Company car and mileage policies
A review of how drivers are rewarded and reimbursed can significantly change driver behaviour and decisions on vehicle purchases and how to travel.
Company and business use vehicles
Offer incentives for smaller engine sizes and the opportunity to receive cash rather than a vehicle. Employers should be making basic checks of driving licences, MOTs and insurance documents.
Mileage allowances
Consider only paying car mileage where business journeys could not realistically be made by any other means.
Restructuring mileage allowances carefully can favour smaller engine sizes and encourage other transport choices. For example, you could offer comparable mileage rates for walking and cycling.
Adjustments to mileage allowances need to be considered against the rules governing taxable benefits:
