Fleet Decisions.

Global warming is fast becoming the hot topic on the business agenda. First we had Kyoto. Then we had the Climate Change Levy implemented in April 2001. And now, fleet managers are bracing themselves for the impact of the Chancellor’s benefit-in-kind tax on company cars, due to come into force in April 2002.

From an environmental perspective, the new taxes make sense – the less emissions your car produces, the less you pay. So the obvious answer is for fleet managers to scale down their fleet size, choose smaller, more fuel efficient vehicles, and opt for diesel instead of petrol.

But going green isn’t so easy – especially for if you drive 18,000 miles a year. Firstly, you will lose your high-mileage tax breaks. Secondly, the further you have to drive, the bigger the car you need – and the bigger the car you drive, the more you get taxed. It’s a vicious circle.

The choice is stark: sacrifice speed and comfort for clean air and lower taxes; or stick with your gas-guzzler and pay the price of making that meeting on time without crumpling your suit.