Hundreds of businesses sign-up to EV salary sacrifice scheme

Octopus Electric Vehicles is reporting hitting a milestone of more than 1,500 companies joining its salary sacrifice scheme in just over a year since its launch. 

The scheme, it says, is the next step in the company's mission to help businesses reduce their carbon footprint and drive the UK’s transition toward zero emission transport.

Since launching to the market, it has grown by 22% on average each month, with companies of different sizes and sectors joining the scheme, including household names such as McLaren, Dyson, RES and Nando’s.

To manage growing demand, Octopus Electric Vehicles has also expanded its team significantly, hiring 126 new staff across its offices in London and Weybridge over the past year. 

Fiona Howarth, CEO of Octopus Electric Vehicles, said: “It’s great to see so many businesses want to take a leading role in helping their employees discover the benefits of making the switch. 

“Launching a salary sacrifice scheme saves their employees money, letting them drive great cars, while cleaning up the local air in their communities and helping the planet.”

Octopus Electric Vehicles offers companies more than 65 models to choose from, all with an average of 215 miles in a single charge.

The package includes servicing and maintenance, breakdown cover with the AA, as well as a free charge point at their home or 5,000 miles on the public charging network.

Octopus also offer an energy tariff designed for electric vehicle (EV) drivers for those who charge at home.

Rebecca Constable, director, people experience, at McLaren Racing, said: “We’re delighted to be using the Octopus Electric Vehicles salary sacrifice scheme. McLaren fully supports the UK’s transition towards zero emission transport and we’re passionate about doing our bit to help.

“This is a fantastic benefit that our employees love and aligns with our internal goals to become a more sustainable business.”

Octopus Electric Vehicles was launched in 2018 with a mission: to make it easy for drivers to switch to clean, electric transport.

The business sits within the wider Octopus Energy Group, which is expanding rapidly having received $900m in funding over the last year, giving it a valuation of approximately $5bn. 

SMEs considering sal sac schemes

More than two thirds (68%) of SMEs are considering offering employees access to an EV through a salary sacrifice scheme, with more than half (56%) planning to implement it in the next 12 months, new research from Direct Line Group’s fleet insurer Churchill Expert suggests.

Half of SMEs (50%) believe that all companies should offer a sal sac scheme to employees, stating that doing so is part of their company’s responsibility to reduce its carbon footprint (48%), while 37% believe it would be irresponsible not to offer it.

Just 13% of SMEs currently offer an EV sal sac scheme.

Nicola Richmond, head of Churchill Expert Flexible Fleet Partnerships, said: “Our research shows there is tremendous appetite for this scheme.

“As everyone looks to do their bit for the planet and reduce their own carbon footprint, it’s great to see companies also taking their contribution seriously. 

“While availability for the scheme at the moment is low, it’s encouraging to see that companies believe it is part of their responsibility to implement it in the next year.

“Recently company benefit packages have been forefront of mind, so the introduction of such initiatives can only have a positive effect on how current and potential employees view an organisation.” 

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