The UK’s corporate rental industry is returning to former seasonal fleet replacement policies for the first time since the pandemic.

Rental firms are growing and then defleeting their vehicles in a structured way for the first time since 2020

Flexible fleet solutions firm Liquid Fleet said rental companies are growing and then defleeting their vehicles in a structured way for the first time since 2020, thanks to improved vehicle supply and increased corporate demand.

It’s good news for both the new and used vehicle sectors – and has been made possible by OEMs supplying higher volumes of cars to the rental sector over the past six months, with some automaker coming back to the sector for the first time since Covid.

For Liquid Fleet, it’s meant an expanded choice of car makers on the fleet, from three to 10, as manufacturers embrace rental once again. It has already supplied nearly 1,000 rental vehicles to rental brokers in Q1 and into early Q2.

Liquid Fleet also spotlighted another rising trend, whereby companies onboard their cars in Q2 and then keep them until September the following year, which covers two seasons of rental activity. This ensures the rental company can fix their costs and cover two full seasons of peak demand with Easter, May bank holidays, the summer period, Christmas, New Year and a second Easter, May and summer for the entire period.

“Daily rental is once again becoming an integral part of an OEM’s channel supply strategy as they look to further grow their UK sales and market share,” said Martin Potter, Liquid Fleet’s operations director.

“It also spells good news for the used market as a steady supply of ex-rental cars at less than 18 months of age are coming back into the second-hand market during Q3 and Q4 which are coveted by franchised dealers.”

Finally, data shows that corporate rental sector continues to experiment with EVs as they trial vehicles in line with work to reduce emissions and meet corporate sustainability targets.

“It’s good to see corporates continue to onboard EVs, many for the first time as they start their electrification journey with drivers,” said Potter.