Spring Statement must offer relief to UK fleets
The upcoming Spring Statement must deliver meaningful support to UK fleets, which are straining under the weight of ‘sustained financial pressure.’
That is the view of Paul Holland, managing director of UK/ANZ Fleet at Corpay, which includes UK brands such as Allstar and Keyfuels.
Chancellor Rachel Reeves will deliver her Spring Statement on 26 March and Holland has warned that UK fleets can’t afford another ‘low-level impact announcement.’
He said: “The UK’s fleet operators are navigating a period of sustained financial pressure, with fuel prices remaining high and economic uncertainty complicating planning for the future. As we approach the Spring Forecast, there is little indication that meaningful relief will be forthcoming.”
Tariffs
Holland continued: “While businesses are still managing the aftereffects of recent fuel price surges, external trade policies now pose the greatest risk. A potential 25% tariff on UK trade with the US could have severe knock-on effects, particularly for fleets reliant on European-manufactured vehicles. At a time when businesses need cost-effective options to transition to electric vehicles, further price hikes could delay adoption.
“The UK’s energy markets also remain volatile. While BP’s move away from clean energy investments could reduce pressure on oil prices in the medium term and additionally, the reintroduction of Russian oil into global supply chain could further help ease oil prices. However, long-term instability in oil markets persists and this will not help businesses plan nor manage their fuel costs.”
Fiscal measures
Harding concluded: “Compounding these challenges is inflation and reduced access to credit, making cash flow management increasingly difficult. The government must recognise that businesses need action tailored to these uncertainties. Fuel price stability should be a core focus to prevent costs from escalating across supply chains and ultimately reaching consumers.
“Without targeted fiscal measures, fleet operators will continue to struggle with rising expenses and financial unpredictability, making it harder to invest in long-term efficiencies. If the Spring Forecast offers little beyond minor adjustments, businesses will be left to absorb rising costs with no clear pathway to sustainability or stability.”
