Car policies becoming more varied

COMPANY CARS

Car policies becoming more varied

Changes to the company car tax regime coupled with a desire to reduce the costs of running a fleet have resulted in more varied and flexible company car policies, according to new research by Incomes Data Services.

IDS found that there is now a wider range of fleet financing options available, many of which have been designed to free the capital tied up in a company-owned fleet and remove the administrative burden.

"A growing number of organisations are giving eligible employees the opportunity to take a cash alternative to a company car," says IDS. "However, the popularity of this facility varies greatly among employees, with some finding it tax-advantageous not to take the car, while others prefer the hassle-free driving associated with a company car."

What you will find in this IDS research

This 37-page report is divided into four main sections:

Company car policies Covers allocation policies for "job need' and "status" cars, cash alternatives and the taxation of company cars.

Employee car ownership schemes Looks at the introduction of employee car ownership schemes as an alternative to company cars Includes two company case studies.

Business travel Includes mileage rates paid for business use of company and private cars. Considers corporate policies on rail and air travel and guidelines for overnight accommodation and meals when employees are away on business.

Company practice Provides details of the company car and business travel policies in 25 named organisations.

Want to know more?

Title: "Company cars & business travel", IDS HR Studies 772, April 2004, Incomes Data Services.

Availability: Contact customer services at IDS in London, tel: 020 7324 2599, or email: sales@incomesdata.co.uk.

Incomes Data Services is an independent research organisation providing information and analysis on pay and conditions, pensions, employment law and personnel policy and practice in the UK and the rest of Europe. Find out more at www.incomesdata.co.uk

Posted 21 June 2004