15th July 2016

App-based telematics can alleviate the UK’s grey fleet crisis

The ’Getting.to Grips with Grey Fleet’ report from the BVRLA and the Energy Saving Trust estimates that the UK’s public sector is responsible for almost 450,000 tonnes of CO2 emissions and accounts for 1.5 billion grey fleet miles at a cost of £768 million, 74% of which is generated by NHS Trusts and local authorities. The private sector’s grey fleet footprint is even more alarming at up to 3.2 million tonnes of CO2 and 11 billion miles, costing around £5 billion.

Solutions proposed in the report including car leasing for vehicles covering over 10,000 miles per annum with an overall saving of £0.05/mile, daily vehicle rental with an estimated saving of £0.33/mile and a 22% reduction in CO2 emissions for journeys over 55 miles, car clubs with 42% lower CO2 emissions achieved on average compared to grey fleet, and salary sacrifice schemes.

With larger organisations typically slower to react and with the need to tackle grey fleet issues urgently, leading telematics company Trak Global welcomes the report’s inclusion of Mileage Management as a suggested solution.

“Urging public and private sector fleets to halve grey fleet mileage and associated costs by 2020 presents a significant challenge along with a clear opportunity for organisations to experience the benefits of app-based telematics”, comments [name], Fleet Relations Director at Trak Global.

“With the report conceding that grey fleet is hard to manage, with an average vehicle age of 8.2 years, low depreciation and a typical fuel cost per mile of £0.15 giving owner-drivers ample opportunity to claim inflated mileages, Appy Fleet can quickly help organisations to address the financial, environmental and safety impacts of employee-owned vehicles that will remain part of their fleet for the foreseeable future for whatever reason”, he adds.

Appy Fleet combines the best features of traditional, hardware-based fleet telematics with the latest smartphone app technology, enabling organisations to track their grey fleet simply. With no setup fees and for a low monthly cost of just £4 per vehicle, Appy Fleet encourages safer and more economical driving, saving 5-20% of typical fuel bills whilst reducing CO2 emissions. Tracking personnel whilst driving grey fleet vehicles on business means that mileage claims can no longer be innocently rounded-up or fraudulently inflated, improving profitability. The inclusion of ‘Private Mode’ also annuls privacy concerns that have traditionally made some fleet managers reluctant to introduce telematics.

With Lex Autolease’s 2015 Report on Company Motoring identifying that there are in excess of 14 million private grey fleet vehicles on UK roads, 12% of fleet managers surveyed saying they are very likely to introduce in-vehicle telematics by 2017 and 16% of employees saying they are quite happy for telematics to be mandatorily introduced, Appy Fleet is the most cost-effective and easy-to-implement telematics system available.

Parent company Trak Global welcomes the BVRLA and EST’s report and is committed to continuing to develop solutions resulting in improved financial accuracy and savings, driver safety and environmental benefits.

ENDS

Notes to editors

Based in Crewe, Cheshire, and using telematics technology designed and manufactured in the UK, Trak Global operates in a growing number of countries. Having supplied its telematics solutions across Europe, the company now has Type Approval for the supply of telecommunications equipment to the United Arab Emirates. This global expansion is set to continue through 2014 and beyond.

Trak Global has been creating results-driven telematics solutions for the insurance, rental, fleet and automotive industries since 2009. From managing risk on behalf of major insurers, to delivering award-winning customer experiences for young motorists, the company has assembled a multi-disciplinary team of experts that collaborate and blend intelligence, insight and inspiration from design to delivery, on every project. Part creativity, part science, Trak Global’s ethos is big ideas mixed with big data.

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1 http://www.bvrla.co.uk/sites/default/files/documents/bvrla_grey_fleet_final.pdf

2 https://www.lexautolease.co.uk/assets/Lex%20Autolease%20Report%20on%20Motoring%202015_Interactive.pdf