Agencies Elated by Van Trends
News releases from both the Society of Motor Manufacturers & Traders (SMMT) and the British Vehicle Rental and Leasing Association (BVRLA) are reflecting increased enthusiasm and growth in the van and commercial vehicle financial market.
The report coming from the SMMT shows that there were 363,155 new commercial vehicles that were registered during 2014, reflecting a growth rate of 11 percent over the previous year. This number is particularly significant as it establishes a new record, breaking the previous high that was set seven years earlier in 2007. A further analysis of the total commercial vehicle registration shows that vans made up the largest part of the group – over 88 percent of 2014 registrations were vans, reflecting an almost 19 percent increase over 2013’s van registration numbers.
Adding to the good news were the numbers released from the BVRLA — they showed that the numbers in light commercial vehicle fleet leasing were also on the rise. The organization’s chief executive, Gerry Keaney, said, “2014 was a great year for van leasing, with volumes rising around ten percent. We expect to see van registrations continue to grow with the economy. The van sector is seeing a growing popularity for vehicle finance — largely thanks to the development of flexible rental and leasing finance and “driveaway” products that dramatically reduce the lead-times on pre-fitted out vans. The van market is also benefitting from a continued trend for operators to downsize from larger trucks. We also expect the post Euro 6 lull in the truck market seen during 2014 to peter out, with a rise in truck registrations in 2015.”