23/12/2008 - Firms cut back on fleet car costs
Companies are cutting costs during the economic downturn by limiting the choice of fleet cars available to staff.
A survey by GE Capital Solutions Fleet Services found that the number of workers being able to pick any company car has reduced from 20% to 12.2% in the last year.
During the same time the number of firms using one vehicle manufacturer for their company cars has increased by 3.7%.
When asked what reasons were taken into account when making company car management decisions the top five responses were related to cost, including fuel prices and taxation.
Gary Killeen, commercial leader at GE Capital Solutions Fleet Services, said: "We are certainly seeing a reversal of the trends of the last decade. During that time, human resources departments have pushed for ever-wider vehicle choice and ever-higher specifications in order to attract and retain the best staff.
"Car choice is being restricted more often and cost factors are overtaking human resources issues. Cost-driven changes are being seen in the types of vehicles being driven, how they are funded and how they are managed."
Copyright © Press Association 2008
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