OVL Lease Blog

Going green and increasing National Insurance – what’s the link?

29/09/2021

Going green and increasing National Insurance – what’s the link?

Earlier this month the Government announced that there would be a 1.25 % rise in certain National Insurance contributions from April 2022.

National Insurance is paid by employers, employees and self-employed workers in the UK – except for those on low incomes. 

How does this impact fleets?

An employer pays National Insurance on the Benefit In Kind (BIK*) of the driver’s car and therefore the higher the National Insurance, the more an employer will have to pay for a driver of a fleet vehicle……..however, electric vehicles, thanks to a lower BIK will command a lower NI so the price rise will in essence, be balanced out.

*BIK is a calculation based on the value of the vehicle and its emissions. 

Another compelling reason to switch fleet vehicles to alternative fuel sooner rather than later. 

Contact our team to discuss in detail and you can read more about switching to electric vehicles here.

E10 petrol: What is it and can my car run on it?

06/09/2021

E10 petrol: What is it and can my car run on it?

The introduction of E10 petrol brings with it another benefit to leasing your vehicles - because all new cars can run on E10 petrol, so you don't need to worry when pulling up to the petrol pump! However, we know some of you have older cars at home, perhaps you're buying a first car for your 17 year old (leasing is an option there too by the way) or maybe you have a classic 'weekend car' so here is an explanation of what E10 petrol is. 

What is E10 petrol?

Essentially, E10 petrol is a more eco-friendly fuel that the government intends to make the new standard petrol grade with the aim of cutting carbon dioxide emissions. It contains less carbon and more ethanol than fuels currently on sale. 

Ethanol is a type of alcohol manufactured from plants, including sugar beet and wheat.

Current petrol grades in the UK - known as E5 - contain up to 5% ethanol, with the other 95% being regular unleaded petrol. E10, will see this percentage increased to 10%.

Can every car run on E10?

Every petrol vehicle built after 2011 should accept E10 but it won't be compatible with some older vehicles and if a car is not compatible with the new fuel, it could damage the engine.

If you run an older car, you can check for compatibility via a Government website that has been set up - https://check-vehicle-compatibility-e10-petrol.service.gov.uk

Government advice is that if you're in doubt stick to E5 which will be available from most filling stations.

As mentioned, leasing a car means you're never going to be driving an old vehicle so E10 doesn't need to trouble you - why not take a look at our latest offers www.ovl.co.uk