BUSINESSES are turning to electric SUVs as a viable operational alternative to diesel and electric vans.
SME fleets have been making the switch to overcome issues of supply and to electrify their fleets more quickly, says the leasing provider Arval UK.
The businesses making this move have often made corporate environmental commitments with comparatively short timescales and this is a significant driver behind their current decision making. They want to electrify quickly and the electric SUV route is allowing them to achieve this.
As long as the electric SUV has sufficient space, payload and towing capacity there are a number of benefits compared to electric vans believes Arval. These include:
- better range (an electric SUV typically has a real world range of up 300 miles);
- chargepoint accessibility;
- superior security and safety features to better protect the products and equipment being carried;
- and more driver safety technology, such as lane keeping assistance.
There is a human resources advantage too, Arval says.
Generally, drivers would rather have an electric SUV than a van and the current benefit-in-kind taxation situation makes this viable for almost all employees and comparable with van taxation.
Whole life cost comparisons between SUVs and vans are often “broadly similar”, according to Ben.
Racking and conversion products for SUVs
Some LCV racking and conversion companies are already taking note of the trend towards electric SUVs and are producing products especially designed for this sector.
It’s also possible to apply livery to an electric SUV, which can present a “strong corporate image but can be easily removed when the vehicles are eventually de-fleeted”, Ben said.
It may be, of course, that the use of electric SUVs rather than diesel vans is a passing strategy that will last one or two vehicle replacement cycles until more operationally efficient electric vans become more widely available.
Crucially, we expect to see the range and charging infrastructure to support e-vans improving over the next few years while other options such as hydrogen could start to make something of an impact.
VWFS Agrees Tyre Partnership With Kwik Fit Fleet
Pictured with Bibendum are (left) Jonathan Glenn, Head of Fleet Operations at VWFS (L) and Tom Edwards, Fleet Sales Director at Kwik Fit LEADING leasing business Volkswagen Financial Services (VWFS), has just agreed a tyre management partnership with vehicle repair and tyre supplier Kwik Fit Fleet. Under the partnership Kwik Fit will manage the tyre
Crystal Headlights, 500 Bespoke Paint Finishes And Neue Klasse Tech For Updated BMW 7 Series
Crammed full of new tech and design from the Neue Klasse BMW iX3, the updated BMW 7 Series represents the pinnacle of BMW luxury.
Ursula Wingfield Named CEO Of BMW’s Financial Services And Leasing Businesses
Ursula Wingfield becomes Chief Executive Officer of BMW Group Financial Services and Alphabet, effective 01 August 2026
Fleets Turn To Used Vehicles To Cut Operating Costs
The percentage of UK fleets operating used vehicles is increasing, figures from the 2026 Arval Mobility Observatory Barometer show.
Geely Starray Car Review
Can Geely’s Starray PHEV stand out in the competitive family SUV segment? We find out.
Speaker Line-Up For VRA’s Annual General Meeting
The speaker line-up has been announced for the 2026 Annual General Meeting (AGM) of the Vehicle Remarketing Association (VRA)
JOIN THE DISCUSSION
Why not join the conversation on SME fleets – visit our LinkedIn SME Fleet Discussion page
