FLEET Alliance is energising the business car and fleet market with a record 81% of new orders being electric or hybrid in the first half of the year.
The Glasgow-based fleet management and leasing broker said that In the first six months of 2025, its new vehicle orders were:
- 45% battery electric vehicles
- 36% hybrids.
This, said Fleet Alliance, was the highest market share for both model types to date with the current order pipeline exceeding these figures.
Business contract hire is most popular for EVs
Business customers were predominantly choosing contract hire as the most popular funding method for acquiring electric cars with 70% of all EVs funded in this way.
Salary sacrifice continued to grow in popularity, accounting for 29% of all EVs ordered in the last six months, with just 1% on personal contract hire.
The results are ahead of national figures, with SMMT statistics showing that there have been 254,666 EVs sold so far this year in the UK, a 31% rise on the same period last year, while sales of PHEVs are also up by 31.5% to 124,528 units.
“We are actually outpacing national trends, as we continue to see record orders of BEVs and hybrids,” said Fleet Alliance CEO, Andy Bruce.
“As companies look to reinforce their ESG agendas, the electrification movement continues to gather pace helped by advantageous tax breaks, with a current rate of company car tax of just 5% by 2027/8. That’s a huge financial incentive for would-be company car buyers as well as providing certainty about future tax levels.”
Polestar challenges Tesla for top EV
Tesla’s top spot as most popular EV is increasingly under threat from Polestar according to Fleet Alliance.
The Polestar 4 landed second place in the half yearly figures, with the Polestar 2, also featuring in the Fleet Alliance top 10 in eighth.
The Tesla Model Y claimed top spot with the Model 3 in third place despite falling sales across Europe and criticism of the US manufacturer’s attitude towards fleet operators in the UK.
Chinese brands are also making their presence felt with BYD Seal in sixth place.
Top 10 EVs Jan-Jun 2025
1 Tesla Model Y
2 Polestar 4
3 Tesla Model 3
4 BMW i4
5 Volkswagen ID. 7
6 BYD Seal
7 Mercedes-Benz EQA
8 Polestar 2
9 Porsche Macan
10 Mercedes-Benz EQB
Source: Fleet Alliance
Plug-in hybrids and petrol-electric hybrids, also figure prominently in the most popular vehicles with Fleet Alliance customers, with the Volkswagen Tiguan eHybrid topping the top 10 hybrid sales charts.
Top 10 hybrids Jan-Jun 2025
1 Volkswagen Tiguan
2 BMW 3-Series
3 Volvo XC90
4 Cupra Formentor
5 Hyundai Tucson
6 Kia Sportage
7 Volvo XC60
8 Renault Symbioz
9 Toyota Corolla
10 Mercedes-Benz GLC
Source: Fleet Alliance
The wide choice available was a factor in the rise of more environmentally friendly motoring, said Andy Bruce.
“As you can see from our top 10 sales charts, there are now electric cars and hybrids to meet all tastes and budgets.
“And the switch to electric looks set to be given a further boost by the newly announced Electric Car Grant (ECG), with grants from £1,500 to £3,750 off the cost of any new electric car with an initial list price of up to £37,000.
“This will, we believe, enhance the popularity of EVs still further within the business sector.
“Given the wide choice available, we believe there has never been a better time for organisations to offer their staff the opportunity to take advantage of the benefits that exist on electric cars, be that through business contract hire or salary sacrifice. Our forward order banks clearly prove that this is the case,” he added.
Following its recent acquisition, Fleet Alliance has become part of the Global Vehicle Group, the biggest B2B group in the sector with annual volumes of around 18,000 units and an aggregate fleet size in excess of 70,000 vehicles.
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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.
