London Probation Trust slashes grey fleet costs & risk with shift to car hire

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The Trust introduced the policy for its 2,500 employees after an assessment of its existing reimbursement policy (just over 60 pence per mile) revealed that rental was by far a more cost-effective option, even for short trips of around 60 miles.

Enterprise Rent-A-Car helped London Probation Trust to assess the best car hire option. With employees regularly moving across 90 different locations and over 100 prisons in England and Wales, car sharing was quickly ruled out as a solution and daily rental was introduced for all business trips with a minimum 60-mile threshold. Employees now only use grey fleet vehicles for short trips.

In the first four months since the introduction of car rental, the Trust estimates that it has potentially reduced transport costs by £60,000 annually, saving on average £13.55 per journey.

Greg Dungan, management accounting manager for London Probation Trust, said, ‘When Enterprise presented the car hire option to a meeting which included our CEO and 60 key stakeholders, we were strongly impressed by the business case for rental. In particular, the risk management implications were compelling.

‘Like many other organisations where grey fleet usage in privately owned vehicles emerges as the de facto practice, we had no policies and checks in place to ensure vehicles driven were fit for purpose.

‘With 90 sites across the capital and over 100 prisons in England and Wales, we are greatly dependent on road transport as part of our business operations. Combined with the potential for cost saving, we had compelling reasons to shift to a blanket car hire policy for the whole organisation for journeys over 60 miles.’

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Natalie Middleton

Natalie has worked as a fleet journalist for over 20 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.