DESPITE problems with vehicle supply, leasing brokers overcame the odds to show growth in the broker fleet in 2022, reports the BVRLA in its bi-annual report on the leasing broker sector.
Business Contract Hire (BCH) helped brokers show growth of 0.3% balancing a gradual shift away from Personal Contract Hire (PCH, said the report.
PCH remains the dominant product for cars in the sector, accounting for 61% of the broker channel fleet. The shift in customer preference is more prevalent when looking at the new fleet additions. BCH accounts for 43% of new contracts (vs 36% of total car fleet), with almost three quarters of them being for plug-in vehicles.
There is also growth in the number of PCH contracts for plug-in vehicles, which now account for 14% of the total PCH fleet, reports the BVRLA. One-in-four cars added to the PCH fleet in 2022 were BEVs. “The slower uptake compared to BCH is largely due to the stronger tax incentives for electric company cars,” the BVRLA commented.
Leasing brokers are a vital link in the supply chain. To see the broker fleet hold steady amidst the most challenging supply conditions we have ever seen is testament to the hard work of those working across the sector. The shift towards BCH contracts is helping more drivers make the transition to cleaner, greener vehicles. While tax incentives are playing a key role, the knowledge and support provided by leasing brokers helps drivers switch with confidence.
Keaney added that with vehicle supply returning through 2023, the report highlights the vital role that brokers will continue to play across the motor finance sector.
The picture for the LCV fleet remains more challenging, with the total fleet declining 3% in 2022 on the back of severe supply challenges.
The fleet remains weighted towards BCH (66% overall), although the balance has shifted slightly with the finance lease fleet growing 1.6% while others declined or remained flat. Diesel remains the dominant fuel type for vans on the broker fleet, accounting for over 97% of vehicles. For new vehicle additions, the figure is over 94%.
The BVRLA report on the leasing broker fleet can be downloaded here.
Broker News Awards 2024 in pictures
The Broker News Awards 2024 took place at the Orrery in London’s Marylebone. Here are the pictures to remember the event
Broker of the Year 2024 winner profile: Synergy Car Leasing
Synergy Car Leasing was voted Broker of the Year 2024 by the judging panel – here’s the winner’s profile supported by Leasing.com
Broker News Awards 2024 – the winners
The Broker News Awards 2024 – supported by Fleet Procure – produced outstanding winners, with Synergy taking the Broker of the Year title
Broker News Newsletter 24 April 2024
Catch up on the latest leasing broker news in the 24 April 2024 Broker News newsletter
Leasing broker fleet down, but BCH is rising: analysis of BVRLA broker survey H2 2023
Analysis of the BVRLA leasing broker survey for H2 2023 shows the broker fleet is down, but BCH is on the rise
Novuna Vehicle Solutions and Select Lease by Mobilize add support to the Broker News Awards
Novuna Vehicle Solutions and Select Lease by Mobilize add support to the Broker News Awards 2024, which takes place in London on 25 April
Ralph Morton is the leading journalist in the leasing broker sector and editor of Broker News, the website which provides information and news for BVRLA-registered leasing brokers. He also writes extensively on the fleet and leasing market in both the UK and Europe.
