Prioritise salary sacrifice and ride the sales boom

BROKER NEWS was talking to a leasing broker recently who remarked how tough the personal leasing market was. “If you were starting out you couldn’t make it as a PCH broker now,” they said. “Unless you had very deep pockets and were prepared to wait for the return.”

On the other hand, those brokers operating in the fleet sector are finding a pleasing increase in activity as both business contract hire and, in particular, salary sacrifice take off.

Latest SMMT figures (May) show a 14% uplift in fleet registrations year-on-year, and a 60% share of the market.

Much of this success in fleet comes down to the corporate and SME demand for EVs, but also from the substantial growth in salary sacrifice.

The latest BVRLA leasing survey showed a 9% uplift in BCH and a massive 47% increase in salary sacrifice.

Such salary sacrifice demand has not gone unnoticed in the press. The FT ran a headline saying it was “easier than pensions”. Meanwhile there has been plenty of commentary as to whether salary sacrifice should be classed as a fleet or personal registration. Does it matter?

“However you want to class it, salary sacrifice is in real demand,” says Laura Muir, Head of Partnerships and AR at Fleet Alliance. “It offers a real opportunity for people to transition to an electric vehicle without the upfront costs associated with acquisition through other financial products.”

Unlock the salary sacrifice demand as an AR

Fleet Alliance has an established and successful EV salary sacrifice programme that is bringing in high levels of success. Recently Fleet Alliance was announced as a supplier of salary sacrifice to the Unity Schools Partnership.

And while this was delivered by Fleet Alliance’s fleet sales team, Appointed Representatives (ARs) are also having great success with the product.

Fleet Alliance AR Sarah Bisset, who was a finalist in the Broker News Awards in the Best Appointed Representative category, says: “I have embraced salary sacrifice over the past two years which has added to my client base and seen a growth in EV orders.”

Become a Fleet Alliance AR salary sacrifice specialist

Fleet Alliance is now looking for more leasing brokers to join as ARs to help promote its salary sacrifice programme and benefit from the undoubted increase in demand for salary sacrifice.

“If you are considering the future, it doesn’t matter whether you are an individual or a small brokerage,” says Laura Muir.

“We would like to hear from you if the salary sacrifice opportunity appeals,” she says, “especially as we have a lead generation plan that will help you to prospect new sales.”

Fleet Alliance takes care of all the compliance

As well as assistance with new leads, Fleet Alliance also takes care of all the regulatory compliance that is becoming such an integral part of broking.

As Shashi Maharaj, the BVRLA’s Legal & Membership Director, explained to brokers at the Lex Autolease Broker Conference earlier this year, leasing brokers should consider continuous, long term investment activity into their compliance procedures. He said:

“Increased regulatory scrutiny is likely, particularly on Consumer Duty & Commission Disclosure with annual board reports due from July,” adding that there was likely to be scrutiny across businesses and distribution chains.

He added that brokers would need evidence-based reporting that would require strong governance and oversight in place – “such as the BVRLA Governance programme”.

Fleet Alliance takes care of all the regulatory compliance for its ARs. In addition, ARs are provided with Account Managers at Fleet Alliance’s Glasgow HQ to take care of the backend work, allowing its ARs more time to work on consultative salary sacrifice prospecting.

Become part of the Fleet Alliance AR success story

Fleet Alliance ARs have enjoyed external recognition for the work they do, with both Sarah Bissett and Jonathan Nolan being shortlisted for the Best Appointed Representative category in the Broker News Awards, which Jonathan went on to win (pictured left receiving his award).

“I’m absolutely delighted to have won Best Appointed Representative,” commented Jonathan. “We work in a challenging industry, and I appreciate that so many other ARs also work hard to give value and great service to both their clients and principals.

“To be chosen for this award gives me the reassurance that I’m achieving what I set out to do and gives me recognition for the effort that I’ve put in over the past four years. I’m very grateful to have won.”

If you want to be part of the success story, and become a salary sacrifice specialist under the Fleet Alliance Appointed Representative programme, then now is a great time to do it.

Fleet Alliance wants to grow its business with ARs, and salary sacrifice is surging in popularity. Will you enjoy the salary sacrifice sales boom – or miss out on the opportunity?