A grey fleet car is a vehicle that belongs to an employee and is used for business purposes. A grey vehicle has been purchased with an employee’s own money but is reimbursed on a pence per mile basis. The Energy Saving Trust estimates that there are around four million grey fleet cars in the UK, three times more than the number of company cars. For those who manage teams or run their own businesses, understanding the basics of grey fleet management is very important for financial and safety reasons.
Did You Know?
Managers and business owners have a duty of care and are required to ensure that when employees are driving for business, their cars are fit for purpose. This means having a valid MOT and being insured for business purposes. The driver should also have a valid license. On average, grey fleet vehicles are older than company cars and generate higher emissions, so it can be cheaper to offer staff daily rental vehicles for journeys of 80 miles or more.
Analyse at the Data
The most important thing to understand in terms of grey fleet management is the size and breakdown of the fleet. By examining the data, you can work out which of your employees is potentially at risk. If one employee is using their own car extensively, there is more chance that a fault will occur to the vehicle. It’s crucial that safety checks on grey fleet vehicles are made frequently to reduce the likelihood of an accident or mechanical fault occurring. Regular updates should be provided to management figures, using grey fleet data, so that the relevant persons are informed of what is being spent on grey vehicles.
Keep Organised With a Database
Grey fleet information can be efficiently stored in a central database. This will also allow employees to capture and add their own information. Use a spreadsheet format and add the registration number, make and model of each vehicle. The database should also include relevant MOT and licensing information, and show whether members of staff have driving convictions. It’s important to get as many people as possible involved in grey fleet management. It shouldn’t be left up to one employee and senior management figures should be kept abreast of all developments. For more information on grey fleet management, contact a specialist firm like Hitachi Capital Vehicle Solutions.