Got net-zero news, project updates, or product launches to share? Major shift to electric cars: 75% of car orders are for hybrids and BEVs, says Fleet Alliance.
Electric vehicles (EVs) are on the rise, making a significant impact in the world of fleet management. At Fleet Alliance, a record market share has been achieved, with the Tesla Model 3 and Model Y leading the charge.
The data for the first five months of 2024 shows that a remarkable 77% of vehicle orders at Fleet Alliance are for battery electric vehicles (BEVs) and hybrids, with BEVs accounting for 42% and hybrids for 35%. This marks the highest market share for both types of models to date.
Among all the EVs, models from Tesla have emerged as the stars of the show. The Tesla Model 3 has claimed the top spot in the rankings, closely followed by its sibling, the Model Y.
CEO Andy Bruce pointed out that an increasing number of employees are recognising the financial and environmental benefits of electric and hybrid cars. He stated, “There is little surprise that EVs dominate our order books, as they combine advantageous tax breaks with a sustainable solution for fleet managers, whether as company cars or through EV salary sacrifice provision.”
Top 10 electric cars year to date at Fleet Alliance:
- Tesla Model 3
- Tesla Model Y
- MG4 EV
- BMW I4
- Audi Q4 e-tron
- Mercedes EQA
- Cupra Born
- Mercedes EQB
- Škoda Enyaq
- Polestar 2
Fleet Alliance highlighted that Tesla models are particularly appealing to drivers due to their impressive range, performance, and financial advantages, including Benefit-in-Kind (BiK) tax benefits.
Andy Bruce compared the BiK tax bills for a Tesla Model 3 with a comparable Audi A3 to underscore the significant tax savings offered by EVs.
For instance, a petrol-powered Audi A3 saloon 35 TFSI Black Edition 150PS S Tronic falls into the 31% tax band based on its emissions, resulting in an annual tax bill of £2,205 for a 20% taxpayer and double that for a higher-rate taxpayer.
On the other hand, a Tesla Model 3 saloon RWD 4dr auto would have a taxable value based on only 2% of its price, amounting to £859. This translates to an annual tax payment of £172 for a 20% taxpayer, which is £2,033 less than the Audi’s tax bill.
“Over a four-year replacement cycle, the tax savings for the Tesla driver add up to thousands of pounds, which we are certain is a powerful incentive to consider switching to the US brand,” Bruce explained.
Other popular models in the Fleet Alliance electric order banks include the MG4, BMW I4, and Audi Q4 e-tron.
“You can see from our top ten list that there are now electric cars to suit all preferences and budgets,” Bruce noted. “With such a wide range of choices available, we believe there has never been a better time for organisations to offer their staff the opportunity to benefit from electric cars, whether through a company car scheme or salary sacrifice.”
“Our customers are in agreement, and our future order banks reflect the growing interest in EVs,” he concluded.
