News - Page 2312

CHANGES in benefit-in-kind taxation have driven some company directors and middle managers out of their company cars, but more middle managers are opting for Britain's favourite employee benefit. A survey from the Staffordshire-based Reward Group - 'Sales and Marketing Rewards 1997' - suggests that the 1994 introduction of a company car tax system based on the list price of vehicles has prompted the changes.

CITROEN Xsara prices will start at under £12,000 on the road with a special fleet-oriented model exclusive to the UK market available for less than £13,000. The all-new lower medium contender replaces the ZX and has a six-month window of opportunity to woo fleets before Vauxhall and Volkswagen enter the fray with the new Astra and Golf.

CLEAN up or pay up. That's the message from the Government as it unveils long-awaited proposals to drive dirty exhausts from Britain's roads. Subject to consultation and Parliamentary approval in the autumn, seven local authorities will be given powers to enforce vehicle emission standards at the roadside on a trial basis from next year.

COMPANY car fleets are likely to decline as increasing benefit-in-kind taxation and increasing operating costs through road pricing and taxation of business parking see leasing and private ownership expand, according to a new report. 'Business Forecasts for the Motor Trades to 2002' by James Morrell published by investment banking group Charterhouse is traditionally anti company car and suggests that the tax take from company cars was 'well below the Inland Revenue's expectations'.

EXTRA-high fuel economy will carry a relatively low premium when it is introduced by Mitsubishi in the Carisma GDI later this month. Officials at the car's UK importer, the Colt Car Company, have tacked on a charge of just £200 for GDI - the pace-setting direct injection petrol technology to be offered on the Carisma range - and at £14,510 on the road, the 1.8GLX manual GDI will be £240 cheaper than the equivalent diesel-powered Carisma.

UK rental companies are warily watching the moves of German rental giant Sixt following its acquisition of European Car Rental. Opinion is divided over Sixt's motives for coming to the UK, with some commentators seeing it simply as a move to support Sixt's German customers flying into the country, and others seeing it as the first step towards the establishment of a fully-fledged Sixt network in Britain.

SPECULATION is rife that EuroDollar is planning to change its name to National Car Rental, following its acquisition by Republic Industries. Republic already owns both Alamo Rent A Car, well represented in the UK, and US-based National Car Rental which has marketing links in Europe through Europcar Interrent.

VOLKSWAGEN has announced prices for the new Golf, due to go on sale in the UK early next year. The entry-level 1.4 E three-door at £11,970 on-the-road, replaces the existing 1.4 L three-door at £11,140. Prices announced so far rise to £17,735 for the GTI 1.8 20V T five-door, but prices are yet to be revealed for 2.3 V5 manual and automatic.

TOUGH action to curb air pollution including the removal of tax concessions on company cars has been called for by the British Medical Association and Friends of the Earth in two separate reports. The BMA has called on Government, local authorities, the Health Service and employers to work together to improve health by curbing road traffic growth and encouraging the use of healthier forms of transport.

MERCEDES-Benz is continuing to make significant inroads into Ford's domination of the van market with another large fleet deal. The latest in a long line of contract wins is a 360-van deal with Granada Technology's service fleet. It follows the 3,000-vehicle contract with Northgate Motor Holdings earlier this year and a number of smaller deals.

FORD has unveiled a major new preparation facility for police forces offering bespoke vehicles ready to go straight into service. The centre, called Special Vehicle Preparations, in Wethersfield, Essex is capable of preparing up to 2,500 cars and vans a year. Its opening signals the start of a sustained effort by Ford to increase its share of the police fleet market.

SPECIALIST chemical company Allied Colloids has opted to sell and leaseback its fleet of 175 company cars through Lease Plan. The company previously bought its cars outright, but decided to take up a sale and leaseback contract in order to take advantage of the tax benefits of leasing and streamline fleet administration.

GE CAPITAL Fleet services could become the largest contract hire operator in the UK if its parent GE Capital is successful with a £550 million bid for Woodchester Investments. Irish finance house Woodchester operates around 7,500 vehicles - principally in the UK and Eire - but also in Denmark and Portugal.

FLEETS have won their battle with the Government over complicated changes to travel expenses which would have caused an administration nightmare. The Inland Revenue has backed down on the introduction of new regulations in April 1998 which govern taxation of travel expenses to temporary places of work - so-called triangular travel.

FAST-cycle fleets and franchised dealerships could soon reap the benefits of a VAT ruling at the European Court of Justice. The ruling effectively stops fleets from having to pay VAT twice on cars which they sell for more than they paid, and could lead to HM Customs & Excise repaying up to £50 million to companies which have overpaid VAT.

THE Vauxhall Vectra has been voted Fleet Car of the Year by the Association of Car Fleet Operators. And to complete a double celebration for the Luton-based manufacturer the Astra van was voted Fleet Light Van of the Year. The Ford Transit - as in all previous years of the award - was the runaway winner of the Fleet Panel Van of the Year award.

CHANGES to the vehicle registration system are set to take place in September next year with the present R-mark running for 13 months, according to new Government proposals, sparking residual value fears. Following last week's motor industry anger that the Government had decided against introducing the hoped for changes in March next year.

BMW has been voted the best value franchise for the ninth successive time in the 16th survey into franchised dealers' views by the National Franchised Dealer Association. Following BMW in the rankings is Chrysler Jeep, second for the third successive time while Hyundai and Volvo franchises continue to move up the rankings taking sixth and seventh spots respectively.

LEX Vehicle Leasing has bolstered its specialist light commercial vehicle contract hire operation with the appointment of four new suppliers. Kiltech will provide Lex with its Lockshield security device; Quality Industries will service all Lex's van racking and roof rack needs; Bodybuilder Ingimex will provide all dropside and tipper requirements; and the Keam Group will provide all Lutons, boxes and other body types.

DAIHATSU is recalling 7,200 petrol-engined Hijet vans - only the second safety recall the importer has had to make in the UK. Vehicle monitoring has indicated that in extreme circumstances, it is possible for the terminals in the block connectors of the wiring sub-harness to become corroded.

EUROTRUCK Contracts has supplied nine Iveco Ford vans to Essex and Suffolk Water in a five-year full service contract hire agreement. The vehicles are part of a business package especially tailored for Essex & Suffolk's requirements, through ECL Network Service Point, Lex Commercials at Enfield. The package includes back-up service, maintenance, tyre replacement and repair and road fund licence.

CITROEN Dispatch vans are now available with temperature controlled carrying capability and side load door accessibility with the availability of an Icelite conversion from Transcold Refrigeration. With the conversion, available through the Citroen commercial vehicle specialist dealer network and taking three days to fit at TCR's works in Poole, the Dispatch has a payload of more than 600kg and load compartment dimensions of 1752mm length, 1320mm maximum width and 1193mm height. The Icelite conversion costs from £3,500 plus VAT.

VAUXHALL Master Hire has supplied seven Astras on contract hire to replace vehicles on M R Security's previously solus Ford fleet. The vehicles join the London-based company's fleet of around 25 vehicles, which has until now been made up entirely of Fords acquired through a mix of contract hire and outright purchase.

VOLKSWAGEN has launched a genuine multi-purpose vehicle in the shape of its new Multivan which includes rear conference seating and a fold-out double bed. The Multivan is based on the VW Caravelle, seats seven people, boasts a fold-up table with nearby 12V power point and fluorescent light above, and has ample luggage space behind the third row of seats.

FLEET drivers taking their company cars overseas have no need to worry if they need a new windscreen or side glass. Autoglass' fleet customers who suffer a damaged windscreen or broken glass when on the Continent can freephone the European network offices of the glass replacement specialist and talk to an English-speaking operator.

FRANCHISED dealers across Europe are gradually winning back a share of the replacement tyre market thanks to the fleet sector. A new survey by international research organisation Marketline International has identified the demand among large fleets for more comprehensive services in tyre retailing, especially prompt and effective servicing.

VOLKSWAGEN has revealed that prices of the Passat estate will start at a shade under £16,000 when the new car goes on sale on Monday (October 6). The range starts with the entry level 1.6S at £15,800 on the road, rising to £21,110 for the Sport 110 TDI (with air conditioning) - a £950 premium over the saloon and very much in line with the principal competition from Ford and Vauxhall.

BSM Group, which includes BSM Fleet Training, has reported a near 50% drop in pre-tax profits to £1.51 million (1996: £2.92 million) for the first six months of 1997. The drop, follows a warning from company bosses earlier this year that pre-tax profits for the first half of 1997 were likely to be around half of those achieved in the first half of 1996 due to changes in the driving test. Turnover in the six month dropped 8% to £12.66 million (1996: £13.78 million).

A RENEWED call has been made by the Retail Motor Industry Federation for annual MoTs for all vehicles. It came at the organisation's annual dinner where RMI president Sue Brownson repeated her call of a year ago for the Government to get tough on clocking and warned the listening Roads Minister Baroness Hayman that Britain's transport crisis would not be resolved until there was a viable alternative to cars.

UDT sales director Phil Stones has taken a new job at Chartered Trust after almost a decade with the Lloyds Bank subsidiary, with the company looking to expand its motoring interests. He joins Chartered Trust as executive director with responsibility for the finance house's motor and leisure division as it seeks to expand its activities in the corporate car finance and dealer sectors.