Whole Life Cost
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Whole Life Cost is a smarter way of selecting vehicles for your fleet which takes into account all the costs associated with running a vehicle, not just the monthly lease payment.

How will it help your business?

Adopting Whole Life Cost reduces your overall fleet costs by helping you select vehicles with better fuel consumption and lower tax and National Insurance levels.

Why Fleet Alliance?
  • Fleet Alliance understands Whole Life Cost and has helped clients achieve savings using this approach for many years.
  • The systems Fleet Alliance has developed makes the adoption of Whole Life Cost simple and straight forward.
  • To help you see the benefits we can provide examples of savings based on the current vehicles on your fleet or a vehicle you are considering.
To show the importance of Whole Life Cost and the savings that can be made, we compared two typical fleet vehicles over a three year contract hire agreement.

Despite the BMW having a higher monthly rental than the Volvo, its lower CO2 output means it's cheaper to operate over the lifetime of the contract by over £2,700.

Multiplied across a typical 50 vehicle fleet, the vehicle with the higher monthly rental would actually save you more than £135,000 over the duration of the contract.

  Volvo S40 BMW 320d
Combined Mile Per Gallon 37.2 68.9
Co2 g/km 176 109
Monthly rental* £384 £410
Total rental cost* £14,873 £15,935
Total fuel cost * £7,249 £3,919
Insurance* £2,100 £2,100.00
National insurance £2,145 £1,357
Tax on Lease Rental Restriction* £497 £0
Whole life cost - over contract £19,489 £16,785
Whole life cost - per month £541 £466

* * Monthly rental includes maintenance. Total rental cost includes disallowable VAT. Total fuel cost based on combined MPG. Insurance assumes an average yearly cost of £700. Vehicles compared: Volvo S40 Saloon 2.0 SE Lux 4dr and BWM 320d Efficient Dynamics.