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The Impact of Brexit on the Fleet Motor Industry
27 December 2018
On Friday 29 March 2019, Britain will have completed its transition to leave the European Union. While many campaigners have pre-empted the outcomes of this political decision, many are still left unsure of its impact on many industries across the UK. From the outset, there is a common expectation among fleet-lovers that there will be a very short-term decline in sales for finance brokers and dealers. However, this is expected to dissipate within a few years post-Brexit.
A recent poll conducted by Paragon quizzed individuals on how they thought Brexit would impact on the motor market financially. The results showed that 52% said that it depended on the agreed deal, 19% said no change from their current standings, 17% said it would incur a negative impact and 12% were unsure on the outcome.
To prepare for the end of negotiations, fleet managers should be accepting the fact that budgets set last autumn may well no longer be achievable, unless actions are taken quickly, as costs are likely to rise in the short term. Now might be an ideal time to start considering options for the future. Allowing flexibility with your fleet would be beneficial, as between 3-18-month leases don’t tie you into a long-term commitment, while making your life that little bit easier in a stressful period.
While costs are high, isn’t this the perfect time to look at reducing these before the big day? Introducing telematics systems are a perfect way of gaining control on mileage claims from your fleet drivers. On average, utilising telematics systems can increase your miles per gallon (mpg) by up to 10%, which can encourage gentle driving rather than aggressive braking and accelerating.
To help clear the cloud of stress, Marshall Leasing’s MarshallMatics telematics technology has shown a proven correlation between driver behaviour and the likelihood of accidents. This can seriously impact the amount you pay for future insurance. MarshallMatics’ Driver Score enables fleet operators to monitor driving patterns and take remedial action to curtail negative behaviours and lower potential risks, reduce maintenance costs and improve operational performance.
To find more about our telematics systems, please visit our decided website section here.
From us all at Marshall Leasing, we want to wish you a Happy New Year in advance! Look forward to seeing you again in 2019.
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