Digital deficiencies hamper fleet emissions reduction - Alphabet report

Pictured above: Ian Turner, Chief Sales Officer for Alphabet (GB): significant work for fleets to make informed decisions

EUROPEAN fleets are drowning in data but starved of actionable insights when it comes to fleet emissions, the latest European Fleet Emission Monitor (EFEM) from Alphabet reveals. While tracking efforts are on the rise, a paltry 27% of companies can accurately quantify their fleet’s CO₂ output, highlighting a significant digital deficit hindering sustainability progress.

The survey, encompassing responses from over 740 fleet managers across 12 European nations, including the UK, paints a picture of growing frustration. Digitalisation is advancing, and sustainability sits high on corporate agendas, yet a majority of fleets remain shackled to outdated systems, overwhelmed by a deluge of information, and critically unprepared for increasingly stringent regulations. In today’s high-stakes business environment, this inertia is no longer a benign oversight – it represents a tangible business risk.

The 2025 EFEM underscores a gradual increase in emissions tracking across Europe, now at 43%, a marginal uptick of almost 1% year-on-year. However, the UK paints a starker picture, with a mere 21.4% of surveyed companies leveraging fleet management tools for CO₂ measurement. This widening chasm between data collection and meaningful application suggests that while intent may be present, many organisations are still grappling with building the necessary digital infrastructure and internal capabilities to effectively manage the burgeoning data streams.

Alarmingly, a significant proportion of European businesses – nearly 42% – still rely on rudimentary fuel-based estimates, with the UK mirroring this trend at 21.4%. Many others continue to lean on manual processes and legacy systems, severely impeding fleet managers’ ability to extract valuable insights and respond agilely to mounting regulatory and cost pressures.

The adoption of sophisticated digital tools is lagging alarmingly behind the legislative curve, with the sector exhibiting a notable reluctance to embrace artificial intelligence (AI). In the UK, a mere 4.5% of companies utilise AI for monitoring driver behaviour, and the same fraction employ advanced automation for billing and cost management. This contrasts with a similarly low European average of 0.7% and 1.8% respectively. Overall, a meagre 3.3% of all surveyed companies employ AI for fleet reporting.

No targets, no trajectory: fleets face compliance cliff edge

Following the EU Council’s adoption of the Corporate Sustainability Reporting Directive in 2023, a significant number of European companies surveyed are still navigating fleet sustainability without a compass. A mere 8.4% reported the Directive had influenced their fleet planning, a slightly higher 9.5% in the UK, where sustainability reporting isn’t yet a widespread mandate under the UK’s Sustainability Disclosure Requirements.

Interestingly, over 76% of UK companies surveyed identified sustainability as a key decision-making factor, with two-thirds of all companies confirming they have established concrete CO₂ reduction targets. For those with dedicated sustainability departments, a quarter of their time is allocated to tracking company-wide emissions, including fleet output, with almost 18% focused on carbon reduction strategies.

While this heightened awareness offers a glimmer of hope, the chasm between aspiration and execution remains a critical concern. Without clearly defined targets and robust monitoring mechanisms, companies expose themselves to escalating costs, missed incentive opportunities, and a weakening competitive position in an increasingly regulated market.

Knowledge vacuum undermines EV incentives

Despite the growing momentum towards electric vehicle adoption, a substantial 33% of UK fleet managers still report feeling uninformed or misinformed about e-mobility developments and opportunities. This highlights a concerning issue of misinformation and disinformation hindering the transition to electrification. While this figure is even higher across many other European nations, it underscores a significant knowledge gap impeding the UK’s electrification ambitions and diminishing the effectiveness of available government subsidies and incentives.

Furthermore, a third of all UK companies surveyed are unaware of available financial support schemes, and less than a quarter fully comprehend the potential benefits. This disconnect between well-intentioned policy and practical understanding necessitates stronger guidance, clearer communication, and more integrated support across the industry.

‘‘This year’s European survey underscores that while progress is being made, significant work remains to empower companies with informed decision-making and support their sustainability and emissions reporting objectives.’’

Ian Turner, Chief Sales Officer for Alphabet (GB) Tweet

Turner continued: “Data analysis forms the bedrock of this potential. Advanced vehicle connectivity, AI, and carbon reporting tools will be pivotal in fleet reporting over the next 12 to 24 months, enabling real-time data collection, analysis, and action. This will translate into enhanced efficiency, reduced costs, and improved driver safety, ultimately fostering operational and strategic resilience,” he added.

The full 2025 European Fleet Emission Monitor report can be downloaded from the news section of the Alphabet (GB) website.

Countries included in the Alphabet survey: UK, Austria, Belgium, Denmark, France, Germany, Italy, Netherlands, Poland, Spain, Sweden, Switzerland.