Author Archives: Van Rental

UK van registrations fall 18.8% in April as market cools

New van registrations fell by 18.8% during April, as buyers backed away from new vans after a record period of registrations in 2016.

The latest figures from the Society of Motor Manufacturers and Traders (SMMT) show that 22,625 new vans were registered in April 2017, 18.8% fewer than in April 2016. In reality, it always seemed likely to me that the registrations levels would cool this year after record levels of buying in 2016, and that’s what we’re now seeing:

New van registrations April 2017 (souce: SMMT)

Mike Hawes, SMMT chief executive, seems to agree with this view, emphasising that new registrations are still at historically high levels:

“April is traditionally a small month for new LCV registrations following the plate-change in March and, coming on the back of double-digit growth that resulted in a record April in 2016, this month’s decline comes as no surprise. Overall, the market remains robust, however, and so long as business confidence among operators can be maintained, we expect to see the market remain at what is a historically high level over the course of the year.”

Falls in April were concentrated in the sub-2.0t van segment (-37.5%) and the high-volume large van segment (-23.1%). There was little change at the top of the best seller lists, however, with Ford continuing to reign supreme in the UK van market:

LCV top sellers April 2017 (source: SMMT)

As we head into summer, Brexit and the general election have the potential to disrupt markets. But in reality I think the picture is still fairly healthy.

New registrations have risen massively over the last three years, but trees don’t grow to the sky. A period of consolidation and a return to historic average levels seems likely to me. I’d expect a further decline as the year continues, but I don’t think there’s any reason to panic.

Wrexham van rental: Zi Car and Van Hire

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I’m very pleased to welcome Zi Car and Van Hire of Wrexham to vanrental.co.uk.

Zi Car and Van Hire offers a full range of daily and monthly van rental services, including European hire.

All vehicles are less than 12 months old and include unlimited mileage, tax and insurance. No deposit is required. The firm’s fleet includes a large selection of vans:

Small vans (e.g. Volkswagen Caddy)
Short wheelbase vans (e.g. Volkswagen Transporter)
5/6-seater crew vans
Medium wheelbase vans
Long wheelbase vans
3.5t tipper vans and dropside vans (long wheelbase)
3.5t luton box vans

European van hire is also available. Zi Car and Van Hire’s European service includes all the paperwork and insurance you’ll need to head abroad, plus a European sat nav. The company says that all vans used for European hire are less than six months old.

Zi Car and Van Hire is located on Wrexham Industrial Estate:

Zi Car and Van Hire
Coed Aben Road
Wrexham Industrial Estate
Wrexham
LL13 9UH

To find out more or to make a booking, contact Zi Car and Van Hire direct:

Web: www.zicarandvanhire.co.uk
Telephone: 08456 43 43 43

If you’d like to see your van rental business listed on vanrental.co.uk, check out our advertising page for more info or contact us for more details.

UK commercial vehicle manufacturing drops 4.3% in March

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Weak domestic demand pushed commercial vehicle manufacturing output down by 4.3% in March, according to the latest figures from the Society of Motor Manufacturers and Traders (SMMT).

The trade body said that despite a 7.8% increase in export demand for UK-built vans and trucks, an 18.4% drop in domestic demand led to an overall decline in output. This pattern is a continuation of the trend seen so far this year — home demand has fallen by 25%, offsetting a 21.2% rise in export demand:

Source: SMMT

The message from SMMT chief Mike Hawes was that exports to the EU remain of vital importance to UK automotive firms:

“Despite the expected fall in domestic demand following extremely high levels of growth in the previous two years, UK CV production remains positive and continuing growth in overseas demand highlights the quality and competitiveness of our products. With some 90% of CV exports destined for the EU, we urge government to strive to deliver a free trade deal that will maintain that competitiveness and secure this industry’s future success.”

This graph shows how exports have been offsetting falling domestic demand over the last year:

CV output rolling year March 2009- March 2017 (source: SMMT)

According to the SMMT figures, exports now account for 64.3% of all UK CV production, the highest level for seven years. Expect more on this topic as Brexit negotiations get underway.

New vans and photo highlights from the CV Show 2017

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The Commercial Vehicle Show at the Birmingham NEC is one of the biggest events of the year for UK van operators. I went along last week on behalf of vanrental.co.uk to find out what was new in the van world in 2017.

Here’s my roundup of new and unusual van models — plus a few others — from this year’s CV Show.

Peugeot had a sizeable stall at the NEC and was showing a number of vans in well-known liveries. This Royal Mail Partner Trek model has raised ground clearance and is available with an electronic limited slip differential to provide additional traction on muddy tracks and the like:

Peugeot Partner Trek in Royal Mail livery at CV Show 2017

Over on the LDV stand, the vans on display bore clear traces of the DNA of the little-lamented LDV Maxus.

However, LDV is now owned by Chinese firm SAIC and is targeting the value end of the market. A basic V80 SWB model starts from about £13,200 according or £168 per month, according to the My LDV website. By way of contrast, the current Ford Transit starts at £23,120 +VAT… Could be worth a look if you’re on a budget:

The LDV V80 at the CV Show. An all-electric model will also be available shortly. At £10k less than a Ford Transit, these could gain traction in the UK market.

Most tipper vans sold in the UK are full-size 3.5t models. But companies such as converter Ingimex believe there is a market for smaller models, such as this Volkswagen Transport tipper conversion:

Volkswagen Transport Ingimex tipper at CV Show 2017

Renault didn’t bring along any of its trucks, but the French firm did have a big display of LCVs at the CV Show, including a the UK debut of the Master Z.E. electric van and a rare chance to see the forthcoming Alaska pickup.

Renault Alaska pickup at the CV Show 2017

This F1 car provided an impressive centrepiece for Renault’s CV Show stand.

The F1 theme continued with the launch of the new Renault Formula Edition trim level for its Kangoo, Trafic and Master vans. Like the Ford Transit Sport models, with which they will compete, the differences lie in aesthetic details and upgraded kit levels. The engines will be the same as those found in the standard vans:

The new Renault Trafic Formula Edition model was launched at the CV Show.

The new 100% electric Renault Master ZE was unveiled at the CV Show. It promises a range of up to 124 miles and should be on sale by the end of this year.

Over on the Vauxhall stand, the firm’s concept race van Vivaro was on display, fitted out with a tasty selection of conversion kit:

This Vauxhall Vivaro race van concept is designed to carry a single motorcycle plus provide workshop facilities and some creature comforts for the rider/mechanic. Some nice kit is evident — a Waeco fridge, Sortimo racking plus what looks like an expensive Victron inverter.

A steady stream of visitors were keen to scale the heights to the cab of MAN’s new TGX XXL long-haul tractor unit. But for most of us, the closest we’ll come to driving a MAN is getting behind the wheel of the firm’s first can, the MAN TGE.

Along with its stablemate the new Volkswagen Crafter, the TGE was one of the top launches at the show:

The new MAN TGE van was on display at the CV Show 2017

The MAN TGE was also on display in crew cab dropside format.

Moving on to the Volkswagen stand, the TGE’s sibling, the new Crafter, was on display. It’s an important model for VW, as this new model is an in-house design, rather than a re-engined version of the Mercedes-Benz Sprinter (Mercedes, by the way, was conspicuously absent from the CV Show).

The new Volkswagen Crafter at the CV Show 2017

Inside the cab of the new Crafter: it’s unmistakeably a Volkswagen

Over at Toyota, a range of new factory-approved conversions were on display, including this Hilux Tipper:

Toyota was showcasing its new range of Trade Plus and Authorised Converter models. Seen here is the Hilux Tipper in Europcar colours. Will any of these feature on Europcar’s UK van rental fleet?

And now for something completely different. Auction and remarketing group Manheim was at the CV Show and had something very special on their stand. The high-tech Spy Van was owned by HMRC and used — presumably — to spy on potential tax dodgers until 2014.

In 2015, Manheim’s LCV specialist James Davis took possession of the van and decided to restore it to its former glory before auctioning the Spy Van for charity to raise funds for the Alzheimers Society.

Here are some photos of the finished result — on Monday 22nd May, the Spy Van will be sold at Manheim Auctions Shepshed without reserve. So if you’re interested in making a bid, there’s still time.

The Spy Van is a former HMRC undercover vehicle. Fitted with a range of high-tech kit (see below) it’s been restored by Manheim LCV expert James Davis and will go under the hammer to raise funds for Alzheimers Society on 22 May 2017.

Inside The Spy Van. Tech specs included three charging circuits and front windscreen wipers that could be controlled from the rear in order to keep the view clear for the van’s spy cameras!

Last but not least, no CV Show visit would be complete without a few tasty classics, so here are some of the highlights from 2017.

Citroen’s immaculately-restored Type H van drew a lot of admiring glances. This classic was made from 1947 until 1981, so the model celebrates its 70th anniversary this year. This le coq sportif model has been fitted out as a bicycle workshop and will be used as a promotional vehicle for cycling events in France.

Back in the day (c.1986), this DAF 2800 Turbo would have been a top-of-the-range long haul truck. The TIR plate suggests this model saw plenty of European work in the days before open borders…. (post Brexit, will hauliers be dusting off their TIR plates once more?)

This E.M. Rogers Volvo F12 is of a similar vintage, but the high roof and Scandinavian quality would have made it an even more desirable steed:

E.M. Rogers Volvo F12 at CV Show 2017

Finally, it’s not a van but it would probably have outdriven anything else at the show. A 1980s Palletforce Ford Escort rally car in all its glory:

This 1980s Palletforce Ford Escort rally car was on display at the CV Show 2017.

That’s about it for this year. I hope you’ve enjoyed my photo highlights from this busy show. Roll on 2018…

Van hire trade body calls for yearly MOT tests for large vans

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BVRLA Chief Executive Gerry Keaney

The British Vehicle Rental and Leasing Association (BVRLA) says that evidence of poor maintenance on large vans means that yearly MOT tests should be required.

This is a topic we covered here on the vanrental.co.uk blog back in March 2016, when we flagged up government figures showing that 49% of vans fail their first MOT at three years old. Worryingly, almost 25% of failures were the result of brake defects. That’s a potentially dangerous problem on a heavily laden 3.5t van.

The rules haven’t changed yet.

But the government has been consulting on plans to extend the MOT period for new cars to four years, up from the current three-year requirement. The BVRLA says that it supports this proposal, but does not believe it should be extended to class 7 vans (3,000kg – 3,500kg) due to safety concerns.

The BVRLA’s view, which I share, is that the date of the first MOT test for large (class 7) vans should be cut to one year after first registration, in order to address the potential safety concerns resulting from the current high test failure rate.

Commenting on the government’s plans, BVRLA Chief Executive Gerry Keaney said:

“Modern cars are safer than ever, and rental and leasing vehicles are typically checked, serviced and repaired on a regular basis. As such, we believe the proposed extension before the first MOT test is required can be implemented without risk to public safety.

“However, van traffic is growing, and these vehicles’ average annual mileages are significantly higher than the average car on UK roads. At a time when the government’s own data shows large vans have appalling first time pass rates, the BVRLA believes these vehicles should be getting tested every year, not every three or four years. Many large vans fail their first MOT because they have not been well maintained and have substandard brakes, so they pose a real risk to road safety.”

The BVRLA says that it has met with the Department for Transport to discuss the proposals and intends to continue engaging with the Department after the consultation period has ended.

Trade bodies are often criticised for lobbying for changes that will cut costs or boost growth for their members. But in this case I think the BVRLA should be applauded for focusing on safety, even though it will increase the regulatory burden for its member companies.

Should you consider a van with on-board power?

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On vehicle power eliminates the need for costly and inconvenient generators (image: Winton Engineering)

Does your van need more power? I’m not talking about the kind of power that could get you an increased speeding fine from Monday.

I’m asking about the kind of power that forces you to carry or tow a generator to provide power for tools and equipment. Examples include road drills, hand tools, pumps, compressors and welding gear.

Although portable generators are a workable solution, they’re not ideal. Freestanding generators need fastening down in the back of the van and require you to carry fuel. Towable generators also need fuel and create licence restrictions for younger drivers. Hired equipment sometimes turns up late, or not at all.

If you’re using a daily rental van, you’ll have no choice but to use a standalone generator.

But if you’re specifying a van for long-term hire or leasing you may be able to have an on-board power system fitted to the van. Doing this means that your vehicle will be converted to take power from the engine. This can be used to provide compressed air, electricity, hydraulic power or high pressure water jetting.

Although these systems may add to the upfront cost of the van, it should also benefit the van’s residual value. Recent auction reports suggest that highly-specified and specialist vans remain in strong demand at auction. As a result, leasing a van with onboard power may not cost all that much extra on a monthly basis.

Any increase will be partly offset by savings on generator purchase or hire. And as with any convenient facility, on-board power tends to be used more because it’s always available. That tends to improve productivity.

Reputable providers of on-board power systems will install systems in line with manufacturers’ guidelines and with EU Whole Vehicle Type Approval and UK National Small Series Type Approval (NSSTA). This is often essential on new vehicles, in order for them to be compliant with all current legislation.

Specialist converters such as Winton Engineering are able to provide on-vehicle power conversions alongside extra equipment such as racking and external lights. A one-stop shop can be an advantage as the converter takes responsibility for ensuring that all work done is compliant with any relevant regulations.

Record used van prices mask changing market conditions

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BCA Blackbushe van auction March 2017

Used van prices fell slightly in Marcn but remain at near-record levels, according to the latest auction sales figures from BCA.

The average priced achieved for a light commercial vehicle at auction was £6,526 in March, down by just £23 from £6,549 in February.

March’s average sales price is the second highest on record and means that used van values are 11% (£647) higher than they were one year ago. Of course, part of this is due to falling average age and mileage. Buyers today are getting a new van than they were one year ago.

On a year-on-year basis, average age was down by five months in March, while average mioleage was down by about 7,800 miles:

All vans	Avg Age (mnths)	Avg Mileage	Avg Value
Mar 2016	55.50	73,838	£5,879
Mar 2017	50.95	66,037	£6,526

Source: BCA

“Weakened” market

Duncan Ward is BCA’s LCV Operations Director. He struck a surprisingly downbeat note when discussing the figures for March:

“Average selling price data might suggest a buoyant market, but the reality is the market has weakened and conversion rates have been under pressure. BCA’s profile of stock is becoming younger and lower mileage and this is a significant driver of the increasing values we report.”

Ward emphasised that variations in quality and specification are leading to a two-tier market:

“Well specified commercials in retail-ready condition are making exceptional values, while vehicles with an unusual configuration or special equipment will always attract attention from buyers. In contrast, any LCV available in high volumes, perhaps with damage and a basic specification will have an uphill battle to attract interest.”

It sounds to me as though the market is starting to be more favourable for buyers than sellers. Competitive deals and cheap finance on new models mean that some buyers will be tempted to trade up to new rather than paying over the odds for used.

In the meantime, sellers hoping to dump sub-standard stock in to the market will have to accept lower prices, giving buyers who need a cheap workhorse another option to consider.

Fiat Doblò scores just three stars in latest Euro NCAP tests

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Fiat Doblò Euro NCAP crash test 2017 (image: Thatcham Research)

Panel vans don’t get Euro NCAP safety ratings, but their people carrier equivalents do. So it was disappointing to see the Fiat Doblò score just three stars out of a possible five in the latest round of Euro NCAP tests.

The version tested was the 2015 facelift version, but this generation of the Doblò van was first introduced in 2010, and it shows. The 2015 update only included minimal safety upgrades and these are not enough to compete with newer models.

Commenting on the results, Matthew Avery, director of research at Thatcham Research, said:

This is another FIAT doing the absolute minimum from a safety perspective, with no AEB fitted. There are family vehicles out there which offer far greater levels of protection.

It’s worth noting that while the Fiat Doblò is outdated, the Vauxhall Combo is even more so. Although the Combo is based on the Doblò, Thatcham Research says that Opel/Vauxhall has not applied the 2015 Doblò updates to the Combo. Thatcham believes the Combo “would be expected to end up with even fewer stars” if tested.

I should stress that these comments and test results apply to the MPV version of the Doblò, not to the panel van model. But I think it’s probably fair to assume that the same test results apply to the van model, as far as pedestrian safety and front passenger safety are concerned.

You can see the full Euro NCAP test results for the Fiat Doblò here: http://www.euroncap.com/en/results/fiat/doblo/26657

EXCLUSIVE: Save 8% on Questor Insurance [EXPIRED]

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March van registrations edge lower but auction sales climb

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Registrations of new light commercial vehicles fell by 0.9% in March, despite the third month being the longest of the year so far in terms of trading days.

According to the latest figures from the Society of Motor Manufacturers and Traders (SMMT), new van and pickup registrations fell by 0.9% to 63,316 units in March, compared with the same period last year.

Van registrations 03/2011 - 03/2017 (SMMT)

Van registrations rolling year totals Mar 2011 to-date 2017 (source: SMMT)

Big slides were seen in vans under 2.0t (-31.6%) and 4x4s (-91%). Sales of LCV-type 4x4s have largely been replaced by the pickup category, where registrations rose by 23% to 9,660 in March.

Looking at the other categories, heavy vans (2.5-3.5t) remained strong. This is always the largest segment in the LCV class and remained so in March, with new registrations up by 3.6% to 40,237 units.

Mike Hawes, SMMT Chief Executive, remains bullish about market conditions:

“The new van market has experienced strong levels of demand in recent years and this dip in registrations represents a natural rebalancing of the market. Despite the decline, demand remains at an historically high level with year-to-date registrations matching 2015’s performance, which was only exceeded by demand in 2016.

We expect demand to remain stable at this high level throughout the year.”

As head of the automotive industry trade body, Mr Hawes would be positive. But I think it’s fair to say that the figures for new van sales still look good. New data from auction group Manheim suggests that this strength extends into the used market, too, despite concerns last month that ex-rental vans were flooding the market.

Manheim says that the group offered 20% more vans for sale during March 2017 than in March 2016, and 6% more than in February 2017.

Despite this increase in volume, conversion rates rose by 3% compared to February. This indicates that a greater proportion of vans offered for sale were sold.

And while selling prices dropped by 3% to £5,298, average age and mileage also increased, by 3 months and 2,000 miles respectively. So average pricing looks pretty firm, if not positive, to me.

Manheim expects buyer demand to remain strong in April, but says that lower de-fleet volumes may reduce the number of vans for sale, providing further support for prices.

Our view

The overall picture presented by the SMMT figures and the sales data from Manheim suggests to me that the UK van market remains healthy and stable.

History suggests that this is a reasonable barometer for the state of the economy, so let’s hope for more such ‘boring’ updates over the coming months.