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Grey fleet and salary sacrifice to be as important as conventional fleet, Fleetcheck predicts

Date: 24 February 2021   |   Author: Sean Keywood

Grey fleet and salary sacrifice could soon become two of three relatively equal pillars of fleet management, alongside conventional fleet, according to Fleetcheck.

The software company said its conversations with customers about the impact of EVs and the Covid-19 pandemic indicated a shift in emphasis of this kind.

Managing director Peter Golding said that people were starting to believe that the end of the pandemic was in sight, and a narrative was emerging about how they saw the future.

He said: ""There are some predictable elements. Everyone believes car fleets will cover fewer miles but that those miles will remain essential to businesses. Company cars are here to stay.

"Also, there is a feeling that public transport will not recover quickly from the effects of the pandemic. Those employees worried about infection who have moved into cars will not switch back quickly or even at all.

"Finally, the increased viability that EVs give to salary sacrifice schemes could lead to a massive increase in that sector, making it a newly substantial part of the overall fleet car parc."

Golding said these changes could lead to car fleet operations becoming much more diverse than had normally been the case in the past.

He said: "An interesting point to consider is that potentially more cars are going to be used on business than ever before, and that the roles of fleet managers could increase in importance. As fleet managers become mobility managers, car management will not remain static.

"Traditional company car management will remain in place although it will change radically in itself because of the arrival of EVs. However, it is likely to become less dominant as one of the three pillars that are emerging.

"Each of these pillars creates different challenges and needs, and the overall skillset required from fleet and mobility managers will grow as well as, from our point of view as a software provider, the demands on the supporting technology.

"It is arguable that in the next few years, professionals in our industry are going to have to development their capabilities quite substantially for these reasons. It is a really interesting and potentially demanding time."