A Salary Sacrifice Vehicle allows employees to lease a brand-new car – often a low-emission or electric vehicle – through their employer, with monthly payments deducted directly from their gross salary.This arrangement reduces the amount of Income Tax and National Insurance employees pay, while employers also benefit from reduced National Insurance contributions. Many schemes include servicing, insurance, breakdown cover, and tyres, providing a simple, all-inclusive package.Â
Why Salary Sacrifice Vehicles Matter for Your Business
Employee SavingsÂ
Savings on the cost of a new car compared to personal leasing or purchase – often 30–60% for electric vehicles due to low Benefit-in-Kind (BiK) tax rates.Â
Inclusive packages cover insurance, maintenance, and breakdown, meaning fewer unexpected costs.Â
Employer SavingsÂ
Reduced employer National Insurance contributions on the salary sacrificed.Â
Strengthens ESG credentials by promoting low-emission and electric vehicle uptake.Â
Attract and Retain Top TalentÂ
A high-value, desirable benefit that appeals across employee demographics.Â
Supports recruitment and retention by offering a cost-effective way to drive a new, reliable vehicle.Â
Added Protection and Peace of MindÂ
Many schemes offer built-in scheme protection, covering unexpected life events such as maternity leave, long-term sick leave, or redundancy, reducing risk for both employer and employee.Â
Environmental Impact and ESG SupportÂ
A sustainable car encourages the transition to electric and ultra-low-emission vehicles, helping your business meet sustainability targets and support your ESG strategy.Â
Many providers offer carbon offsetting for vehicle emissions. Â
Why Choose Bowmore?
Market Review
We assess the full electric car salary sacrifice market to match you with the provider that offers the right combination of cost savings, employee perks, environmental credentials, and risk protection.Â
Long-Term Value
We focus on schemes that remain competitive and sustainable over time, ensuring ongoing benefits for your business and employees.Â
Integrated Benefits Approach
Salary Sacrifice Vehicles can be run alongside your existing benefits platform or as part of a new, consolidated package – making it easy for employees to access and engage with their benefits.Â
