The online survey, which attracted responses from members and non-members collectively operating more than 19,000 company cars and employing more than 100,000 people, showed much higher interest in salary sacrifice than a similar ACFO survey carried out 18 months ago, which suggested that a fifth of respondents (20%) already had a salary sacrifice scheme in place. 

The survey also suggests that car salary sacrifice schemes are set to grow in their popularity, with almost half (48%) of respondents not currently offering such an initiative saying their employer was evaluating the merits of introducing such a benefit to employees. Additionally, 52% said such a scheme had yet to be considered. 

However, the survey showed that nearly a quarter (23%) of fleet operators said their employer had no interest in introducing a car salary sacrifice scheme and ruled one out for a variety of reasons. 

They included:

• Forthcoming changes to international accounting standards that will result in all leased assets – including salary sacrifice scheme cars – being reported on a company’s balance sheet with a corresponding liability being incurred for future rental payments
• Businesses being too small to believe they would benefit
• Concerns that offering a scheme could conflict with wanting to increase the take-up of company cars
• Job uncertainty in a challenging economic climate that could mean employers facing early termination costs in the event of an employee leaving, being on long-term sick leave or on maternity leave
• A perception that car salary sacrifice schemes were incompatible with company car schemes through which premium badge cars were available and not beneficial as a replacement for "grey fleet" vehicles. 

ACFO chairman Damian James said: ‘Salary sacrifice is one of many useful tools in the vehicle funding and employee benefits toolboxes and it is clear from ACFO’s survey that demand is growing.’ 

In addition, some salary sacrifice schemes are targeted at employees that do not qualify for a company car by virtue of their employment, but Damian James added: ‘From the survey results it is also clear that some employers with several thousand employees and large fleets are using salary sacrifice as an alternative funding mechanism for company cars.’