MANY businesses would rather pay London’s daily £12.50 low emission charge than seek to renew their van fleets.

Northgate, the UK’s largest van rental company, said that upgrading an entire fleet, which on average counts 11 vehicles, is not always a viable or economical option.

New technologies, such as electric vans are deemed unaffordable, or incapable of meeting businesses’ needs in terms of range and battery life.

London’s new Ultra Low Emission Zone (ULEZ) was launched six weeks ago, and Northgate’s research shows that almost a quarter (23%) of those that reported having paid the charges did not know that they can avoid payment with vans that meet the Euro 6 emission standards.

Not only does this spell bad news for the environmental efforts of the UK’s capital, but the lack of awareness of the latest regulations can also negatively impact a businesses’ bottom line, said Northgate.

Tim Bailey, Fleet Director of Northgate Vehicle Hire, said the economic importance of vans cannot be underestimated, and businesses must be clear on how to remain compliant in the changing landscape.

He added: “By making the switch from outright ownership to rental, businesses can acquire compliant vehicles quickly, reduce their environmental footprint and avoid paying charges altogether.

“While we fully support efforts to reduce emissions, the lack of general awareness about these schemes is a real cause for concern. “We believe that many UK businesses will assume that paying the ULEZ charge is inevitable, rather than look to find ways to become compliant.

“It is crucial that we help businesses to keep moving forwards and communicate clearly how ULEZ and similar initiatives will impact them. Renting enables businesses to invest in their growth rather than their assets and focus on their core operations with minimal disruption.”

Transport for London (TfL) has introduced a new vehicle scrappage scheme to help micro-businesses – those with fewer than 10 employees – to update their vehicles to cleaner models. I

Northgate confirmed that it will be supporting the scheme by offering a discount on 12 months+ van hires.

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