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Tusker is an expert in the provision of salary sacrifice cars — an arrangement in which employees sacrifice part of their gross salary for the benefit of a leased vehicle provided by their employer.
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The fastest-growing funding method in the UK, a salary sacrifice employee benefit plan has been rolled to employees of Danske Bank UK, the largest bank in Northern Ireland.
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Changes to Australia’s tax laws exempting EVs from the fringe benefits tax most likely will mean a boom for the novated leasing industry and increased employee interest in salary sacrifice arrangements involving EVs.
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Salary sacrifice works as a financial tool for fleets thanks to the low benefit in kind taxation on zero-emission electric vehicles.
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Salary sacrifice schemes are one of the fastest growing sectors in the fleet market. Assisted by the UK’s ultra-low benefit in kind taxation policies for zero-emission electric vehicles, employees give up part of their salary in return for a fully provisioned car.
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The launch of the Novuna brand - one of the top 10 leasing companies in the UK - comes with a commitment to decarbonize its car and small van fleet by 2030.
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Vehicles from the VW Group are the most in demand. With more than 150% growth in the past year for the Group, the Audi Q4 e-tron knocked the Tesla Model 3 from top spot.
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Nissan will provide 500 of its electric Nissan LEAF model to NHS Fleet Solutions, which is operated by regional provider of national healthcare, Northumbria Healthcare NHS Foundation Trust, will enable public sector staff to benefit from zero emission cars and very low rates of benefit in kind taxation under the deal, currently 1%
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Novated leasing has primarily been contained to Australia due to a tax situation, but these leases provide three other specific benefits that could allow them to work in the U.S.
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I can envision internal and external political and economic pressures that could prompt the U.S. fleet market to migrate to a European fleet business model offering company-provided vehicles as a form of compensation.
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