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Post by johnc on Jan 20, 2023 15:22:04 GMT
I have had a few enquiries recently about the tax benefits of the new Range Rover Sport plug in hybrid. In 440e form it is pretty rapid, costs c £85/£90K and has a benefit in kind percentage of 5% due to its 72 mile electric range. For a 40% taxpayer that would cost them £1,700 and for a basic rate taxpayer, £850. Your company or business also gets full relief on the leasing payments. Not too many brain cells required to work out that is a winner unless leasing costs get ridiculous!
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Post by Alex on Jan 21, 2023 12:16:51 GMT
Why do you think I opted to order an Octavia PHEV for my next car (when it finally arrives). My monthly company car tax will drop from just under £200 to around £60 despite the fact that I'll probably not plug it in that often so will be lucky if I see much more than 45mpg in normal driving. I suspect that RR Sport won't do much more than 30 when not running on the battery.
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Post by racingteatray on Jan 21, 2023 16:07:51 GMT
I am quite envious of our many friends who now have large luxurious hybrids or EVs provided by their employers for, comparatively speaking, peanuts.
They tend to wax lyrical about them, saying “oh you must get one too”, forgetting completely that if you have to buy one as a private customer, they cost an absolute fortune.
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Post by Martin on Jan 21, 2023 16:57:43 GMT
If it’s a company car as a perk rather than one needed for their job, then it will be part of their total package, without it their salary should be higher. It’s also pretty likely they could have a cash alternative if they didn’t take a company car. So while the cost is (currently) lower than buying one privately and a lot less than a petrol/diesel, I t’s not as cheap as some people think ie they just look at the BIK tax.
If it’s a salary sacrifice scheme then that can work out well for an EV, but the lease costs are higher than you could get yourself, so it’s not quite the 40-50% saving you expect. Lindsay has a scheme and my employer is starting one in April, so it might make sense for us but there isn’t much that interests me.
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Post by racingteatray on Jan 23, 2023 23:36:22 GMT
My wife has access to one of those salary sacrifice schemes from her employer but I couldn’t quite see the appeal - it seemed to cost a fortune for anything other than the most drearily white goods EVs.
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Post by johnc on Jan 24, 2023 10:39:28 GMT
My wife has access to one of those salary sacrifice schemes from her employer but I couldn’t quite see the appeal - it seemed to cost a fortune for anything other than the most drearily white goods EVs. The issue with the salary sacrifice schemes is that the leasing companies the employers use charge right at the top of the scale. These schemes are only worthwhile for EV's and those hybrids with at least 40 miles EV range. |
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Post by Bob Sacamano v2.0 on Jan 24, 2023 11:37:11 GMT
Why do you think I opted to order an Octavia PHEV for my next car (when it finally arrives). My monthly company car tax will drop from just under £200 to around £60 despite the fact that I'll probably not plug it in that often so will be lucky if I see much more than 45mpg in normal driving. I suspect that RR Sport won't do much more than 30 when not running on the battery. To be honest that really pisses me off. There should be some software that records if a PHEV is plugged in and the tax benefits rescinded if it's not (not having a go at you, of course). |
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Post by Big Blue on Jan 24, 2023 11:59:29 GMT
The MyBMW app counts all my electrical charges, meaning even if I didn’t have the app the car has the ability to send that information somewhere else. I am also bemused why all the PHEVs I see dropping kids off at school / drama school / guides / whatever else are all running on ICE when the journey they’ve done is under 2 miles.
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Post by Roadrunner on Jan 24, 2023 12:01:43 GMT
My previous employer stopped providing PHEVs because they were proving so expensive to run. They were rarely plugged in and drank fuel. This was how I managed to swerve a Mitsubishi Outlander and have the A4 instead. That did cost me hundreds more in tax each month, though.
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Post by johnc on Jan 24, 2023 13:41:45 GMT
One of my clients, for whom I did all sorts of calculations for 4 different car scenarios decided that he was going to lease the Range Rover Sport P4403 Dynamic SE. The best price he found was around £850+ VAT/mth for 3 years with 6 months up front. He has just come back to me to say he isn't doing it!
Apparently the leasing company told him delivery would be between 9 and 12 mths (in itself, not a problem) but JLR would not guarantee the price until the vehicle is delivered. He asked if that meant if they increased the list price by 3 or 4%, the lease would increase by this amount (again not an issue). He was told it might not mean that - it might mean that the discount the leasing company is currently getting might not be maintained so the prices might go up a good bit more.
This client doesn't jump in to things and had already surveyed most of the leasing providers, some of whom were quoting c£1,400 + VAT for this car. When pushed, the lady at the leasing company he was going to place a deal with, confirmed that whilst she didn't have a crystal ball it was conceivable that the lease cost could increase to this level if JLR withdrew their discount.
He's not best pleased and is now away to look at Volvos.
I can't think of many clients who would pay out over £18,500 a year to lease a car.
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Post by Alex on Jan 24, 2023 13:45:50 GMT
It makes no sense for me to plug in as I have a fuel card which I'm also taxed on so why pay twice. Plus I don't have a proper external charger so I'd have to run an extension out the kitchen window. I might give it a go when I'm at home in the summer months as we produce enough power from our solar panels to cover it but from a standard 3 pin socket it'll take a while. I can also plug it in at the office so I'll do that if there's a space free.
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Post by bryan on Jan 24, 2023 19:23:20 GMT
I plug my company phev in every night and all local journey upto 30mile round trip are on the leccy
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Post by ChrisM on Jan 24, 2023 21:21:50 GMT
I hope I never have to have a leccy car in my lifetime - not unless there is a dramatic improvement in range, number of places where charging can be accomplished, reliability and availability of chargers, time to charge and the driving experience.
Petrol/ diesel engines are what gives a car its soul and major part of its character. Sticking a washing machine motor under the bonnet (or wherever) turns them into automotive white goods IMHO
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Post by LandieMark on Jan 24, 2023 22:08:45 GMT
I don't agree with that. I don't want an electric vehicle at the moment, but never say never.
An electric car would suit Lindsey down to the ground. It would spend most of its time plugged in at home and only go to town and back, so no range anxiety.
Not being rude, but all the cars you bemoan the demise of are what I would call automotive white goods.
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Post by Big Blue on Jan 24, 2023 22:39:34 GMT
A friend has the Mercedes E300de (I think that’s it) as his current steed. He charges it up at work and “drives like a granny” to and from to use no ICE at all. Another friend collects his EV6 this week - he will also charge at work. For his fleet of delivery vehicles he has the fuel truck come to the factory and fill them all up every day to stop the drivers trying to claim for snacks on their petrol receipts.
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Post by Martin on Jan 24, 2023 23:53:08 GMT
I don't agree with that. I don't want an electric vehicle at the moment, but never say never. An electric car would suit Lindsey down to the ground. It would spend most of its time plugged in at home and only go to town and back, so no range anxiety. Not being rude, but all the cars you bemoan the demise of are what I would call automotive white goods. I agree with never say never. I think an EV would make an ideal 3rd car for Lindsay. He office is a couple of miles away (she used to cycle before needing to do a nursery drop off) and all the toddler related activities are well within the range of even a small EV. It would have to be a reasonable lease deal through salary sacrifice though otherwise she might as well keep the Golf for a few more years. |
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Post by racingteatray on Jan 25, 2023 16:06:05 GMT
We’d happily have a hybrid or EV for pootling around the capital in. They are just too pricey. A friend of ours has the 4dr Smart which Mrs RT said polite things about until we were out of earshot and then declared it hideous. I like the Honda e - she does not. She likes the Fiat 500e but finds it stupidly pricey, and I, having sat in one, found it uncomfortable. We already have one Mini. The Zoe is out because she’s seen the crash test results. And things like Corsas are dismissed as “rental cars”.
Sigh.
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Post by johnc on Jan 26, 2023 8:42:24 GMT
You could always do the Volvo rental where you can cancel at any time - if you need it over the winter you could rent it for 4 or 5 months and then give it back. Not exactly cheap but probably less expensive than the depreciation and periods of non use if you bought one. I am fearful that we will all be forced in to some kind of rental arrangement and buying will no longer be an option once EVs take over the world!
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