Almost half of the more than 200 Arval staff who qualify for a company car have already switched to an electric vehicle (EV) since the launch of a new scheme in May.
The rethink is aimed at speeding up fleet electrification in order to reduce emissions, to showcase best practice and to educate drivers about the increased choice of EVs and improved charging infrastructure now available, explained Arval UK HR Director, Ailsa Firth.
She said: “We’re regularly providing advice to customers who want a rapid switch to electrification for a large proportion of their fleet. Our own company car scheme has now turned that guidance into reality, to act as a real life case study from which others can learn.
“We completely rewired our approach, taking into account factors such as cost, choice and CSR, to create a scheme that covers the vast majority of EVs currently available on the market, alongside hybrids, petrol and diesel vehicles.
“Much work has gone into the structure of these choice lists, as well as ensuring that other key factors that make up our company car scheme, such as cash allowances, whole life cost allowances and whole life methodology, are incorporated into our latest thinking.
“Especially, with the 0% benefit-in-kind taxation rate in effect for the 2020-21 tax year, we expect EV uptake among employees to continue to be very high.”
Under the new scheme, drivers can switch to an EV if their current company vehicle is more than 18 months old and Arval is also offering employees free use of more than 40 charging points at its Swindon head office.
Changes to Arval’s Ignition salary sacrifice scheme have also ensured that all employees can access EVs and low-emission vehicles at attractive monthly rates, regardless of grade or benefit package.
“For a 40% taxpayer, we can provide an electric hatchback at around half what they would expect to pay otherwise. Salary sacrifice schemes make a lot of sense at the moment and take-up has been high,” added Ailsa.