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Aug 21

Guest Post: Savings to Be Made With Greener Company Cars


Graphic supplied by The Accountancy Partnership 

There is a concerted effort by the government in the UK at the moment to lower the CO2 emissions from vehicles. By rewarding greener drivers with tax breaks the government have hit upon a great way to get businesses driving greener.

Vehicles in brand A (those that produce bellow 100mg of CO2 for every kilometre travelled) are completely exempt from road tax and find themselves in lowest tax bracket for company cars too. The fact that the majority of these vehicles use diesel instead of petroleum means that filling up at the pump is a lot cheaper too – this is a major win win.

London is the biggest city in the UK and home to a vast number of business HQ’s and warehouses. The Congestion Charge in London, enforced between 7am and 6pm in the centre of the city, forces any cars emitting over 100mg/km within the Congestion Charge Zone to pay £10 per day. Non-Payment is fined at rates of £60-£187. Without working too hard on the maths you can see why driving an eco-car in London is a money saver.

The number of vehicles in the <100mg/km bracket is rising all the time and is now close to five hundred individual models in the UK. These vehicles range from smaller cars such as the Peugeot iOn or Nissan LEAF right through to large coupes such as the Renault Megane Expression. These cars are a little pricier than their mass produced, petrol guzzling counterparts but they should recoup any extra initial investment over the course their use.

Lastly, insuring company cars can be a hassle but, by adopting green motoring, businesses can take advantage of the fact that a number of insurance companies are offering discounts to drivers with environmentally friendly cars.

Businesses are often the last places to adopt green ideology as they see it as an extra expense and time wasted that could be spent driving profits. So, initiatives like this are very welcome because they are making going green cheaper and therefore more appealing.

1 comment

  1. christine rose miller

    Hey! I was reading through your website and loved the design and content. Is there any way I could help contribute?


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