Delays in vehicle supply have caused 43% of fleet managers to be unable to fulfil contractual obligations, according to research by vehicle subscription specialist Flexed, part of Autohorn Fleet Services.
The survey of more than 400 fleet managers found that 59% felt vehicle supply issues had worsened in the last 12 months, despite expectations of improvement.
68% of respondents said ongoing vehicle supply issues are disrupting daily operations.
One in five (21%) recorded resulting financial losses of upwards of £500 per day and an additional 7% cited losing more than £1,000 per day.
Scott Jenkins, operations and sales director at Flexed, said: “Our research shows that vehicle supply challenges continue to have a major impact on businesses, even though as an industry we expected the situation to have stabilised by now.
“We’re seeing particularly high demand for our Flexed services this year and customers use us for a range of reasons – from plugging vehicle gaps caused by manufacturer production delays or recalls, to managing seasonal delivery peaks.
“In the current market, short-term leasing provides a vital lifeline, offering fast vehicle delivery to help businesses maintain operations.”
Flexed said vehicle supply has been impacted this year by a combination of factors, including global trade disruption and ongoing economic uncertainty, as well as reduced UK production in H1.
According to a BBC report, UK vehicle manufacturing in H1 fell to its lowest level for that period since 1953.
The Society of Motor Manufacturers and Traders (SMMT) also notes that 76.9% of UK-made vehicles year-to-date have been exported.
Recalls this year from manufacturers including Tesla, Ford, Nissan, Kia, Vauxhall and Citroën have affected vehicle availability.
Adding to these challenges, the recent cyber attack on Jaguar Land Rover caused a production outage of more than a month, with vehicle supply still returning to normal levels.
Further potential shortages are coming, according to Flexed, following the political spat between the Netherlands and China over Nexperia, a chip-making firm, adding uncertainty over future vehicle production with the possibility of plant closures.
The fleet research findings back up the rising demand Flexed is experiencing for its services as the business announced 40% year-on-year growth earlier this year.
