FleetEV is urging firms to act now to meet their employees’ growing demand for electric vehicles, highlighting the importance of technology-driven solutions in streamlining the process.
Research from Volkswagen Financial Services (VWFS) found that while 48 percent of employees want a salary sacrifice scheme for EV vehicles, less than a third (32 percent) of employers actually offer it.
Salary sacrifice schemes remove any upfront costs for purchasing an EV and typically include insurance, maintenance and breakdown cover, making it an easy way of transitioning to an EV for many.
From a financial perspective, schemes provide tax efficiencies for all involved, as employers can take advantage of National Insurance (NI) savings, while employees benefit from reduced income tax and NI contributions.
Factoring in substantial government incentives and lower BiK (Benefit-in-Kind) rates for electric vehicles, this initiative becomes an attractive alternative to traditional car ownership.
Responding to this interest for those looking for a more economical transport option is Cardiff-based FleetEV, who has launched its advanced in-house technology platform specifically designed to support salary sacrifice schemes for SMEs and the public sector. In contrast to generic leasing solutions, FleetEV's platform offers a seamless, fully managed experience tailored to the unique needs of salary sacrifice.
Offering a flexible, tax-efficient way for workforces to make the switch, FleetEV specialises in everything electric including comprehensive leasing and fleet solutions tailored to diverse client needs.
Jarrad Morris, CEO and Founder at FleetEV, said:
“Following the findings that even more staff are wanting EV salary sacrifice schemes than ever before, our new in house proprietary salary sacrifice platform is intuitive, efficient, and designed with simplicity in mind, making it easy for businesses to adopt and manage.
“This ensures that employees know exactly what they are committing to, eliminating any financial uncertainty. Employers, too, can trust the integrity of the platform, knowing that there will be no unexpected financial discrepancies.”
The VWFS survey of 2,000 UK employees also found that 79 percent said it was important to work for a sustainable business, suggesting that the demand for EV salary sacrifice is not just about the finances. In addition, 33 percent said it was the most attractive eco-friendly workplace benefit.
The British Vehicle Rental and Leasing Association (BVRLA) has also said that the cost-of-living crisis, allied to the ‘sticker shock’ of new lease rentals being much more expensive than the cars they replace, is driving a change in the way fleets approach funding. They have seen the salary sacrifice fleet increase by 63% year-on-year.
Jarrad said:
“For employers, our platform offers a competitive edge. It strengthens your brand’s commitment to sustainability, something increasingly vital for attracting and retaining top talent. Implementing a salary sacrifice platform allows businesses to reduce their carbon footprint, making tangible contributions to environmental goals.
“The cost savings, combined with the environmental benefits, make it an attractive and sustainable option for both businesses and their employees whilst simultaneously supporting sustainability goals.”
FleetEV’s salary sacrifice platform is highly flexible, offering a range of contract terms to suit different business needs and can be adapted as a company grows.
