The contract hire on my Passat estate 2.0 TDI company car is due to end in October and I have been asked to start giving some thought as to a replacement.
I pay both tax and fuel benefit in kind on it at the higher (40%) rate and use it mostly for longer journeys (rarely shorter than 10 miles, typically 100 miles+ at least twice a week and with a caravan behind it for between 2000 and 3000 miles a year).
Now I know that another diesel-engine car, probably an estate is still the answer for my needs but the taxman doesn't seem to agree. By my calculations the tax payable on the car and the fuel combined for another similar car will be about £5.5k each year.
A plug-in hybrid such as the Mitsubishi PHEV can only be driven for a maximum of 30 miles on the battery and so would have to be driven a LOT on petrol power alone, thus costing the company significantly more in fuel and pumping out more CO2, but saving me almost £2.5k a year.
So my question, after a very long time - sorry about that - is does anyone have any experience of towing and/or driving long distances with a plug-in hybrid, and is it an option that's really worth exploring?
I also looked at kombi vans such as the VW Transporter T6, but understand that HMRC ruled last year that these were "multi-purpose vehicles" and not "vans, designed primarily to transport goods" and thus should be classified as cars for the purpose of company tax. Has anyone had any experience of this?
Thanks in anticipation ...
Edit - licence restrictions are not an issue!
------------- "Don't wait for the perfect moment. Take the moment and make it perfect."
In relation to your question about Plug in Hybrids. When I bought my current car I asked the dealer about tow bars and towing with a hybrid. They told me that nobody makes towbars for a hybrid and that Hybrids can not be used for towing as it would damage the Hybrid battery.
Might also be worth asking on one of the "Caravan" forums. "Caravan Chat" is a good one and I've seen lots of discussions on there about using hybrids etc
Quote: Originally posted by yozza64 on 05/7/2018
In relation to your question about Plug in Hybrids. When I bought my current car I asked the dealer about tow bars and towing with a hybrid. They told me that nobody makes towbars for a hybrid and that Hybrids can not be used for towing as it would damage the Hybrid battery.
Don't know which manufacturer that dealer was from but he is talking complete ball0cks...they sell tow bars for the Lexus i have and the Mitsubishi PHEV.. both capable of towing.
I think the tow limit for the Mitsi is around 1500kg ... the Lexus i have its 2000kg.
I was talking to a guy at the Wirral Caravan club site at Easter, he actually has his phev plugged into the electric charging it up.
His van was a large 1500 swift he said it was fine towing perhaps a little slower on hills but overall he said the running cost wasn’t to bad.
If I was in your position I wouldn’t hesitate to get the phev, my company cars are for 4 years so that would be a 10k saving to me.
Do you not have the option to come out of the fuel card and charge back your business mileage? That would save you a fortune on a diesel car, I never had the option for a fuel card I know if I did I would of turned it down as the tax far outways ther personal benefit, 14p a mile works out that I cover must of my personal weekly running
Surely the logical answer taking tax and fuel into account would be to go for the highest possible savings on your company car ,and just buy a cheap tow car .i.e old mondeo etc that will tow the van when needed . Plenty of old tugs around with towbars fitted for around 1.5k
My previous company car was an Outlander PHEV, to be honest I couldn't wait for the lease to end.
30 miles on electric is wishful thinking, I was usually luck to get 25 miles on electric only.
I had a towbar fitted and used it to tow a 1450kg caravan, it was fine on flat routes, but the slightest incline would result in the engine screaming, and although I always got to the top of a hill it was never a pleasant experience.
Fuel economy was woeful (around 35mpg) fuel tank very small, so usually had a range of around 275 miles after filling up (and that was solo) - expect to get around 180 miles from a tank if towing.
Changed the car in March for a Skoda Superb 2.0 Diesel, SEL executive - 113 CO emissions, OTR price 26K - my honest opinion is diesel every time, and the Skoda is a great all round car
Changed the car in March for a Skoda Superb 2.0 Diesel, SEL executive - 113 CO emissions, OTR price 26K - my honest opinion is diesel every time, and the Skoda is a great all round car, quote, Even better with DSG
Garry and Bob, you have confirmed what I suspected. My current Passat has the same diesel engine as the Skoda and I'd have another like a shot if the costs weren't such an issue.
Bessie - I like your thinking but that's not an option unfortunately.
Might need to spend some more time with the calculator out
------------- "Don't wait for the perfect moment. Take the moment and make it perfect."
We had the same dilemma recently as we towed with my company Audi A4. We too don’t have an opt out scheme we have to choose a car. Our company have added hybrids but the outlander wasn’t an option as we are only allowed Mercedes, Audi or BMW.
Do check re towing as the car we went for in the end cannot tow anything. In fact you can’t even fit a tow bar to it as the battery pack is in the way of the fixing points.
Our conclusion in the end?
Sell the caravan. When we added up the cost of servicing, insurance, ongoing maintenance, insurance, new tow bar every 3 years and then the additional tax for a diesel tow car it no longer made financial sense.
So off it went and we now use pods which have proved a hit with the kids.
Quote: Originally posted by SamandRose on 06/7/2018
Thanks everyone
Garry and Bob, you have confirmed what I suspected. My current Passat has the same diesel engine as the Skoda and I'd have another like a shot if the costs weren't such an issue.
Bessie - I like your thinking but that's not an option unfortunately.
Might need to spend some more time with the calculator out
Quote: Originally posted by Skoda Bob on 07/7/2018
Quote: Originally posted by SamandRose on 06/7/2018
Thanks everyone
Garry and Bob, you have confirmed what I suspected. My current Passat has the same diesel engine as the Skoda and I'd have another like a shot if the costs weren't such an issue.
Bessie - I like your thinking but that's not an option unfortunately.
Might need to spend some more time with the calculator out
Quote: Originally posted by HighSlayer on 10/7/2018
Quote: Originally posted by checkley1973 on 06/7/2018
new tow bar every 3 years
???
If you get a new company car every 3 years, you have to buy the towbar and electrics, usually at dealer prices to preserve warranty. This can easily be £600+