on an EV’s annual running cost savings, the opportunity to “breakeven” against its comparatively higher purchase price in this 3 to 5 year period is a wholly realistic one. A company can then enjoy the financial benefits of the ongoing annual savings thereafter.
The Energeasy Drive simple and straightforward savings calculator , will show how much you could save on running costs and how quickly you can breakeven when you compare a specific electric vehicle against its nearest petrol or diesel equivalent, where one is available.
The current situation in the fleet market has therefore moved on from companies asking, “Is adding EVs a viable option?”, to them building up the range of EVs within their fleet. This trend is illustrated by the rapid addition of EVs by fleet leasing companies to their range, in order to meet their commercial fleet customers’ demands.
Driving an electric vehicle leads to a significant reduction in personal fuel costs, plus it gives employees the opportunity to pay less in company car tax Benefit in Kind tax. So that’s more money in their monthly wage packets and less paid out in tax!
By adding electric vehicles to your fleet, it helps to support your employees by delivering a real added value benefit that makes a meaningful difference to them.
Adding electric vehicles to your fleet will help your organisation to both achieve any published CSR goals (Corporate and Social Responsibility) and meet the criteria laid down by ESOS (Energy Savings Opportunity Scheme), which company’s of a certain size have to comply with.
The addition of electric vehicles also provides a great opportunity to make a public statement about your organisation, in order to increase awareness of your organisation’s environmental credentials, through encouraging the use of electric vehicles. Also, as they deliver a tangible benefit to employees, this can add to your reputation by demonstrating how you are aiming to look after both the environment and your work force.
Alongside this, companies adding EVs to their fleet are also investing in the required EV charging points at their premises, to make owning an EV viable for their employees. This is helping to drive demand amongst employees for EVs, who in turn benefit through the significantly lower rate of as a Benefit In Kind tax and personal fuel costs.