Only slightly more than half (54%) of UK fleets said that they knew about tax changes affecting company cars and cash allowances which were introduced by the Government in April, according to research.
Awareness is very much dependent on fleet size. While 77% of larger fleets more than 50 vehicles said they were aware, this drops to 44% of medium fleets 10-49 vehicles and 35% of smaller fleets 1-9 vehicles.
These findings come from the 2017 edition of Arval’s long-established Corporate Vehicle Observatory Barometer, research which covers 3,847 fleets.
The tax changes mean that employees who are given a choice of a company car or a cash allowance will now be taxed on the higher of the two, no matter which option they choose.
The research shows that 14% of all fleets offer a cash allowance option to all drivers while a further 21% offer it to some.
Furthermore, 3% of companies offer only a cash allowance without a company car alternative.