Fleet industry news round-up August

HMRC splits the advisory electric rate (AER) between home and public charging, giving higher reimbursement rates for those using the public network.

With HMRC publishing the new advisory fuel rates (AFRs) (Opens in new window) effective from September 1^st, company cars will now be reimbursed 8 pence per mile (ppm) for home charging and 14 ppm for public charging.

The AER remained at 7ppm since September 2024, which was criticised for not reflecting the actual cost of charging on the public network.

The 8p home charging reimbursement rate is based on an electric cost per kilowatt hour of 27.04p and electrical efficiency miles per kilowatt of 3.59 kWh.

The same efficiency rate is used in the public charging calculation with a cost of 51p per kilowatt-hour.  This cost is vbased on how fast or slow the charge cost per kilowatt-hour from what the zapmap public charging price monthly figure states for slow or fast chargers.  This figure is then uprated with the latest estimate of electricity prices from the Office for National Statistcis (ONS).

With the new public charging reimbursement rate not based on what a company car driver would have to pay at an ultra-fast charger, HMRC says that a higher amount than the advisory rates can be used if you can show that the fuel cost per mile is higher.

Updated AFR Rates (effective September 1stt)

The new AFR have been published, effective from September 1^st, which will  nclude some changes to the pence per mile rates for diesel company cars, whilst petrol AFRs remain unchanged.

• Diesel (up to 1,600cc): increased from 11 ppm → 12 ppm
• Diesel (1,601–2,000cc): unchanged at 13 ppm
• Diesel (over 2,000cc): increased from 17 ppm → 18 ppm
• Petrol: unchanged

  • up to 1,400cc: 11 ppm

  • 1,401–2,000cc: 13 ppm

  • over 2,000cc: 21 ppm

See the full AER Methodology.

The Government has set out its priorities for the strategic road network (SRN) in England from 2026-2031, in the third road investment strategy (RIS3) (Opens in new window).

 Transport Focus research shows that users of the network want to see better management of roadworks, better management of unplanned delays such as collisions and breakdowns, and better information about that unplanned disruption. Additionally, there is demand for good road surfaces, safer design and regular upkeep of the network, alongside more reliable, shorter, journey times. All of which mirror the wants highlighted by fleet the June Fleet200 Strategy Network meeting,

The Government also expects National Highways to work with all users to ensure the diverse needs of all road users are met including supporting walking, wheeling and cycling infrasturtures, particularly where SRN interacts with cycleways, footways, bridgeways and local roads.

However in addition to this, the SRN emphasises that the strategy needs to meet the specific needs of the freight and logistics sector, including in areas such as alleviating weight and height restrictions, improving driver facilities, and the timing of maintenance and renewals activities.

Transport Secretary, Heidi Alexander, explains that " the third road investment strategy will form a core component of the Government's new 10-year infrastructure strategy, which sets out a long-term vision for nationally significant infrastructure that supports sutainable growth, connectivity and resilience".

Used cars and vans are being adopted by more than half of UK fleets, with 27% of fleets saying they expect to do the same within the next three years.

Due to car and van shortages during the recession, it caused more companies to look at used vehicle options, with many fleets finding it works for them as part of their operating fleet mix. Additionally, due to the high quality and resistance to wear of modern vehicle designs, cars and vans today remain safe, and last longer in good condition, than they ever did previously.

Research shows that used vehicles are most often used for pool fleets and they are more commonly acquired by smaller operators, such as companies with fewer 100 employees are more likely to adopt second-hand and vans, with 54% already using them, and 29% planning on future implementation.

 The research also shows what fleets are using used cars for:

1.      Pool vehicles (79%)

2.      Job need (74%)

3.      Benefit package for drivers (53%)

Overall, this shows that used cars are widely used as utility vehicles in most cases.

Additionally, the UK fleets are buying more used vehicles compared to a European and global average of of 39%.

Explore our used-vehicle leasing options (Opens in new window) by contacting our team at lease@kinto-uk.com. (Opens in new window)

The number of people being given penalty points for driving unroadworthy vehicles has increased by 52%.

In 2024, the RAC found (Opens in new window) a total of 13,109 penalty point endorsements were given to drivers of vehicles with defective brakes, tyres, steering, or other problems — a rise of 4,495 from last year.

Defective tyres remain the main reason drivers received points. However, defective brakes saw the largest year-on-year rise. In 2024, the number of drivers receiving penalty points for defective brakes was 1,190 — an increase of 181 from 2023, rising more than six-fold.

Additionally, RAC data highlights the regions of the UK that saw the biggest increases in penalty points for unroadworthy vehicles:

• East Midlands: 87% increase on previous year

• Central Scotland: 50% increase on previous year

Overall, of all UK locations for which data is available, RAC’s analysis found that more drivers in Greater London received penalty points for using unroadworthy vehicles than in any other part of the country.

Check out our driver factsheets (Opens in new window) to find out how you can make the most of your tyresdownload (pdf( (Opens in new window)download (pdf( and look after your vehicle.

The Driver and Vehicle Standards Agency (Opens in new window) is expanding the theory test questions to include enhanced CPR content and questions regarding automated external defibrillators (AEDs).

This change aims to address the UK’s low cardiac arrest survival rates by making sure more people know how to respond to emergencies.

Data from the Resuscitation council UK shows more than 40,000 out of hospital cardiac arrest occur each year, but currently fewer than 1 in 10 people survive. However, when CPR is given, and an AED is used within 3-5 minutes of collapse, survival rates can reach 70%.

Every minute without CPR or defibrillation reduces the chance of survival by up to 10%, making immediate bystander intervention crucial when waiting for emergency services.