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£18m fine risk from untaxed grey fleet, warns Licence Bureau

Up to a quarter of a million ‘grey fleet’ vehicles could be untaxed, with a potential financial risk of £18m in fines, according to Licence Bureau.

Steve Pinchen, sales director at Licence Bureau

Department for Transport statistics for the rate of Vehicle Excise Duty (VED) evasion among vehicles on the UK’s roads shows 1.6% of vehicles in the active vehicle parc are unlicensed. With estimates putting the current grey fleet at around 14 million, this could mean some 224,000 vehicles are being driven every day for work purposes without road tax.

And with driving without road tax liable for a DVLA-imposed fine of £80, which can be reduced by half if paid in 28 days, business-use drivers could be facing a combined £18m financial risk of fines.

Steve Pinchen, sales director, Licence Bureau, said the £18m fine risk showed the need for fleets to stay on top of grey fleet management.

He continued: “VED is another key aspect to operating a compliant business fleet and a legal requirement that is the responsibility of individual drivers but must also be proactively managed by businesses, in-line with their duty of care obligations.”

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Natalie Middleton

Natalie has worked as a fleet journalist for 16 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. As Business Editor, Natalie ensures the group websites and newsletters are updated with the latest news.