Home Business Support Why Start-Ups could benefit from Ultra Low Emission Vehicles

Why Start-Ups could benefit from Ultra Low Emission Vehicles

When starting a business from scratch, it can often be overlooked but transportation (whether for commuting, visiting clients, or delivering stock) can quickly eat away at your profits, if not considered as part of the business plan.

You may consider getting something cheap – a “runabout” just to put you on until the business is proven – but what if that’s your sole method of transport for the business, and something goes wrong? Would it be covered by a warranty, or could you potentially be facing a large bill to fix it? Also, would an older vehicle project the right image for your new company? According to the latest figures from the UK car industry, an increasing number of motorists are making the switch to Ultra Low Emission Vehicles (ULEVs). In September, We bought more than 6,000 ‘plug-in’ cars –and a total of 28,000 have been registered so far in 2016 (an increase of 40% over 2015).

With fuel and maintenance costs for conventional cars increasing year-on-year, together with more awareness of the air-pollution caused by diesel vehicles in real-world situations, perhaps it’s time to find out why we are seeing a sudden surge in the sales of plug-in vehicles? And what are the potential benefits of switching to ULEVs for you and your business? One of the main factors behind the rise of plug-in vehicles is the expansion of the charging network. There are now over 11,000 charging points in the UK, in 4,200 locations, 950 of which are rapid chargers, offering an 80% charge in as little as 30 minutes. Although, 95% of EV drivers just charge at home overnight.

The financial incentives available are another major draw. The government currently contributes up to £4,500 towards the cost of a car by way of a plug-in grant, and up to £7,500 towards a van. ULEVs are completely exempt from Road Tax.

Company vehicle benefit-in-kind (BIK) tax rates are also significantly lower on vehicles such as the Nissan LEAF or Kia Optima PHEV. The owners of even the most efficient petrol and diesel cars on the road typically get charged 18% BIK or more, whereas owners of ULEVs (Ultra Low Emission Vehicles) pay just 7% BIK tax. This could save drivers of company vehicles £1,000s every year.

ULEVs also deliver huge savings in day-to-day running costs. With the average daily commute in the UK being less than 26 miles, many journeys can be completed without the use of any petrol or diesel at all. The British Vehicle Rental and Leasing Association recently calculated that it costs approximately 2-4p per mile to run an EV, depending on when and how the vehicle is charged. This compares to 10-14p per mile for an equivalent petrol or diesel vehicle. Based on annual mileage of 20,000, that equates to a saving of £1,800 per annum. At Chorley Group, we have a network of Nissan, Kia, Hyundai and Fiat dealerships which offer a vast range of vehicles to suit all requirements. There are pure electric vehicles such as the Nissan LEAF, Nissan eNV200 van, and Hyundai Ioniq EV. For those who do a mix of shorter city commutes and longer motorway journeys, the Kia Optima PHEV is an ideal executive car capable of up to 176.6 mpg. There are also Hybrid cars like the new Kia Niro and Hyundai Ioniq, which can offer fuel savings over conventionally-powered vehicles, without the requirement of a plug socket.

For more information, please contact our Innovation Development Manager, Miles Roberts, who can help you to choose the solution that would best suit you, and your business. 

Miles Roberts Innovation Development,

Manager, Chorley Group

Tel: 07919 414751

Email: miles.roberts @chorleygroup.co.uk

Twitter: @ChorleyNissanEV,




Andrew Mann
After 34 years working in numerous operational and communications disciplines for three FTSE companies (Yorkshire Electricity; Meggitt and BAE Systems), at over a dozen locations, on 24 November 2016, I became the inaugural editor of Business Lancashire.Business Lancashire is a good news, Lancashire focused, business website and daily newsletter. It is a partnership between The Samuel James Group and the North and Western Lancashire Chamber of Commerce.Over the years, I have written hundreds of press releases, features for trade magazines, copy for websites and brochures, edited in-house magazines and newsletters, as well as presenting a radio programme on Chorley FM. This experience has given me the ideal background for editing Business Lancashire.