So what is the leading mid-sized estate to lease in the UK? Do customers, personal or business still want them?
It is true that the SUV market, particularly in the contract hire and leasing world, has taken many customers away from estate/tourer-type vehicles into the crossover and 4×4 style vehicles – the preference of a higher driving position, aesthetics and practicality sways most families into these cars. However, there are still some drivers who prefer the comforts of an estate vehicle, particularly for any company car drivers covering higher-mileages.
An estate vehicle is often more comfortable, produces less CO2 and higher combined MPG. Additionally, not everyone wants to join the SUV-revolution!
The Volvo brand is very much experiencing a resurgence/renaissance as its safety-focused product delivers practical driving and classic style.
Add to that the fact that Volvo have been incredibly proactive under the WLTP changes plus their move towards electric solutions and you have a manufacturer that is becoming a key part of the UK’s automotive economy.
Some of their latest Plug-In Hybrid Electric Vehicle (PHEV) solutions, in the form of the petrol/lithium-ion T8 engines, are turning many out of the normal prestige manufacturer customers into the Volvo (i.e. BMW, Audi and Mercedes customers).
It is no surprise that the car rental companies are using these vehicles, as they offer a great option to their rental customers.
So do CarLease UK and Enterprise offer the same product? Absolutely not. Enterprise are on site to offer a daily/weekly/monthly car solution to personal and business customers. Their ethos is not to provide a long-term rental style agreement like our business. For companies with a short-term project or an employee on a probationary period, car rental would be a far more practical (albeit expensive) way in which they can manage their fleet. With contract hire, the shortest term is often 2 years and clearly this is not suitable for every circumstance. In terms of the rental v contract hire debate, this is very much a situational decision and will often depend on what the company is trying to achieve. For long-term solutions, contract hire is better way to be certain of costs (but without nay flexibility) whereas for short-term or more volatile situations, car rental will be better (but more expensive per month).
So which finance product is best for my business? Our first piece of advice is to speak with your accountant who will help you to understand the corporate and personal tax implications of any automatic finance decision you make. For all limited companies, sole traders and partnerships, there are number of usership and ownership style products you can pursue and, depending on your financial position, each will offer certain advantages and disadvantages.
There is no “right” answer nor is any one product always going to provide the answer.
So why is business leasing so popular? What we mean here is a product called contract hire and this is a product which allows a company to run a vehicle for a predetermined length of time (2, 3 or 4 years) based on a set mileage (between 5,000 and 50,000 per annum) and on any make or model of vehicle (car or van). Some of the tax benefits have helped customers make the decision to transfer across to leasing, as any car emitting 110g/km or less is 100% allowable to corporation tax and 85% if it emits 111g/km or more. With up to 50% of the VAT reclaimable on the finance rentals for cars and 100% on any maintenance aspects, this can be a very tax efficient product.
However, the reason for going across to leasing is probably a little bit more cultural than that.
In terms of the car shown here, the Volvo V60 DIESEL SPORTSWAGON 2.0 D4  R DESIGN Pro 5dr (Manual), this is based on the following configuration:
· Denim blue metallic paint
· Contour sports seats with nappa leather/cloth – Charcoal/graphite open grid
· 19″ 5 Triple spoke diamond cut alloy wheels
As standard the car includes front park assist, auto dimming interior mirror, front park assist, rear park assist, sensus connect high with 170W speaker system, winter pack (with head up display), 2 zone climate control, 19” alloys, dark tinted windows, rain sensor with automatic windscreen wipers, hill start assist, power parking brake with auto hold function, stability and traction control with engine drag control and corner traction control, vehicle deceleration control,, Bluetooth, Volvo on call, oncoming lane mitigation, heated front windscreen, 12.3” active driver’s display, 9” centre console, sensus navigation, colour coordinated auto folding and heater power door mirrors, DAB digital radio, dual integrated exhaust pipes, navigation with European mapping, body coloured mirrors, R Design tread plates, roof spoiler, active bending headlights, adaptive brake lights, home safe and approach lighting, contour leather and textile upholstery, heated steering wheel, sports pedals, city safety with steering support, first aid kit, road sign information display, warning triangle, WHIPS, key integrated remote central locking, keyless drive and lumbar support. In terms of additional factory options, consider smartphone integrations, power glass tilt and slide sunroof and the tempa spare wheel.
Moving forwards, the MY20 Volvo V60 will see a couple of small changes to the specification. There will now be:
· Momentum plus – the base model will offer 18” alloys, leather face upholstery, lane keeping aid, 12” driver display, automatic LED headlights;
· R Design Plus – add the 18” 5-double spoke alloys, contour seats, lowered sports chassis and dual integrated tail pipes, leather steering wheel, LED fog lights, active bending lights, high gloss black surrounds, gearshift paddles, dark tinted windows, head up display and keyless driver (including handsfree tailgate) ;
· Inscription Plus – adds 18” 10 multi spoke alloys, colour coordinated covers, front and rear tread plates, nappa soft leather and ventilated upholstery, power adjustable driver seat and power passenger seats with memory; and
· Polestar Engineered – the “top” model will offer 19” alloys, polestar exhaust, harmon kardon sound system, sports floor mats, tailored instrument panel, charge cable bag.
On the technical-side, company car and business users can note the P11d at £39,050.00 and CO2 at 122g/km. The 1969CC 6 speed manual diesel engine delivers 61.8 combined MPG (EC), 47.9 (WLTP), 190ps and 0-62 times of 7.9 seconds. Service intervals on a diesel Volvo are every 12 months or 18,000 miles whichever lands sooner.
Find the webs best lease deals on the Volvo V60 @CarLease UK or check out more estate car reviews below…