Blog, February 2024

Time to Upgrade Your Van?

A question I frequently encounter is whether it's the right time to invest in electric vans. Many companies are eager to reduce their carbon footprint and lower running costs, making the consideration quite understandable. Amazon, for instance, has steadily expanded its electric van fleet in recent years, particularly for the final miles of delivery where electric vehicles make logistical sense due to multiple stops and a large fleet resulting in relatively low total distance covered. Despite reports at the end of last year suggesting Amazon was reverting to diesel, these claims were proven untrue and were likely a result of a mistranslation from a German interview.

Now, let's consider your business. Electric vans, similar to electric cars, currently come at a higher upfront cost compared to their diesel counterparts. It might take several years before this price gap narrows, even with available grants. However, the operating costs are generally lower due to fewer moving parts, and if you secure a low overnight electricity cost for charging, your overall 'fuel' costs will be reduced. Moreover, under the 'full expensing' regime, the purchase of any new or unused van (pre-reg) qualifies for a 100% first-year allowance (consult your accountant for details). The primary challenge remains the range, with even the best electric vans achieving only about 200 miles, which might not be sufficient for the needs of many businesses.

While the market share of electric vans is expected to grow, diesel vehicles will
remain relevant for some time. Modern diesel engines are quieter, more refined, and less polluting due to technologies like Diesel Particulate Filters and Adblue systems. Due to their complexity, following manufacturers' maintenance requirements is crucial. Service intervals, however, are now longer, with some brands like IVECO recommending service every 2 years or 30,000 miles, and up to 37,500 miles for certain Mercedes-Benz Sprinters.

For businesses relying on a fleet of vans, reliability is paramount as downtime equals lost revenue. Considering these factors, it may be an opportune time to refresh your fleet. Excellent deals are available, often including servicing, repair, and maintenance. At Red House Automotive, we have strong connections with various van dealerships, allowing us to find the best solution tailored to your needs. Whether you're leaning towards electric or sticking with diesel for now, give us a call today to explore your options further.

A grey MG4 EV on a country lane

© Copyright. All rights reserved.

We need your consent to load the translations

We use a third-party service to translate the website content that may collect data about your activity. Please review the details and accept the service to view the translations.