It is still difficult to gain a clear picture of the state of the European economy. Recently, the Organisation for Economic Co-operation and Development (OECD) cut its economic growth forecasts for the area as the Eurozone continues to struggle with economic problems. But as the Financial Times recently reported, there are pockets of optimism across Europe. The paper reported that Ireland’s unemployment rate had fallen below 14% for the first time since 2010 and that Switzerland had reported better growth in the first quarter of the year than expected. Are we seeing similar developments in the UK?
CV registrations rose by 11.8% in the January to April period compared with 2012 and by 30.9% for April compared with April 2012. In truth it is van registrations that are supporting the market, with truck registrations down 15.5% year-to-date and down 12.1% for April compared with April 2012.
A rise in van sales hints at rising business confidence but it could be that some fleets are outsourcing as much risk as possible by looking at short-term rental deals. That seems to be the case where Northgate Vehicle Hire and its customer Aughton Automation is concerned. The two companies have teamed up. Aughton Automation’s core business is as a control and instrumentation company, offering hire, calibration, repair and sales of a wide range of test equipment. The company’s clients include the National Grid, based in Liverpool.
Under the partnership agreement, Northgate will provide Aughton Automation with a flexible fleet. This will include up to 40 rental vehicles with fleet services such as repair and maintenance, breakdown and recovery and a direct driver line. Aughton Automation’s demand cycle changes continually and the deal with Northgate enables them to respond to those demands without additional charges for adding vehicles when demand grows or removing them when it is quieter.
‘Our partnership with Aughton Automation is unique as the company’s requirements involve vehicle features such as fitted shelving, hand wash units and fire extinguishers,’ commented Northgate North West account manager, Jane Forshaw. ‘As working vehicles it is paramount that these features are fitted to the highest standards to ensure a safe and clean working environment, as a result we outsource the installation of the additional specifications on our vehicle to national companies VanLiners and The Signbox, which ensures a consistent level of quality at all times. This is just one of many features we deliver to Aughton as part of our partnership.’
Northgate is not alone in offering such a service. Hertz’ 5,000 strong fleet includes vehicles up to 3,500kg gross weight. Hertz recently launched a new service, with backing from the Freight Transport Association (FTA) for accredited members of the FTA’s Van Excellence Scheme. Hertz is a Van Excellence Industry Partner and provides preferential rates for van and car hire, as well as vehicle telematics and Hertz On Demand vehicle pooling.
Hertz offers other benefits to Van Excellence members, including access to contingency vehicles, a priority service response, dedicated fleet management and the Hertz/FTA online motoring shop. Van Excellence accredited members are granted free membership of Hertz Gold Plus Rewards, Nectar loyalty points with each rental and discounted Hertz leisure rates worldwide for employees.
Northgate has also been taking on more staff and opening new depots. These include a new depot at Staples Corner in north London to provide a fleet service in the Brent Cross area. This is a brand new site, which Northgate says will create 11 new jobs. The half acre site will house up to 70 vehicles and there are plans to include a workshop from the third year of operation, which would add a further five jobs.
Northgate has also launched a new depot in Huddersfield at Red Doles Lane on the Leeds Road Business Trade Park. The site was formerly a Northgate vehicle sales outlet. This is also expected to create 10 new jobs. There will be space for 45 vehicles at the site and like the Brent Cross site, Northgate intends to establish a workshop from the third year of operation, which could create a further eight full-time jobs.
Northgate has also appointed four national new business development managers. The appointees have been engaged to communicate Northgate’s fleet management offering to customers across the UK. Northgate has also appointed four new regional business managers to cover its depots in Wales and the South West, covering Exeter, Plymouth, Cardiff, Swansea, Swindon, Gloucestershire and the South West.