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'Grey' fleet use is hurting British business

12 November 2009

Privately owned vehicles are the number one form of transport used by businesses but their use is exposing UK employers to rising costs, safety issues and potential legal problems.

Research by Enterprise Rent-A-Car shows that more than one in three workers (35%) use their own car for business purposes, making it the most common form of business transport. A total of 44% of employers reported that private vehicles were the primary form of transport used in their business.

The so-called ‘grey’ fleet has presented a growing problem for British business in recent years, says Enterprise. Often older and less well maintained than leased or rented vehicles, they represent obvious safety challenges for many companies and require a great deal of time and effort to manage properly.

Paying reimbursement for miles done in private vehicles represents a major cost for many employers. Options such as rental or public transport have been revealed as more cost effective for mid to long journeys, says the company. Other costs associated with the ‘grey’ fleet include fines for lack of business insurance or driving unfit vehicles.