News - Page 2243

FLEET diesel sales this year will be at a five-year low dropping beneath the 200,000 mark for the first time since the explosion in 'oil-burners' took-off. Last month fleet diesel sales slumped 11.9% year-on-year to 14,094 units (November 1997: 15,996) out of a total diesel market of 22,671 - 13% down on November 1997's 26,065.

GROWING use of alternative fuel vehicles among fleets has brought renewed calls for oil companies to extend the number of forecourt operations which cater for clean-fuelled vehicles. Currently, the majority of the sites in Britain are run by private garages, which have restricted opening hours and can be difficult to locate.

NATIONAL Tyre Services has turned to contract hire as the best way of financing an expansion of its commercial vehicle fleet. The company has increased the size of its van fleet from 50 vehicles to 110, and all of the additional vehicles will be operated on full maintenance contract hire with PHH Vehicle Management.

RAC Business Services and BSM Fleet Training are integrating to provide a one-stop shop for fleet management services in the new year. BSM was bought by the RAC a year ago for £54.4 and had been operating independently since the buy-out.

FLEET drivers are putting their lives at risk by ignoring tyre pressures on their vehicles, according to Kwik-Fit Fleet. Spot checks at Kwik Fit centres throughout the country revealed that half the vehicles examined had at least one tyre 10% under its correct pressure.

NEXT year will be one of the most important years for Skoda UK as it bids to take the brand into the fleet market for the first time. The personnel are prepared and the infrastructure in place.

TYRE specialist Kwik-Fit has called on the tyre industry to work together to put pressure on the Government to highlight the importance tyres play in car safety. The company says similar emphasis should be put on the dangers of driving defective tyres as those associated with drink driving and the environmental benefits of managing tyre use properly.

RENAULT UK has created a new position to handle all its rental business and supply arrangements. The appointment of Kim Baxter as national rental manager allows Peter Bull to concentrate on the contract hire side of the company.

SLIDING residual values, franchise changes and building works disruption have been blamed for a slump in profits and turnover at motor dealer and contract hire group Caffyns. Turnover dropped to £80 million for the six months to the end of September, compared with £87 million for the same period last year and pre-tax profits were down £411,000 to £859,000.

VOLKSWAGEN has introduced its Caddy Kombi, a cross between a car and a van, into the UK following huge success in mainland Europe. Now on sale, the vehicle combines a Polo with the Caddy van, with prices starting at £11,233.25 for the 1.9-litre 64bhp diesel and rising to £11,350.75 on the road for the 1.6-litre 75bhp petrol model.

FCS Computer Services has joined forces with IT leasing and rental service provider Systems Capital to help firms replace old fleet management software. They will offer flexible and tax efficient financial solutions to cover all aspects of purchasing a new system.

MITSUBISHI'S aim to install GDI engines across its whole European petrol engine range by 2005 has been strengthened with the unveiling of a 1.5-litre GDI engine in Japan. The new in-line GDI direct injection petrol engine has just been developed in Japan, but a European launch date has not yet been finalised.

FLEETS which obtain discounts of around 40% on new car deals from manufacturers should be 'named and shamed' into giving up the practice, according to an influential committee of MPs. Martin O'Neil (Labour, Ochil) and Bob Laxton (Labour, Derby North), members of the House of Commons' Trade and Industry Select Committee, made the shock demand at the publication of the group's first report into vehicle pricing.

THE Government has revealed plans to give local authorities powers to introduce motorway and urban congestion charging and fees for workplace parking. The move raises fears that fleets could be hit by a series of taxation hot spots throughout the UK.

THE UK's contract hire and leasing sector has undergone a radical shake-up this week amid continuing residual value turmoil which has seen one of the biggest companies in the sector increase monthly rentals by 3-4%. The shake-up has seen the Halifax buying a 50% stake in Lex Vehicle Leasing for £162.5 million; General Universal Stores deciding not to sell its contract hire subsidiary Highway Vehicle Management a month after putting it up for sale; and BCH Vehicle Management confirming a statement was imminent about ownership change.

THE Metropolitan Police Service has outsourced the maintenance and repair of its 3,500-strong non-covert fleet in a seven-year deal worth £53 million. Venson has won the contract to handle the repair and maintenance of the police force's fleet, including cars, motorcycles, vans and larger commercial vehicles, operating mostly within the M25.

COMPANIES with fleets totalling nearly 2,000 vehicles have given a major boost to alternative fuels by taking on liquefied petroleum gas-powered vehicles. Department store John Lewis launched a move to alternative fuels which could lead to much of its 900-plus strong fleet being converted.

FORD has asked disabled motoring charity Motability to defer for six months plans for Motability Finance Limited to take residual value responsibility for its massive 370,000-strong fleet. The manufacturer wants the half year extension to allow negotiations to continue between car makers and the charity without affecting Motability customers.

FRANCHISED dealer group Evans Halshaw has announced that it is in talks with a potential buyer. A statement from the company said: 'The board confirmed that it has received an approach which may or may not lead to a recommended offer being made for the company at a premium to the current share price.'

THE Halifax, Britain's third largest bank, has entered the UK contract hire industry by taking a 50% stake in Lex Vehicle Leasing. Halifax's decision to enter the burgeoning leasing sector by paying £162.5 million for a share in the UK's largest contract hire company with a fleet of 98,000 cars and vans ends long-time speculation that the bank could buy up-for-sale Arriva Automotive Solutions.

HALIFAX'S move into the fast-expanding UK contract hire market is likely to result in Britain's third largest bank selling own-branded personal leasing products through its high street outlets. With around 21 million customers, a network of more than 2,000 outlets and the Halifax Direct telephone banking service, both Lex Vehicle Leasing and Halifax believe a variety of 'innovative retail financial services' can be launched.

UP-for-sale Highway Vehicle Management has been taken off the market just a month after parent company Great Universal Stores announced it was prepared to sell the business. The sale U-turn follows GUS's decision to securitise Highway's debts - effectively sell the debts to an outside party - but retaining the company, which operates a near 20,000-strong fleet within the group.

AN announcement is expected on the outcome of negotiations between BCH Vehicle Management and a potential acquisitor for the Bristol-based firm. BCH revealed last week it was in talks which could lead to an offer being made for the company.

ARRIVA Automotive Solutions is likely to have a new owner before the end of the year with GE Capital Fleet Services increasingly being tipped as the likely buyer. Arriva plc confirmed it was on target to complete the sale by the end of the year. The company remains the only leasing operator inside the top 15 in the UK not owned by either a financial institution or a manufacturer.

FLEET discounts from some manufacturers of 40-50% were unmatchable by crisis-torn Rover according to soon-to-quit chairman Walter Hasselkus in a parting shot at the ultra-competitiveness of the UK new car market. Hasselkus has taken the blame for Rover's poor performance following its acquisition by BMW almost five years ago.

THE deal put together by executives from both Rover and parent company BMW and trade union bosses may not be enough to save the troubled Longbridge plant, according to an industry expert. A new report from Salomon Smith Barney described the rescue package as 'risky' and says the £150 million planned savings 'help but do not yet secure the company's future'.

ROVER'S new deal, which confirmed the loss of 'at least' 2,500 jobs, came 24 hours after Peugeot announced the creation of about 900 jobs at its Coventry plant due to demand for the 206. The jobs boost will create a third shift at the Ryton plant.

HYUNDAI has slashed the price of its Accent model to compete in an increasingly competitive sector. The Korean manufacturer says launches of the new Renault Clio and Peugeot 206 have added to the pressure in an already overcrowded market.

CITROEN has launched a recruitment campaign for corporate business sales managers who will next year target small to medium fleets in an attempt to increase already growing fleet sales figures. The renewed emphasis on fleet sales sees Citroen advertising for six corporate business sales managers to work with dealers in expanding their share of small to medium fleet business (50-200 vehicles).

COMPANIES are starting to book stands at the 1999 Fleet Show with some fleet firms returning to the event after missing the 1998 show following the renewed focus on the business side of the exhibition. The 1999 Fleet Show will be held from April 27-29 at the NEC, Birmingham, where it will be the focal point of a 'fleet week' organised by Emap Automotive.