Some of the fleet sector’s pre-eminent experts look at the upcoming 12 months and the outlook for EVs.

Association of Fleet Professionals

Paul Hollick, AFP Chair

“There’s a whole host of issues facing fleets in 2025 and here are the AFP’s thoughts on a few.

Paul Hollick, APF chair

“The current consultation over the zero emissions vehicle mandate should hopefully have a positive outcome, especially when it comes to electric and other zero emissions vans. Fleet adoption has effectively stalled and more government help is required to improve affordability, charging and regulation. The 4.25-tonne question also needs to be resolved

“For all EVs, the charging infrastructure requires huge improvements. We continue to live in a two-tier world when it comes to charging availability – those with off-road parking can usually install a charger and access low-cost electricity; those living in apartments or terraced housing usually can’t. Anyone forced to use highway charging faces exponentially higher costs.

“Fleet budgets remain under considerable pressure. Insurance premiums, for example, appear to have stabilised after huge increases but remain at historically high levels, while the cost of service, maintenance and repair has also risen. In both these areas, any improvements would be very welcome, as would more action to resolve the skills shortages that continue to affect garages and workshops.”

Bridgestone Mobility Solutions

Beverley Wise, Regional Director, Webfleet

“As we head into 2025, strong leadership from the UK government is crucial to provide fleets with the confidence needed to make informed decisions about decarbonisation and electrification.

Beverley Wise, Webfleet regional director for Bridgestone Mobility Solutions

“Clear policy direction and investment in charging infrastructure will be pivotal in accelerating EV adoption. Additionally, myths and misconceptions around electric vehicles persist, and the Government should take proactive steps to debunk these and educate the market.

“To succeed, the UK fleet sector must prioritise data integrity and invest in scalable, high-quality solutions to meet these challenges head-on.

“By doing so, businesses can unlock the full potential of emerging technologies while navigating economic pressures.

“Collaboration between technology providers, fleet managers and policymakers will be key to ensuring the sector thrives.”

Northgate UK & Ireland

Neil McCrossan, Managing Director

“Many of our customers in 2024 told us that carbon reduction was the main reason for embracing electric vehicles and we are confident this trend will continue in 2025.

Neil McCrossan, MD, Northgate UK & Ireland

“We will be seeing more operators begin trialling EVs as we support them on their electrification journey.

“Trialling vehicles is the only real way that fleets can discover whether electric vans work for them and that is not just on range and mileage to accommodate their work patterns, it’s also about having the charging infrastructure in place to support their vehicle fleet.

“Also looking forward, fleets will need to start planning for eLCVs as ICE van production declines. LCV fleets run three- to five-year replacement cycles, so people need to start planning now.

“A key area of growth in 2025 will also be the number of companies that start to embrace electric utility vehicles and e-cargo bikes as part of our micromobility rental programme.

“We have run some successful trials since launching the programme in April and have many more going live in 2025. Operators are finding them to be ideal for use in locations where the size of a traditional LCV might preclude its use as well as being easily integrated into a larger LCV rental fleet.”

Drax Electric Vehicles

Naomi Nye, Head of Sales

“As the new year gets underway, the EV industry is poised for another interesting period. From regulatory updates to technological breakthroughs, the stage is set for fleets and businesses to drive growth.

Naomi Nye, head of sales at Drax

“Organisations can seize the opportunities ahead for the electrified future with proper support and tailored solutions. There’s no one-size-fits-all to electrification and different businesses, spaces and locations have unique requirements. A shopping centre serving tens of thousands daily will need vastly different solutions than a small office-based fleet.

“Bespoke electrification strategies should recognise that understanding an organisation’s operational requirements is crucial to developing a suitable plan. Naomi emphasises that comprehensive services like vehicle selection, charging infrastructure installation, and ongoing charge management are vital to ensure UK businesses’ needs are considered and met at every step.

“The future of EVs requires tailored, end-to-end solutions that suit unique needs. This is exactly what we strive for at Drax Electric Vehicles when supporting businesses with seamless strategies and simplifying their electric journey.”

Lightfoot

Paul Hollick, Managing Director

“Decarbonisation will continue to be a big focus in 2025 – but this isn’t just confined to the switch to EVs.

Paul Hollick, managing director at Lightfoot

“Companies need to get more out of their existing ICE vehicles, especially for those fleets where there is currently no easy route to move to an EV solution (for example businesses that need to tow, ultra-rural fleets and those that cannot easily charge vehicles overnight).

“This means focusing on driver behaviour and using in-cab coaching to reward drivers for hitting key targets in economy and safety.

“I do think that staff doing more than 20,000 miles per year can make EVs work. Rural fleets are a challenge, daily range is a challenge, operational downtime on charging is a challenge… but not annual miles.

“Also, we get a massive increase in range on an EV through our real-time coaching; likewise, making sure PHEVs are charged and driven in their sweet spot can also boost range.”

Mer Fleet Services

Natasha Fry, Head of Sales

“2025 is going to see a steady acceleration in fleet transitions. People are already starting to plan for change. There’s certainly a greater awareness of the need for electricity to power the fleets, and for some that will mean a power upgrade.

Natasha Fry, head of sales

“Utilisation is the watchword for EV fleets, and that takes careful planning and design of charging systems from the ground up. Charging infrastructure configurations for fleet operators don’t start and end with the installation. It’s a continual process from the front-end to back-end. From analysing routes, traffic, driver behaviour, to designing and optimising the infrastructure through to planning for upgrades and replacing hardware as technology develops.

“The biggest development will, I believe, be in the technology. Fleet managers will move away from treating EV charging as a standalone solution. Fleet managers will want the driver to have a really simple experience when driving that electric vehicle, including charging.

“Charging will become integrated in the overall fleet management systems that drivers use day-to-day, from when they leave the depot to when they return. The driver will be directed to the bays that have got electric charging capability for optimal charging, possibly overnight when there’s off-peak energy available and integrate smart charging and dynamic load balancing. We’ll see huge advances in technology and software in 2025.”

Corpay including UK brand Allstar

Paul Holland, Managing Director for UK/ANZ Fleet

“There is no doubt that the move to electric is happening, but there is also another movement in the fleet sector that needs to be supported to flourish in 2025: the decarbonisation of existing petrol and diesel vehicles.

Paul Holland, MD for UK/ANZ fleet at Corpay

“Many businesses have already started the process of migrating their fleet to electric vehicles, but this isn’t an overnight job.

“The scales will eventually tip in favour of EVs that will ultimately one day take over, but at present many businesses still have a majority of their commercial fleet running on petrol and diesel.

“That doesn’t mean they are ignoring the need to run more sustainable operations and reduce emissions, however, but it is inevitably a slow process.

“Beyond procuring the vehicles, businesses must alter policies, practices, infrastructure and integration.

“As such, in the meantime there is a need to ensure that those petrol and diesel vehicles that remain in use are done so with minimal impact on the environment. They need support to drive more efficiently, buy fuel more effectively, plan better routes and streamline operations, and we’re committed to help them with this.”

ChargeGuru UK

Denis Watling, Managing Director

“We’re witnessing a fundamental shift within the fleet landscape. EV-related regulations such as the ZEV mandate and sustainability considerations are pushing business owners to consider alternative ways of operating.

Denis Watling, managing director of ChargeGuru UK

“Switching fleets to EVs is a no-brainer for many considering that in 2022 transport contributed 34% of carbon dioxide emissions. Road vehicles alone account for ~90% of domestic transportation emissions, making transportation the UK’s largest-emitting sector.

“In 2025, we should expect an increase in the installation of charging networks; whether that’s landowners selling or leasing parts of land for infrastructure, or businesses installing charging at their place of work. Convenience and access to EV chargers will be key.

“We’ll anticipate a continued increase in home charger installations as businesses aim to ensure efficiency. When transitioning fleets to EVs, businesses should provide employees with ‘at-home’ charging solutions in order to reduce running costs and reliance on public networks. It is crucial for us within the industry to support fleet transitions by simplifying the process and leveraging government funding opportunities.

“Though higher upfront costs and public charging still pose some challenges, the long term sustainability advantages and lower operating costs will hugely outweigh these sticking points leading to a continued shift in the fleet landscape throughout 2025.”

Venson Automotive Solutions

Simon Staton, Client Management Director

“The UK e-van market is going through a rather tumultuous period. Let’s characterise it as a coming of age – a time of remarkable growth and incredible potential, on the cusp of being fulfilled.

Simon Staton, Venson client management director

“Competition on pricing and aftersales is picking up, and the e-vans themselves are getting ever more impressive, as the world gears up to first slow, then reverse, global warming.

“With UK low, ultra-low and zero emission zones expanding, generating more than £1bn in fees and penalty charges since April 2019, according to new research by Peugeot, many predicted that e-vans would be the answer.

“The thing is, in the fast-paced 21st century, such shifts happen with disconcerting regularity. Five years ago, hitting 100-mile range was like finding the Holy Grail.

“It’s a strong bet that the key to widespread e-van adoption lies in good old carrot and stick – generous incentives to go green, along with escalating taxes on diesel. The difficulty comes in finding the winning combination, to enable all users to live their best e-van life.

“While the Plug-in Van Grant extension is more than welcome, as things stand, the ZEV mandate requires a three-fold sales increase to 16% of new sales this year. Over to you Prime Minister Starmer and Chancellor Reeves.”

Fleet Evolution

Andrew Leech, Founder and Managing Director

“In 2025, we will see salary sacrifice continue as a major alternative for cash takers due to the continued low rates of Benefit-in-Kind taxation and the front end cost of EVs falling as manufacturers offer larger discounts due to increased competition.

Andrew Leech, founder and MD at Fleet Evolution

“With most businesses facing a rise in employers’ National Insurance Contributions and the Minimum Living Wage from April, many will look to cut other costs in other areas, such as the under-utilised fleet.

“This will, we believe, lead to more companies turning to shorter means of leasing vehicles, such as subscriptions and short term rentals, especially for EVs.

“We were seeing a lot of interest in our EV subscription service, Subscribe Electric, which we launched through our fleet management division, before the Budget. But that has ratcheted up since, as increased cost pressures come to bear on businesses.

“We are also predicting extensions to current fleet replacement cycles as cost pressures mount and, following the Budget, rising Vehicle Excise Duty (VED) costs on all new EVs above the £40,000, which will impact from April 2025.

“From that date, companies will have to pay the expensive car supplement of £390 a year from the second tax payment onwards – which is thought likely by some experts to raise leasing costs by £50 a month for cars registered after April.

“The ability to ‘flex’ a fleet based on demand will be vital in this pressurised market for the very many businesses who face rising costs following the Budget. And these will become even more expensive due to initiatives such as the increases in VED on new product.”

Easee

Adam Rodgers, UK and Ireland Country Director

“In 2025, we will hopefully see a transformation in the UK’s public EV infrastructure in terms of user experience and reliability.

Adam Rodgers, UK and Ireland country director at Easee

“This, coupled with the UK’s growing network of public charge points, should encourage a confidence boost from car and van fleet operators. For fleets travelling through regions with limited public charge points, the current infrastructure and reliability concerns can be a barrier due to the potential disruption this poses to business operations.

“The government mandate for 99% reliability of rapid charge points and 24/7 helplines coming into effect will be crucial, as will continued investment in the public infrastructure for a network that can support fleets even in remote locations.

“Many businesses are facing rising financial pressures as we head into 2025 and while EVs are more cost-efficient to run, there’s the initial upfront cost which can be a challenge. However, in 2025 more EVs should begin to become available on the second-hand market. Sales of used battery electric vehicles increased by 57% year-on-year in Q3 2024, achieving record market share.

“This will hopefully make EVs more financially viable for some fleets. While these won’t qualify for the full government tax relief available on new EVs, registered businesses can receive capital allowance on the purchase price at 18% to further improve affordability. Maintenance of current financial incentives and an expansion of these would be welcome to make EVs more affordable to a broader range of business.”