Vans, Cars and Leasing

Police forces across the country are facing massive fuel cost overruns, leading to recruitment reductions and calls for the Government to provide emergency funding.

Hampshire Constabulary’s director of finance Michael Coombes said: “The constabulary is having to deal with steep increases in the price of fuel in recent months. This situation has placed a strain on the budget.”

Along with many other forces, Hampshire only budgeted for only a 5% rise in fuel costs this year, taking the amount it had set aside for fuel to £1.95 million.

“Assuming the cost of fuel rises to £1.50 per litre by the end of the summer, as some commentators suggest, we would be facing a shortfall of around £1 million,” said Mr Coombes

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As a result, Hampshire police will recruit fewer student officers this year. “This is in light of various budget pressures of which the rising cost of fuel is one,” said Mr Coombes.

It is a similar story in Norfolk where the increase in fuel costs will affect a recruitment drive.

“Fuel costs have increased dramatically and we have to deal with that.

“This comes at a time when we are increasing staff numbers but those plans have to be subject to winds of change,” chief constable Ian McPherson told Norfolk Police Authority.

“We cannot legislate for decisions that are made in Saudi Arabia.”

Metropolitan police officers have been told buy fuel from the cheapest local petrol stations.

In addition, the Metropolitan Police Service (MPS) has begun trialling electric Smart cars.

Four versions of the two-seater car, which can achieve the equivalent of around 300 miles per gallon, are being trialled.

The Home Office said no extra money will be made available as a result of rising fuel prices.

“Government funding for police authorities is increasing by 2.9% in 2008/9,” said a spokesman.

“It is for chief constables and police authorities to decide how best to use the resources available to them.”

The Association of Chief Police Officers (ACPO) seems to have its hands tied and can offer little in the way of help to police fleet managers.

Commenting on the inability of many police fleets to get extra funding, ACPO said: “It will then depend on how forces have developed their budgets as to what the immediate effect will be.

“Some forces will have been able to make provisions for rising fuel cost, others won’t and therefore it will vary from force to force what the exact impact will be.”

The National Association of Police Fleet Managers (NAPFM) is working hard to limit the impact of fuel on their frontline operations.

“NAPFM is having to seriously consider a variety of options regarding the issues around both fuel cost and resilience with regard to industrial disputes, etc, and is working closely with its respective ACPO management as well as directors of finance and resource to establish a variety of initiatives that will assist in reducing fuel utilisation, whilst not affecting frontline policing and response capability,” said NAPFM spokesman John Bradley.

Liberal Democrat deputy leader Vince Cable said: “The emergency services have no choice as to which vehicles they use.

“It would not prejudice the Government’s overall financial position if some allowance were made to tide them over this difficult period.”

Fleets could face substantial charges and administration costs following confirmation that Manchester is set to become the second city in the UK to levy a congestion charge. The Government announced last week that it was awarding Manchester £1.5 billion to help pay for the congestion charge scheme, as well as deliver public transport improvements.

To try to alleviate fears, Manchester City Council will conduct a public consultation before going ahead with the scheme that could see motorists charged £5 to enter and leave the city at peak times from 2013.

But major concerns about the scheme are already being voiced. LeasePlan said the new congestion charge could “signal the beginning of a major headache for all UK firms running vehicle fleets”. Manchester, unlike London, will rely on electronic tags and beacon technology, which will be supported by automatic numberplate recognition cameras.

“The danger is that business drivers will have to register separately for each scheme,” said David Brennan, managing director of LeasePlan. “The lack of any central responsibility could hit companies hard, particularly those that have employees regularly travelling in or between the two cities.”

The problem could become worse as other cities develop their own congestion charges. Birmingham, Bristol, Bath and Cambridge are expected to announce plans shortly.

“The endorsement of the Manchester scheme is the biggest step so far towards a fragmented and regionalised congestion charging approach in the UK – a nightmare scenario for companies that run fleets of vehicles,” warned Mr Brennan. “As well as the added administration, many companies could see their fleet costs rocket as their drivers travel between different charging zones.”

Ian Middleton, managing director of Sandicliffe Motor Contracts, added: “The fleet market could find itself in a situation in years to come whereby a good proportion of company car drivers visiting cities across the UK could be running up some very significant bills.”

Several local companies have formed the Greater Manchester Momentum Group to oppose the charge.

Driving instructors do not have a particularly easy time of it. They get cursed – likely literally as well as figuratively – by frustrated teenagers who are doing well or not so well and getting frustrated with having not yet passed their driving test. They quite possibly get cursed at by people in their twenties, thirties, forties, and so on as well, because driving examinations are stressful for everyone involved. One thing driving instructors should not have to worry about, however, are their cars.

Total Fleet Services has been contracting and leasing vehicles for fourteen years. They have been building up an enviable reputation since 1994 and in that time, the business has evolved more and more. It has evolved so much that, now, they have a wide array of services including but not limited to driving instructor car hire, driving instructor car leasing, and contract hire.

Driving instructor car hire leasing and car hire are best suited for smaller driver’s education institutions, independent companies, or private instructors. With private driving instructors, for example, they may not want to put dual controls into their own cars, for whatever reason – it may be the family car, for instance, and not every family member may want to drive or ride in a car with extra parts and pedals. By taking advantage of Total Fleet Services’ driving instructor car hire, the instructor has a business car – perfectly suited to his or her business!

Actually, this option works well in certain other circumstances as well. For example, a person may need a driving instructor car, equipped with dual controls, for only a short time – a father might be teaching his child how to drive. It is certainly safer – and more practical – to do this in a car with the capabilities and safety features conducive to the situation than in one of the family cars. As well, not only has the father spared his own car from any potential damage, an accident is simply less likely to happen in a dual control car.

As being a private instructor is becoming more popularised, so too are small independently owned driver’s education businesses which employ more than one instructor. In these instances, driving instructor car leasing is ideal. More than one dual control car will be required, and if necessary, there are leasing and hire packages which allow drivers to swap for a new, different car every year.

For larger driving schools, contract hire is an excellent way to go about driving instructor car hire. Contract hire generally lasts from one to three years, which makes it perfect for businesses which need to provide vehicles for their employees over set terms with an easy renewal process. That is certainly the case with driving schools. Every driving instructor can be equipped with a dual control car. For that matter, this is not a bad idea for private driver’s education teachers either. Having the guarantee of the proper car for at least three years can be very advantageous.

Driving instructor car hires, leasing, and contract higher is also beneficial because within the cost per month of their leases, Total Fleet Services includes the cost of all automotive and mechanical repairs and maintenance. If a Total Fleet Services driving instructor car has to go into the shop for repairs, all that the renter must do is make sure to take the car to a main dealer which is local to him or her; and, once there, he or she must simply ask the dealer’s service department to call the Total Fleet Services company before any repairs take place. Excise duty is also included in the monthly leasing sum, as are breakdowns, home start, and recovery. Driving instructor cars are all equipped with He-man dual controls.

A report from the Ministry of Justice shows that speeding accounts for 40 per cent of all driving violations.

But it’s not traffic cops who caught these motorists breaking the rules – it’s speed traps. More than two million tickets were handed out in 2006, and a huge 95 per cent were snapped by fixed roadside cameras.

However, a clampdown in Suffolk suggests even more law-breaking motorists could have been collared using traditional methods. In a week-long initiative, police caught more than 1,500 speeding motorists with mobile cameras – while local Gatsos flashed only 364 times.

The Government report says that only one offence actually increased from 2005 to 2006. Careless driving was up by 26 per cent – a reflection of the crackdown on motorists using mobile phones since the ban was introduced in December 2003.

Fuel availability for motorists outside Scotland will not be affected by the potential shutdown at the Grangemouth refinery, assures the Petriol Retailers Association (PRA). The strike, which is planned for next Sunday and Monday (27, 28 April), seems more likely to go ahead following the breakdown of talks last night between the Unite union and Ineos, the owner of the Forth-based refinery.

“If the shutdown does occur, the effect on supply in Scotland will be limited due to the sheer volume of fuel already in the supply chain,” said Ray Holloway, PRA director.

“If motorists in Scotland buy their normal fuel requirement, any inconvenience ultimately caused by the industrial dispute at Grangemouth will be minimsed.

“It is still not certain that the refinery will close, and even if it does the fuels already in storage will remain available for distribution to forecourts across Scotland.

“It is bulk-buying of fuel that will ultimately be responsible for any shortages.

“Even if supplies are not interrupted, if motorists buy more than their normal requirements, they will be putting abnormal pressure on the road delivery services of the oil industry in Scotland.

“Forecourts do not have unlimited storage facilities. If they are prematurely drained of fuel stocks due to bulk buying this will lead to consumer inconvenience while they are refilled.

“Fuel suppliers have planned for these circumstances and by working with the Scottish and UK Governments will be able to ensure forecourt retailers requirements continue to be delivered by road tanker.”

Drivers’ lack of understanding of the links between CO2, taxes and fuel costs could be hitting fleet budgets as well as their attempts to reduce carbon emissions

A survey of more than 2,000 drivers, most of whom were company car drivers, found that only 17% think that they will save on fuel costs if they change their driving habits to produce less carbon dioxide

The survey, carried out by Alphabet, also found that just 15% of drivers plan to drive a lower-CO2 car in future to save on tax.

In addition, 88% of drivers were still ignorant about how much CO2 their car emits, and 76% do not know what Vehicle Excise Duty tax band their car falls into.

“Our survey suggests that eight out of 10 drivers are vague about the financial advantages of reducing CO2,” explained Mark Sinclair, director Alphabet.

“This implies that fleets are unlikely to benefit from cost savings offered by running more efficient vehicles unless they have strict policy guidelines in place to ensure that employees drive greener cars.”

For example, drivers who opt for cars emitting 145g/km of CO2 instead of a typical 165g/km stands to cut their fuel use by 12% and their company car tax by 20%.

Their employer would also benefit from lower business mileage costs and NI, and future savings through lower VED and from more advantageous writing down provisions on cars emitting less than 160g/km of CO2.

“It is clear that much more needs to be done to make drivers aware of the links between CO2 and the costs of motoring - particularly the amount of fuel they use and the taxes they pay,” said Mr Sinclair.

People working with families, community leaders, health professionals and teachers are being offered free half-day training course aimed at helping to save children’s lives on the roads.

After the training all those who attend will be in a position to give life-saving presentations to parents with young children about the risks they face and offer practical advice on using roads safely.

The training covers topics including correctly restraining children in vehicles, safe driving and keeping children safe on foot and bike.

Everyone who attends the training course will receive free resources, including a colourful flip-chart, hand outs for parents and advice on how to give an effective presentation, as well as on-going telephone support from Brake.

The ‘Stay Safe Family Promise’ road safety training is available through the FedEx and Brake Road Safety Academy.

The academy targets the most at-risk road users, including children, by training volunteers and professionals to deliver road safety presentations within their local community.

The training is available across the UK and can be set up in-house.

The Highways Agency is researching potential sources of driver distraction that occur outside the vehicle (e.g., accidents, advertisements, etc).

The study includes a survey to gather the views, experiences and perceptions of drivers on this subject.

Those interested in taking part in the survey online, use the following link: http://www.highways.gov.uk/knowledge/17859.aspx

It will take approximately 10 minutes to complete and everyone who completes the survey is eligible for entry into a prize draw to win one of two prizes of £100 of shopping vouchers for a store of your choice.

Responses are confidential and will only be used to further the study research.

The closing date for the survey is Wednesday 27 February 2008.