The decision by Lex Autolease to cut ties with around one-third of its broker network will result in a loss of only about 10% of its broker business, according to managing director Nigel Stead.

He said the company “remains committed” to the broker sector.

The reorganisation, part of the integration of Lex and Autolease, recognised that the market had changed over the past 12-18 months.

The former Autolease business focused on a small number of high performing larger brokers, whereas Lex had a much bigger broker business with a wider spread of partners.

“We are looking at the number and quality that we will do business with,” Stead added.

The broker decision follows Lex Autolease’s move to stop offering its Whitechapel employee car ownership (ECO) scheme to smaller fleets with fewer than 300 vehicles.

However, this does not mean Lex Autolease intends to follow the move by some rivals, such as GE, to only focus on large fleets.

Stead said: “We want to take advantage of new business opportunities – corporate, regional and smaller businesses. There is growth in all these sectors.”

On Whitechapel, he said: “We haven’t sought to write business with small fleets for some time – it doesn’t work for them. We have transferred them to another Lex Autolease product, a lot to contract hire. There has been very little attrition.”

** Read the latest on Lex Autolease’s integration in the November 5 issue of Fleet News