Skip to Main Content (Press Enter)
How can we help you?

Fleet industry news round up December

31st December 2025

Industry Wrap-up

As we wrap up the first year of our Fleet Industry News Round Up, this article will explore some of the upcoming changes across the industry, including rising insurance premiums, tyre safety when returning to work, cross-pavement charging, and the new pence per mile tax for Electric Vehicles (EVs).  Fleets are now being invited to share their opinions in the Government's new consulation on the introduction of the new electric vehicle excise duty, and driver experiences are need to help shape the future of fair acess to home charging. Finally, we go on to list key dates within the industry, highlighting major policy changes to take place throughout 2026.

To reflect back on our previous Fleet Industry News Round Up articles, click here.

Drivers without driveways are invited to share their experience of accessing affordable home charging.

The Electric Vehicle Association England (EVA England) launched a national survey on cross-pavement charging to capture the real-world experiences of drivers without access to off-street parking and to help shape the next phase of their delivery on fair access to home charging. Additionally, the survey aims to help tackle the growing ‘charging divide’, cost and access gap between drivers who can charge at home and those who rely solely on public charging.

Baroness Pidgeon secured two key government commitments during the passage of the Planning and Infrastructure Bill in the House of Lords, which became law last week.

These commitments include a formal consultation on extending permitted developing rights to cross-pavement charging solutions, and a commitment for Ministers to write to all local authorities urging them to use their own highways contractor to install these technologies- which helps to reduce both costs and delays for residents. Alongside this, the Government has launched a £25m cross-pavement charging fund, increasing the number of authorities willing to trial these technologies and further reducing installation costs.

The survey is open to drivers who do not have access to off-street parking, drivers who currently rely on public charging, and residents who have installed – or attempted to install – a cross-pavement solution. Responses will be used to inform EVA England’s ongoing policy work and engagement with the Government, local authorities and industry.

You can find the survey here.

Drivers are being urged to check their tyres before heading back to work after the festive holidays, due to thousands of tyre breakdowns from the previous holiday season.

Between boxing day and January 6, last year, AA patrols attended to over 14,000 tyre related breakdowns, many of which could have been prevented by conducting a few simple checks over the holidays.

The AA are also reminding drivers that even if they don’t plan to use their vehicle, that a noticeable drop in tyre pressure while the vehicle is parked should not be ignored.

A slow puncture or damaged tyre could fail without warning when the car is suddenly needed.

After Christmas, tyre pressure can drop or they can develop cracks, particularly if the outside temperature drops. A five-minute check could prevent a blow out or a costly callout.

AA also advises that the locking wheel nut key is to be kept in a safe place in the vheilc not at home, as they regularly attend jobs where the key has been misplaced, which leads to delays and in some cases costly removals of the security bolts.

In conclusion, it is strongly recommended for drivers to ACT and check the tyres Air pressure, condition and tread, as TyreSafe estimates more than 6 million tyres in the UK have illegal tread each year, putting millions of drivers at risk

We have a library of useful driver factsheets (Opens in new window) that can provide information on how to conduct tyre checksdownload (pdf( (Opens in new window)download (pdf(, tyre safetydownload (pdf( (Opens in new window)download (pdf( and how to get the most from your tyres.download (pdf( (Opens in new window)download (pdf(

As inflation continues to build, despite a reduction in pricing, motor insurance premiums are expected to rise.

The increase will add an average £15 per policy, partly reversing the 10% fall expected in 2025, which would save £54 on average per vehicle.

UK motor insurers are expected to breakeven in 2025 and move into losses in 2026 as claims inflation rises and premiums fluctuate. This  weakening outlook for insurance for 2026 is driven by continued claims inflation, higher repair costs linked to increasingly complex vehicle technology, and falling premiums as insurers cut rates to stay competitive.  Additionally, the market is expected to post a net combined (NCR) ratio of 101% in 2025 before deteriorating to 111% in 2026. This means that  your insurance will pay out £1.11 in claims and expenses for every £1 collected in premiums, compared to 97 pence  in 2024.

 

With the Government launching a consultation on a new pence-per-mile tax on electric vehicles (EVs), the Association of Fleet Professionals (AFP) is urging fleets to get involved. (Opens in new window)

The plan to introduce the new electric vehicle excise duty (eVED) were announced in last month’s Autumn Budget. (Opens in new window)  While Chancellor Rachel Reeves announced that fuel duty will remain frozen until September 2026, she also confirmed that zero-emission cars will attract a new charge of 3 pence per mile (ppm), in addition to existing road taxes from April 2028. Additionally, PHEVs will be hit with new taxes, being charged at 1.5 ppm, with both pence per mile rates increasing annually with CPI, and other vehicle types, such as vans, buses, motorcycles, coaches and HGVs, will be out of scope of eVED when it is introduced.

The AFP says it is “essential” fleets highlight potential problems with the scheme through the consultation (Opens in new window) before it is implemented.

The initial public reception to the idea of pence-per-mile payments has not been positive and there is the possibility that eVED could become a potential barrier to EV adoption.

The Government has published the consultation which provides further detail on how eVED will work (Opens in new window) and where fleets can have their say.

To keep on top of the changes taking place within the industry for the year ahead, we have provided some key dates and the list of legislative changes that will be due to take place, please see the below:

1st January 2026

  • Changes to FCA rules
  • Congestion Charge exemption changes to take effect

31st March 2026

  • End of 100% first year capital allowance changes
  • End of government employer grants for onsite charging

 April 2026

  • Mandatory payrolling of benefits
  • Incremental increases in BIK
  • Vehicle Excise Duty (VED) and Expensive Car Tax
  • End of VED exemptions for electric vehicles 

6th October 2026

  • Changes to Employee Car Ownership Schemes

We look forward to updating you on the developments within the fleet industry for the year ahead.