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The following report only covers contract hire, not PCP contracts where the cars are returned rather than bought or part exchanged. End of contract (EOC) fair wear and tear damage charges for cars have reduced in the past 12 months, by 2% or £7.50 on average to £314.53 (2018: £322), marking the first reversal for four years, FN50 data suggests.

 

The British Vehicle Rental and Leasing Association (BVRLA) updated its Fair Wear and Tear guide in April after feedback from end-user fleets, its own members, remarketing experts and other fleet stakeholders to help improve clarity on what is often a contentious issue.

 

However, while the absolute figures are in decline, there are clear differences between the charges levied at cars on business contract hire (operating and finance lease) and those funded via salary sacrifice schemes.

 

Leased cars were hit with average fair wear and tear charges of £326, while salary sacrifice cars averaged £271. The FN50 asked leasing companies to split out the figures for the first time.

 

It suggests that either employees take greater care of cars their perceive as their own than they do a company vehicle – certainly this could be the case when comparing job-need cars to sal/sac – or that leasing companies are less willing to charge individuals than they are companies.

 

There were also differences in the percentage of cars charged and the level of the damage waiver.

 

Overall, the average percentage of cars being charged increased from 39% to 40%, while the average damage waiver fell from £167 to £117.

 

However, 43% of leased cars were charged fair wear and tear but only 31% of salary sacrifice cars were hit with charges. Likewise, the damage waiver for leased cars was £112, but sal/sac drivers had a more generous £133.

 

Both were significantly below last year’s overall average. This means there is a much smaller margin for error, increasing the likelihood that charges will be applied when vehicles are returned.

 

Average charges for leased cars covered a wide spread, from a high of £759 to a low of just £45 per car, showing wild variances from leasing company to leasing company.

 

If you isolate the 10 biggest leasing companies that provided figures, the average leased car figure is £319.51, down from £330 last year, so the companies that account for the most volume in the UK leasing industry have charges at a lower level than average.

 

The BVRLA’s aim with its guide is to provide an industry-wide, accepted standard that defines fair wear and tear when vehicles are returned by fleets to their leasing or rental company.

 

It also provides advice for best practice in vehicle maintenance and upkeep that will prevent unacceptable wear and tear charges occurring.

 

A BVRLA spokesman said: “With personal contract hire responsible for a growing portion of the BVRLA car fleet, there was extra focus on improving clarity and demonstrating fairness, especially when customers return a vehicle at end of lease.

 

“With many customers new to the concept of vehicle leasing, and possibly unsure of their responsibilities in maintaining the vehicle, members will be providing more help and support during the period of lease or rental.”

 

This might also explain the lower charges levied at salary sacrifice drivers, many of whom will also be facing wear and tear charges for the first time. Their experiences here will go some way to determining whether they stay in the scheme.

 

The guide gives advice to drivers about what they need to do to avoid end of lease charges, where they can get advice on routine maintenance, servicing and appraising the vehicle at the end of the lease and what they can expect the day the vehicle is returned, as well as how to complain if things go wrong.

 

Some leasing companies offer a fixed-cost menu of charges set out at the start of the contract.

 

Others do not repair vehicles before sending them out to auction, so do not charge for the cost to repair the damage.

 

Instead, they charge for the loss of value against the residual value due to the damage.

 

There are other alternatives. Fleet management specialist ARI Fleet UK has moved into the finance lease space, offering funding with no mileage limits or end of contract damage charges.

 

Rory Mackinnon, head of asset funding at ARI Fleet UK, explained: “Fleet managers are looking for support on cost management strategies and we have been working closely with our customers to deliver this.

 

“We identified an opportunity for a specialist finance solution to help drive down fleet costs. For too long, fleet managers have had to contend with excessive leasing fees and we are looking to challenge the status quo and disrupt the market.”

 

Nick Hardy, sales and marketing director at Ogilvie Fleet, Fleet News’ Leasing Company of the Year (up to 20,000 vehicles) and 15th in the FN50, says its fixed-cost menu pricing approach creates a transparent process for customers.

 

“We don’t see EOC as a profit centre,” said Hardy. “We need to cover our costs and, at the moment, we’re still doing that. If we weren’t washing our face we may need to go back to customers and have that conversation, but at the moment I’m glad we don’t need to do that.”

 

Ogilvie isn’t the only leasing company in the UK that uses a menu pricing scheme for EOC, but those using this system are still in the minority.

 

Hardy said: “Everyone should be charging within the BVRLA guidelines, but there’s nothing in there that is going to dictate pricing.

 

“Customers are wise to some leasing companies looking at EOC as a way to claw back some profit, so I would say customers are being more careful about the condition of vehicles, rather than being more careless.”

 

Caroline Sandall, chairman at fleet operators association ACFO, said: “We worked with the BVRLA on developing the new guide in April this year and, generally, the rules have relaxed.

 

“The updated guide should make it much easier and clearer for drivers what is expected. The level of damages is very black and white and prescriptive so there should be less confusion on EOC.”

 

Sandall says areas like dents on the bonnet or alloy damage were particularly contentious elements for fleets on fair wear and tear charges.

 

She added: “There were some small grey areas on the old version, but now it is much more prescriptive around the number of acceptable chips in a given area on the vehicle.

 

“There has been an increase in EOC complaints for the BVRLA due to the increased focus on personal leasing, but they have worked to make the guidelines much clearer to address that.”

 

Salary sacrifice charges

 

The average end of contract charge (EOC) for vehicles on salary sacrifice was £271, according to the FN50 data.

 

This level of charging is 20.3% lower than the leasing average, or £55 less.

 

Salary sacrifice was the second largest market segment for funding type after contract hire in this year’s FN50 figures, representing 3.9% of volumes overall, but is still a small fraction of the market compared with traditional contract hire which accounts for 92% of the market.

 

A smaller number of vehicles on salary sacrifice attracted EOC charges, too, at 31% compared with leased cars at 43%.

 

Both figures suggest leasing companies are more reticent to apply charges to a form of funding that has been under pressure from changes to the taxation rules. Nevertheless, there are big variances in the average charges applied, ranging from £485 to £105. By Graham Hill thanks to Fleet News

According to Fleet News a challenging used car market in 2019 has had a significant negative impact on the optimism of leasing companies for residual values (RVs) in 2020, the Fleet News FN50 survey suggests.

 

With prices achieved for ex-lease cars falling month-on-month for at least the first nine months of last year, leasing companies have seen disposal profits eroded across the board. For end-user fleets, the past 12 months have proved a wise time to have outsourced RV risk.

 

In several cases, defleeted cars have failed to achieve the residual value forecast for them back in 2015 and 2016, and the majority of FN50 leasing companies have little faith that the situation will change this year.

 

More than half (52%) think RVs will fall in 2020, and only 15% forecast a rise.

 

This outlook is significantly gloomier than forecasts made this time last year for 2019, when 36% predicted residual values would fall, but it is more positive than the 12-month outlooks in both 2016 and 2017, when leasing companies were gripped by a doomsday scenario for the UK’s EU exit.

 

Brexit continues to blight the automotive sector, with the Society of Motor Manufacturers and Traders (SMMT) attributing the decline in both new and used car sales in 2019 to consumer confidence being “undermined by political and economic uncertainty”. The result is a temporary loss of appetite for big ticket purchases, it says, with vehicle owners holding onto their cars for longer.

 

Under normal circumstances, a decline in new car sales and a steady rise in new car prices should prompt an uplift in used car sales as buyers switch to secondhand models. But this tipping point in the supply-demand balance of the used car market has failed to materialise.

 

Cap HPI reports that franchised dealer groups have focused on their new car sales to qualify for quarterly manufacturer bonuses, at the expense of the used cars on their forecourts, and any shortfall in stock from fewer part-exchanges has been more than offset by the availability of used stock returning to the market after the record new cars sales of 2015 and 2016.

 

The result is FN50 leasing companies anticipating an average decline of 2.2% in RVs over the next 12 months. Among the 52% of leasing companies who predict a decrease, the average drop is 5.6%, a greater reduction than the 4.4% forecast a year earlier.

 

Even the most optimistic leasing companies are less bullish than previous years, with those forecasting an increase average a rise of 4.9%, compared with 3.6% in 2018 and 3% in 2017.

 

However, pricing experts are less bearish about the next 12 months.

 

“Things are not going to be as bad as they appeared over the first half of this year,” said Andrew Mee, Cap HPI head of forecast. “It’s our view that the market correction is pretty much over now.”

 

The far steeper than normal month-on-month drops in used car values in the second quarter of 2019 have come to an end, adds Mee, who says the “market is now behaving much more normally. Values will not increase, but they are not falling like they did earlier this year”.

 

Moreover, ‘peak diesel’ may have already occurred, with the sharp falls in the sale of new diesel cars in 2017 and 2018 potentially leading to an undersupply of used vehicles in 2020 and 2021. “And that will be good news,” said Mee.

 

But uncertainty remains. As one leasing director asked, will the rapidly evaporating demand for new diesel cars, down 20.3% year-on-year in 2019, and 30% lower in 2018 than 2017, be mirrored in the used car market, or will lower supply create a shortage that drives up prices?

 

Similar uncertainty is starting to bedevil the forecasting of residual values for electric and hybrid company cars. Company car drivers keen to minimise their benefit-in-kind (BIK) tax bills are fuelling double, and even triple digit, growth in the sales of some alternative fuel vehicles, but will this demand be matched in the used car sector where the tax advantages are far more limited?

 

In the short term at least, Mee sees a windfall heading the way of leasing companies with electric and hybrid cars on their fleets. Electric cars are worth significantly more now than they were a year ago, he says.

 

“Leasing companies will have been cautious in their RV forecasts, so they are in for a nice surprise, especially for smaller battery electric models like the Nissan Leaf, Renault Zoe and Citroën C-Zero,” said Mee. “Hybrid cars have not been such a strong story, but their values have not fallen in line with petrol and diesel prices because they are around in smaller volumes and are seen as green alternatives to petrol and diesel.”

 

The critical figures for leasing companies, of course, are not book values, but the differentials between the RV forecasts made at the start of leases and the disposal prices achieved at the end.

 

Grosvenor Contracts Leasing is one of the few FN50 members with a positive outlook for residual values in 2020, having returned better defleet figures this year than last. The company’s commitment to preparing vehicles to the highest standards prior to auction – “dealers don’t want to be buying work,” said Shaun Barritt, CEO, Grosvenor Group – has underpinned the prices it achieves and maintained high first-time conversion rates.

 

Above all, the company’s success lies in

envisaging ideal forecourts in three or four years’ time, says Barritt, ensuring a broad mix of cars.

 

“Problems arise when you are bulk buying and bulk supplying, but seldom do we have very high volumes of one make or model,” he said.

 

This issue is repeatedly raised by smaller leasing companies, who compare their broad model mix and ability to be nimble when remarketing with the lack of flexibility of the largest FN50 companies that have to remarket scores and even hundreds of similar vehicles into a soft used car market.

 

In Northern Ireland, Donnelly Fleet sells virtually all of its passenger cars via nine used car centres run by the Donnelly Group dealer network.

 

“We are not dealing with big scales, so we’re not going to flood our forecourts with 30 or 40 identical vehicles,” said Tony Magee, general manager, Donnelly Fleet.

 

“The market here is smaller and a sizeable deal could see six-to-15 vehicles coming back, so I can put one into each of our centres. With these volumes we can be more optimistic about RVs.”

 

Even so, Donnelly Fleet is putting in contingencies across all fuel types, rather than writing residual value forecasts at 100% of Cap Monitor, adopting a position shared by many FN50 firms.

 

The turbulence in the used car market, which saw book values tumble by about 15% between January and August, last year, has cost leasing companies about £800 per car at disposal.

 

“You would have to go back 15 years to find drops like that,” said Nick Hardy, sales and marketing director of Ogilvie Fleet.

 

He adds that after years of relative stability, the leasing industry had become accustomed to relatively low levels of depreciation, making the drop in values such a bombshell last year.

 

Previously, market falls of the magnitude experienced in the first nine months of 2019 would have seen leasing companies encourage their clients into contract extensions, but such protection appears to have been absent this year.

 

Figures provided for the FN50 show that the proportion of cars returned late has actually fallen by seven percentage points to 32% in 2019, compared with 2018. Interestingly, the two companies with the most bullish forecasts for 2020 have very few late returned cars.

 

“Nothing should stop us being optimistic. I am cautiously optimistic that the worst is over. People will still want to change their cars,” said Hardy. By Graham Hill thanks to Fleet News

Could a vegan steak bake change the car industry? It might sound tenuous, but the phenomenal success of the unlikely offering from Greggs, along with myriad other vegan products from national chains that have been rolled out for ‘Veganuary’ this month, demonstrate that catering to the growing demand for animal-free products is big business.

 

The growing interest in veganism is driven by animal welfare, health and environmental concerns. It’s not just about eating only plant-based food but entirely avoiding using animal-based products – such as leather upholstery in cars.

 

Leather has long been used as a luxury material for car interiors – and it remains a popular choice among many. But the past few years have seen a major push by premium car firms to develop vegan leather alternatives, with some firms in the process of phasing out leather options entirely.

 

There are growing public calls for car firms to offer vegan options: six-time Formula 1 world champion Lewis Hamilton, for example, recently asked his employer Mercedes-Benz to phase out leather entirely.

 

Non-animal-based leather alternatives aren’t a new concept: for example, Mercedes has offered a synthetic material called Artico since 2003, Toyota uses a material called Softex and Ferrari offers Mycro Prestige as a vegan leather option on some models.

 

Yvonne Taylor, the director of corporate projects for animal rights organisation People for the Ethical Treatment of Animals (PETA), told Autocar that, compared to industries such as fast food, fashion, aviation and hospitality, the car industry “has been slower to capitalise on the demand for vegan products”, adding: “this is ironic, given that many of the biggest companies has been using vegan leather for its high quality and durability for years.”

 

Taylor wants car firms to offer entirely vegan interior options for every model, saying that leather isn’t a byproduct of the meat industry, as many people think, but a “global, $100 billion-a-year industry that slaughters more than one billion cows, sheep, goats and pigs [annually].”

 

According to Taylor, a PETA investigation into cattle ranchers in Brazil who supply leather producers that sell producs to car firms, found evidence of factory farming, extreme crowding and animal cruelty.

 

For the car firms, it’s been a question of market demand: Mercedes says that leather remains the most popular choice for upholstery in its cars, although it is developing new vegan leather alternatives. And other premium firms are reacting to the change in consumer demand, too.

 

Land Rover has been one of the leaders in this area, working with partners on a range of non-leather fabrics: the Evoque and Velar are offered with a premium wool-polyester blend from Kvadrat, a synthetic suede by Miko and a eucalyptus fibre textile. In a recent interview, Land Rover’s chief colours and materials designer Amy Fascella said: “Premium car customers still love luxury, but they’re also dialling back the consumerism and doing some good if they can.”

 

Tesla has phased out the use of leather entirely from its upholstery options, in part because of pressure brought by PETA after it bought shares in the California-based EV maker. And Volvo’s new sister brand Polestar will offer only leather-free interiors, using a water-based PVC material called Weavetech that was developed in-house. Polestar boss Thomas Ingenlath says it demonstrates that “our care for the environment goes beyond the electric drivetrain”, with the aim to “promote and accelerate the shift of the car industry towards leather-free interiors.”

 

The drive by the car industry towards reducing carbon emissions is also prompting a move away from leather – and that’s partly why the forthcoming Volkswagen ID 3 and Ford Mustang Mach-E EVs will use only animal-free materials.

 

Taylor says the production of animal-derived materials such as leather is “as toxic to the Earth as it is cruel to animals.” Indeed, the UN estimates animal agriculture – including the leather and wool industries – creates 14.5% of global greenhouse gas emissions.

 

Taylor refers to cattle and sheep as “the Humvees of the animal kingdom”, due to the volume of methane they produce, and adds that turning animal skin into leather involves using environmentally harmful toxic materials.

 

The leather industry believes its product has a strong and necessary future, however.

 

The director of Leather UK, Dr Kerry Senior, said: “The reality is that more than 90% of the world’s population eat meat, and that consumption is rising. While this is the case, more than seven million tonnes of hides and skins will be produced every year, which will need to be dealt with. The most efficient and elegant solution to that problem is the production of leather. Leather is unarguably a byproduct of the meat industry.”

 

He also pointed out that vegan alternatives to leather all use synthetic chemicals themselves in their production.

 

The challenge for car firms is finding premium materials that they can produce in volume and that feel similar to and can be as durable as leather over potentially a decade or more of hard use in a car. To test its Weavetech fabric, Polestar artificially aged it for 6000 hours, including submerging it in a ‘boiling water-like environment’ for four weeks.

 

New production processes are creating new options, too, with new materials often shown on new concept cars.

 

With demand for leather remaining strong, the car industry is unlikely to stop offering such interiors in the immediate future – just as Greggs still sells real steak bakes. But as demand for vegan and similar ethical products grows, car firms will be keen to stake a claim on that business.

 

Some of the ideas being developed:

 

Volkswagen ID Roomzz – apple skin leather:  This electric large SUV concept features a leather-style fabric made by mixing polyurethane with apple skin left over from juice production.

 

Bentley EXP 100GT – grape leather: Red wine and upholstery don’t usually mix well, but Bentley’s 100th anniversary concept used a material made from grape skins that are a waste product from wine production.

 

Mercedes-Benz Vision AVTR – recycled bottles: The futuristic Vision AVTR features Dinamica microfibre, a material made from old clothing, plastic bottles and flags. Similar fabrics are already in use in some production cars, including a number of Volvos and the new Renault Zoe.  By Graham Hill thanks to Autocar

UK drivers have revealed that ‘not indicating’ is the most annoying driving habit.

 

In a survey compiled by Click4Reg, drivers outlined the top 10 things that regularly irritate them on the road.

 

Not indicating was voted as the worst driving habit by 55% of respondents.

 

More than half (52%) also felt that ‘leaving full beams on’ was annoying, placing it second. The study shows that women find this habit more annoying than men (55% of women stated it annoyed them, compared to only 49% of men).

 

Driving 10 mph below the speed limit seems to infuriate many UK drivers, with 39% finding it frustrating.

 

 

 

 

 

 

 

 

 

 

 

 

Of those that voted in the survey, 87% also admitted doing at least one of the annoying habits.

 

Looking at the difference between genders, 39% of females stated that their worst driving habit was bad parking while nearly half of men (43%) admitting their worst habit was speeding.

 

The study also asked its participants which drivers they found most annoying on the roads. Elderly drivers were picked as the most irritating, despite young drivers being much more likely to cause a crash.

 

Young male drivers were rated the second most annoying and lorry drivers appeared in third, with 26% finding them irritating.

 

 

 

 

 

 

 

 

 

 

 

By Graham Hill with thanks to Fleet News and Click4Reg.

The Electric Vehicle Energy Taskforce has made a series of recommendations to enable the efficient integration of electric vehicles (EVs).

 

The Electric Vehicle Energy Taskforce, which is comprised of 350 organisations, was established in September 2018, following the Zero Emission Vehicle Summit, held in Birmingham.

 

The Low Carbon Vehicle Partnership was asked to convene and facilitate the work of the Taskforce.

 

It was charged with making suggestions to Government and industry to ensure that the energy system is ready for and able to facilitate and exploit the mass take up of EVs.

 

Yesterday, it submitted 21 key proposals to enable the efficient integration of EVs in a new report.

 

The proposals include:

 

• Placing consumer needs at the centre of the EV transition.

 

• Providing financial incentives to EV drivers to ensure that the potential energy storage capacity of millions of electric vehicles is used to reduce peak demand.

 

• Prioritising ease of access to public charge points and introducing greater standardisation across the charging network to provide easy access for all.

 

• Establishing an independent body to promote the benefits of smart charging through a major publicity campaign to ensure EV drivers are confident and well informed.

 

• Co-ordinating energy and transport planning to ensure we have the right infrastructure in the right place.

 

 

• An AA Populus survey of more than 17,000 motorists found that the vast majority underestimate their potential monthly savings from running an EV.

 

The survey found that the average car driver thinks they can save around £30 a month; less than half the actual saving possible.

 

The same survey found that an overwhelming majority of car drivers believe that easy inter-operability between charge points is a key factor in deciding whether or not drivers will buy an EV.

 

Philip New, chief executive of the Energy Systems Catapult and the EV Energy Taskforce chair, said: “Ensuring that the mass roll-out of electric vehicles delivers benefits for both drivers and the wider energy system requires actions from industry, Government and the regulator, including creating the new markets and policies that can unlock EVs’ huge potential.”

 

In order to meet climate change targets, the Government has already announced that conventionally powered cars will be phased out by 2040.

 

The Committee on Climate Change estimates that the new net zero target could mean that this date will be brought forward. National Grid ESO’s Future Energy Scenarios show that 11.9 million vehicles could be electric by 2030.

 

The Taskforce expects electric vehicles to become ubiquitous on Britain’s roads, providing a significant challenge – and opportunity – for the UK’s electricity network.

 

Coordinating the introduction of a smart charging infrastructure will enable network operators to balance demand and supply through an electricity grid increasingly incorporating intermittent renewable energy sources, it says.

 

EV drivers willing to charge their vehicles during periods of low electricity demand or when surplus renewable energy is being generated will benefit from lower fuel costs in the transition ahead.

 

Three important recommendations also relate to the correct use of consumers’ personal data and the means to ensure people’s privacy is properly protected and smart charging of EVs is secure.

 

Minister for the future of transport George Freeman said: “Government commissioned the Taskforce to advise how we can best work with industry to make sure the energy system is ready for the transition to electric vehicles. This report provides important evidence to shape the next stage of our Road to Zero roadmap.”

 

Business Minister Nadhim Zahawi added: “This report takes us a step closer towards the mass uptake of electric vehicles on our streets – providing guidance to ensure our energy system is prepared for an electric transport revolution and helping consumers top-up their vehicle more cheaply and conveniently on the go.”

 

Andy Eastlake, LowCVP’s managing director, concluded: “Developing a multi-stakeholder co-ordinated view on what is needed to liberate the electric vehicle smart charging sector has been vital in providing ‘no regret’ proposals to government and industry.”   By Graham Hill thanks to Fleet News

Thanks to manufacturers registering cars like crazy at the end of 2019, now could be the perfect time to buy a new car

 

 

Happy New Year – and it has the potential to be a very happy one indeed if you’re one of those people wandering into car showrooms over the next month. The fact is, there may never be a better time to buy a new car than right now, thanks to manufacturers having to register vehicles like crazy in the last few weeks of 2019 – in the hope of selling cleaner ones over the next 12 months and avoiding huge penalties for excess CO2 emissions.

 

 

It’s already clear that the market from which we choose which cars to buy, own and drive is going to be radically different at the end of 2020 from how it is now. More than the proliferation of electrified and pure-electric models and, perversely, the continued gains by the SUV, we’re going to see reduced model ranges, with limited supply on less efficient variants as manufacturers actively force the issue on CO2. They can’t afford not to.

 

 

It’s reassuring, then, to read in our scoop this week that Skoda plans to offer its upcoming Octavia vRS with a choice of petrol, plug-in hybrid and even diesel. We remain convinced that different powertrains and fuel sources make sense to different buyers.

 

 

But it seems likely that this diverse approach isn’t going to be uniform. Indeed, there have been suggestions that we’re heading into a period where car retailers may be actively trying, at a level never experienced before, to push customers away from the cars they want to buy and towards the models the company desperately needs to sell.

 

 

Our advice, as always, is to do your so you know which model, engine and trim best suit your lifestyle and budget. Write it down. Keep it at the front of your mind. And stick to your guns. Then you stand every chance of getting the car you want, at a better price than you might expect. By Grahan Hill thanks to Auto Express

The last thing you want to do is have to key in your car registration  number when you are nipping down the shops.

 

What is worse is when you key in the registration and get a character or number wrong resulting in a fine for not having paid the fee. You then have a fight on your hands but that is about to change.

 

Car park operators have been told by the British Parking Association not to penalise motorists who make a mistake when typing vehicle details.

 

It has published a revised code of practice for parking on private land, which includes guidance on grace periods, self-ticketing as well as motorist keying errors.

 

The enhancements, it says, will ensure Approved Operator Scheme (AOS) members are delivering a high standard of service for motorists.

 

A minor keying in error is categorised as one letter or number incorrect or letters and numbers in the wrong order.

 

A major keying in error is one that has multiple number and letter keying errors, the first three digits only have been recorded or a completely incorrect registration number is used.

 

Steve Clark, BPA head of business operations, said: “Following consultation with key stakeholders, including consumer groups and Government, we are delighted to release the latest version of our leading AOS Code of Practice.

 

“We recognise that genuine mistakes can occur, which may result in a parking charge being issued even when a motorist can demonstrate they paid for their parking. In recognition of this we have further clarified the situation for all parties.”

 

He added: “Motorists will still need to appeal, but we expect our members to deal with them appropriately at the first appeal stage.”

 

The BPA continues to work closely with Government on The Parking (Code of Practice) Act. The Act, it says, supports its call for a standard setting body, a single code of practice, and a single independent appeals service.

 

John Gallagher, lead adjudicator at Parking on Private Land Appeals (POPLA), welcomed the publication of the revised code.

 

He said: “The revised code will bring greater clarity for motorists and parking operators alike on issues such as simple keying errors and grace periods.

 

“The introduction of a section on keying errors, requiring parking operators to cancel Parking Charge Notices in certain circumstances and reduce the amount to only administration costs in others, is particularly welcome.

 

“This addition to the code means that, for the first time, POPLA will be able to make decisions on keying errors without referral back to the operator.

 

“We would like to thank the BPA for listening to our feedback on this and other issues – and involving us in ongoing discussions on the best way to ensure a fair system that protects motorists.” By Graham Hill thanks to Fleet News

A consultation was launched in October 2019 into the merits of issuing zero emission cars with green number plates. The idea was to be able to identify the greenest of vehicles so that local authorities could, as an incentive, offer drivers cheaper or free parking, possible use of bus lanes etc.

 

 

The plates may be all green, have a green verticle bar down one edge or have a large green dot on one side of the plate. Simple plate recognition could identify the cars. Now where did I put my pot of green reflective paint? And that could be the problem. Drivers either modifying their number plates to appear like a ‘green’ number plate or buy a set of dodgy plates made up as though the car is zero-emission.

 

 

If the Government gets it right the new plates could also capture snob appeal making drivers of cars with green number plates ‘Holier than though’ to impress the neighbours and work colleagues.

 

 

A big boost to the sale of zero-emission cars will be lower lease rates which a couple of manufacturers and leasing companies have already addressed. So far in 2020 we have seen the VW eGolf at its lowest ever rate as well as the Nissan Leaf. Contact GHA Finance for the latest deals and offers.

 

A personal view from Graham Hill:

 

As part of this study, the Government is proposing to invest £1.5 billion into the drive towards total zero-emission cars. This includes home chargers built into every new house and increasing the number of charge points.

 

 

Now I’m not being funny but I don’t have a tank and pump installed at home to top up my petrol car. Why, because I can pop into my local petrol station and top up in a matter of minutes. The average time is 8-12 minutes. The latest BP 150kW Ultra Fast Chargers take, according to BP and independent checkers around 15 – 20 minutes to provide a complete charge. 10 minutes should provide about 100 miles of charge.

 

 

So why are we hell-bent on creating a national network of  home, street and car park chargers when all we should be doing is investing in even faster chargers and batteries capable of withstanding the fast charging. Inevitably there will be many who will charge at home or in car parks as the cost of charging will be cheaper so even if cars are a little longer at charge points it won’t cause congestion as fewer cars will use them as many will be charging at home.

 

 

My idea would be a set of charge pads that drivers drive over. The number recognition system tells the charge point whether you have an account or not and a screen entry on the dashboard allows you to select the charge and cost. If you don’t have an account you enter card details into the charge pod.

 

 

You then sit in the car for say 10-15 minutes whilst the car is charged. A screen drops down in front of you with advertising on it. The charge to the advertisers could subsidise the cost of electricity. Doesn’t sound like rocket science to me! By Graham Hill

Only one in 10 new car sales could be diesel in as little as five years, says a leading academic.

 

Currently, one-in-four of new cars sold is powered by the fuel, a dramatic decline from the parity with petrol it enjoyed just a few years ago.

 

Its popularity is also on the wane in the company car market, where it has traditionally dominated thanks to its tax-friendly CO2 performance.

 

New figures show that the proportion of diesel cars on the FN50 fleet – the UK’s top 50 leasing companies by risk fleet size – fell from almost two-thirds (63.4%) to close to half (50.5%) over the past 12 months.

 

In terms of vehicles they had ordered in the past year, the flight from diesel was still more pronounced. Almost half of the cars ordered in 2019 were petrol (47.6%), while only two-fifths (38.8%) were diesel.

 

David Bailey, Professor of Business Economics at the Birmingham Business School, said: “There seems to be no end to the decline in diesels.”

 

Overall, diesel new car sales are down by more than a fifth in the past year. Some 515,000 units have been sold year-to-date, compared with 650,000 during the previous 12 months, data from the UK automotive trade body, the Society of Motor Manufacturers and Traders (SMMT), shows.

 

Forecasters say that, with the sharp falls seen in the sale of new diesel cars since 2017, it could lead to an undersupply of used vehicles in 2020 and 2021, which would help sustain residual values. However, it’s unclear whether the decline in new diesel car sales will be mirrored in the used car market. The most recent figures from the SMMT show that demand for used diesels grew by 1.4% in the third quarter, with some 858,442 changing hands.

 

“A big shift away from diesel is still taking place,” said Bailey. “In late 2015, diesel accounted for more than 50% of the market, by March last year it was down to 32% and it has fallen further since then.”

 

The UK is not alone in turning its back on the fuel; its decline is being seen across Europe. In the key market of Germany, diesel’s share has fallen below 30% from having accounted for half the market and to a similar level in France, where three-quarters of new car sales were once diesel.

 

Bailey said: “We are seeing this continuing decline and, while I originally thought the market share for diesel by 2025 would be down to 15%, I now think that’s quite optimistic – it may be as low as 10%.”

 

Despite its popularity in Europe, diesel has not enjoyed similar market penetration in other countries. “It’s negligible in North America, it’s only 4% at best in China and virtually insignificant elsewhere,” he said.

 

“If you go back to the turn of the century, diesel as a share of the market in Europe was only 10-15%. We then gave (the fuel) loads of tax breaks, because we thought it was good for the environment.”

 

Dieselgate followed however, and concerns over the fuel’s impact on air quality has put its market share on a downward trajectory.

 

Bailey told delegates at a recent Vehicle Remarketing Association (VRA) seminar the trouble is “people are completely freaked out over diesels”.

 

He said: “They are concerned about falling resale values, they are worried about tighter regulations in cities, higher taxes and its impact on the environment.”

 

He says Government policy has not helped either, labelling it a “complete shambles”.

 

“One part of Government has been saying ‘clean diesels are good’, while another part whacks a load of tax on them.”

 

Government has, however, introduced tax breaks for diesel company cars, which meet strict emissions limits defined by the RDE2 standard.

 

Company car drivers are exempt from the 4% benefit-in-kind (BIK) diesel surcharge, while fleets benefit from not having to pay the higher first-year rate of VED on new diesel cars.

 

The NOx limit for the RDE2 standard, which is measured on the road, is up to 1.43 times the Euro 6 lab limit of 80mg/km for diesel and 60mg/km for petrol. Cars achieving this limit are labelled Euro 6d.

 

Cars achieving RDE1, which allows for a margin of error two times the actual limit, are classified as Euro 6d-temp.

 

RDE2 will apply to all new registrations from January 1, 2021, before the margin for error – the conformity factor – is removed by 2023.

 

Peter Golding, managing director at FleetCheck, believes that 2020 could turn out to be a make or break year for diesel, with the success of Euro 6d cars key. However, he acknowledges the outlook is not promising when Bristol’s proposed diesel city centre car ban will not apply to older petrol vehicles, with potentially worse emissions than the latest RDE2 diesels.

 

“RDE2, effectively, puts diesel on a roughly equal footing with petrol from an emissions point of view,” he said. “The question is whether everyone from legislators to the general public are willing or able to make that distinction.”  By Graham Hill Thanks To Fleet News.

Car thieves are stealing some of the most desirable cars and selling them on the black market for as little as £1,000, according to vehicle protection and management technology provider AX.

 

The most sought-after vehicles – usually those with a higher street value – include models from prestige brands such as Audi, BMW and Mercedes.

 

Despite costing from between £18,000-£100,000 to buy new, the vehicles are stolen and quickly sold on for a fraction of their retail or used value – sometimes for just £1,000.

 

The investigation by AX further exposes the activities of car theft gangs as Home Office figures show the number of vehicles stolen in Britain has almost doubled in the last five years.

 

According to an AX source, criminals have put a black-market value of just £1,000 on an Audi A1, while a Range Rover, which costs upwards of £80,000 when new, will go for £1,500-2,000. Once the theft has occurred, the vehicles are typically sold rapidly to a known network which then exports or dismantles them for parts.

 

The BMW 3 Series, a popular model for fleets, was given a  black market value of just £1,500-£1,800.

 

Director of Investigative Services at AX Neil Thomas said: “The list is quite shocking, despite my 30 years working in the police force. We know how the criminals operate but, with the UK theft figures in mind, it’s a sharp reminder of the problem car owners and the industry faces.

 

“Rather than the cars that are stolen most in the UK, this list represents the criminals’ wish list of preferred targets. A typical, current Ford Fiesta, for example, would change hands for little more than £200.

 

“Business and private owners alike are affected by the increase in thefts, so it’s paramount to take precautions to avoid being targeted, or ensure vehicles have robust covert technology so that they can be recovered. Most tracking devices are simply removed after being stolen.”

 

Last month, AX revealed that criminals are using WhatsApp groups to plan and execute car thefts as the UK vehicle crime wave continues, while further research also indicates the growing use of messaging application Telegram for organised vehicle theft.

 

In 2017-18, nearly 112,000 cars were taken illegally, up from 75,308 in the 2013-14 financial year.  By Graham Hill Thanks To Fleet News