Demand for medium-term rental will be strong when the economy starts to come out of lockdown, accoring to Meridian Vehicle Solutions, as fleets look for immediate and low-cost transport without long-term commitment.

Phil Jerome, managing director at Meridian Vehicle Solutions

Phil Jerome, managing director at the medium-term rental specialist, said the product will fulfil a need as businesses become wary of signing long-term leases due to a variety of economic unknowns.

Jerome added that Meridian also expected to see demand among people who wanted to maximise social distancing by having their own enclosed space in which to travel.

“Those people are going to be looking for a car. Some will undoubtedly buy a cheap run-around but medium-term rental again provides a solution that can be used to take them through a 6-12 month period until the coronavirus situation is hopefully resolved.”

Jerome added that Meridian had seen demand remain relatively steady through the coronavirus crisis so far.

“It’s an odd situation at the moment. The economy is split between businesses that have effectively ground to a halt and those that have an immediate and definite need for transport – but we have been seeing ongoing interest from the latter.

“Just before the lockdown began, we put in orders for almost 100 new cars, so we should have vehicles available to meet demand for when the situation eases. The main issue that we face is getting them delivered, because the majority of our vehicles are delivered new from dealers.”