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Switch from diesels gathers pace, says Contracthireacar.com

Diesel reliance among fleet users is dropping faster than predictions, new research suggests.

Fleet drivers are increasingly switching away from diesels, according to analysis of Contracthireacar.com’s client orders for the first half of 2016

Fleet drivers are increasingly switching away from diesels, according to analysis of Contracthireacar.com’s client orders for the first half of 2016

Analysis published last month for Arval’s 2016 Corporate Vehicle Observatory Barometer points to a 5% overall reduction in UK fleets’ use of diesel by 2021 yet vehicle leasing firm Contracthireacar.com has compared its own written business from January to July 2016 inclusive with the preceding year and identified a more immediate diesel reduction amongst its own customers.

Arval’s study forecasts a 12% reduction in diesel use for larger fleets and a 1% reduction for smaller fleets of 40 or fewer vehicles, the latter accounting for the majority of Contracthireacar.com’s client base.

During the period January to July 2015, diesel made up 86% of car leasing deals written by the firm, with petrol on 12.57%. Alternative vehicle fuels such as hybrid and electric accounted for 1.42% of orders.

Yet Contracthireacar.com data for the period January to July 2016 shows 79.29% diesel usage, with petrol having risen to 17.61% and alternative fuels having increased to 3.10%.

Craig Davy, Contracthireacar.com’s business development manager, said: “With influencing factors ranging from the VW headlines, fuel price trends, advancements in turbocharged petrol engines and the EU leave result, to new London Mayor Sadiq Khan likely to introduce a T-Charge to deter older diesels and bring forward the city’s ULEZ, it’s no surprise that we’re seeing the switch to petrol and particularly hybrids and electrics accelerate. ULEV and EV orders doubling is to be expected but the 5% switch back to petrol within just a year is somewhat surprising.”

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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.