Electric take-up amongst fleets hits record levels

Corporate take-up of electric vehicles is hitting record levels, according to fleet management and leasing specialist, Fleet Alliance.

During the second half of 2024, battery electric vehicles (BEVs) and plug-in hybrids (PHEVs) accounted for 79% of Fleet Alliance new car orders on its managed fleet of more than 30,000 vehicles.

And the Glasgow-based specialist is seeing the trend continue into 2025, the cost and tax-savings potential of both having clearly become increasingly apparent to fleet managers and drivers alike. Some 82% of the current order pipeline has been taken by BEVs and PHEVs – the highest market share for both model types so far recorded by the company.

For business customers contract hire remains the most popular funding method for electric cars with 74% of all BEVs being funded in this way in 2024, while salary sacrifice continues to grow in popularity, accounting for 23% of BEVs ordered in the last 12 months.

“Both BEVs and PHEVs continue to dominate our order books, offering as they do advantageous tax breaks and a low carbon option for businesses, and an attractive tax- and cost-effective way of acquiring an electric car for employees,” said Fleet Alliance CEO, Andy Bruce.

All-electric US brand Tesla dominates the sales chart, the Model 3 at number one and its Model Y stablemate in second place for the second year in a row.

 “It is perhaps unsurprising that Tesla continues to claim first and second places in our top ten charts as it has been the outstanding electric car brand for a number of years now. Both models offer benefits in terms of low monthly rentals and Benefit-in-Kind rates which really appeal to our customers, “said Bruce.

In third place was the Polestar 2, jumping from tenth place halfway through the year  in a strong second-half sales performance. It was followed by the MG4, Mercedes EQA, BMW i4, Mercedes EQB, Cupra Born, Audi Q4 and Skoda Enyaq.