ACCORDING to recent research from Lex Autolease, taking on new company vehicles is one of the top priorities for UK SME businesses in 2015.
The twice-yearly ‘Business in Britain’ survey of 1,500 companies found that nearly half (48 percent) of all management units are intending to raise money to invest in their businesses in the first half of the year.

New company vehicles were identified as an important area of spend by eight percent of SMEs who took part in the survey. Other frequently-named priorities included new plant and equipment, overseas expansion and employee training.

Company vehicles were a particular priority for small firms in the construction sector, with 28 percent planning to invest, buy or lease a vehicle this year. In the transport sector, 20 percent of participants were planning the same.

Even though the ‘Business in Britain’ report recorded a more cautious outlook from SMEs for this year, these results do show a level of optimism. Since the previous survey in July 2014, the key confidence index has fallen by ten points to 43 percent. This is down from a record high, mainly driven by decreases in businesses’ expectations of orders and profits over the next six months.

Senior Manager, Strategic Fleet Consultancy at Lex Autolease, Andrew Hogsden, said;
“It’s significant that company cars and commercial vehicles remain on SME’s shopping lists, despite a reduction in business confidence. This signals a growing appreciation of the wider benefits of investing in vehicles, such as maintaining a professional image, reducing carbon emissions by operating a more fuel efficient vehicle  as well the many other efficiency benefits of running newer vehicles.

“As cautious optimism remains the prevailing mood of the day, we expect to see an increase in small businesses opting for vehicle leasing over outright purchase as a means of managing costs and accessing the vehicles they need to grow.”