Grey fleet warning as drivers skip vehicle service

One third of drivers have skipped an essential service on their car due to the cost-of-living crisis, new research from Volkswagen Financial Services (VWFS) reveals.

Worryingly, just under half (43%) of 18–34-year-olds said that they were likely to miss vehicle maintenance to save money.

VWFS says that the survey findings highlight an increasing grey fleet risk for employers with the research also revealing that only 40% of drivers feel financially prepared to pay for essential work to keep their vehicle safe.

Additionally, one in four drivers has got behind the wheel knowing their vehicle needed essential maintenance – a number increasing to 46% for those under 35.

Employers have the same legal responsibility to ensure grey fleet vehicles are well-maintained and safe to drive, as they have with company cars.

As a result, VWFS says that employers have a crucial responsibility to ensure their grey fleet is road-worthy and offer solutions to employees struggling to keep up with vehicle maintenance.

It is recommending a salary sacrifice car scheme to help mitigate this risk, by offering employees the opportunity to get a brand-new vehicle with insurance, road tax, maintenance and servicing costs paid monthly through their gross salary.

James Fields-Davies, head of fleet development at Volkswagen Financial Services (VWFS) fleet, said: “As the cost-of-living crisis continues to put additional financial strain on people, making many everyday bills, such as car maintenance costs, a potential source of anxiety, a salary sacrifice car scheme gives businesses a no-cost solution to take control of the safety of their employees – and other road users – when they’re driving for work purposes.

“With mounting costs for both businesses and employees, salary sacrifice can be a win-win solution – at a time when many employees can’t afford to keep up with essential vehicle servicing and maintenance, and when businesses need to offer competitive benefits to stand out in the recruitment market while battling rising costs themselves.

“Salary sacrifice car schemes don’t cost anything to offer – giving businesses a way to battle the impact of the cost-of-living crisis on grey fleet safety, keep up with the talent market and champion sustainability agendas, all without increasing overheads.”