Business Automotive by Business Leader magazine

A special publication by Business Leader Magazine

The Business Leader guide to the automotive industry

What does the future hold for the EV industry Page 4

What are the best commercial vehicle options for 2020? Page 12

When will we see driverless cars on British roads? Page 16

www.businessleader.co.uk

19 06

HOW CAN YOU GET INVOLVED IN THE BUSINESS LEADER MAGAZINE SUPPLEMENTS? In each edition of Business Leader Magazine, we produce a special supplement which highlights a certain sector or trend within the business world. For the first supplement of 2020, BLM has delved into the world of the automotive industry, and looked in the future of electronic vehicles, autonomous cars, the big revelations from this yearâ&#x20AC;&#x2122;s CES event, and so much more. Business Leader worked in partnership with EDF, EO, BeeWired, Vauxhall, Peugeot, Citroen, Grant Thornton, Nissan, MINI and BMW to give the readers of Business Automotive the most indepth coverage of the sector.

For future editions, the BLM team will be producing supplements around finances, events, lifestyle, property & construction, tech and how to scale your business. If you or your business are interested in getting involved in future supplements, then please contact the team.

Advertise with Business Leader today by calling 020 3096 0020 | businessleader.co.uk

LATEST NEWS

MINI UK to sponsor Amazon ScaleUp Awards

Why we chose BeeWired as our EV charge point supplier MINI UK has been announced as the sponsor of the Entrepreneur of the Year Award at the 2020 Amazon ScaleUp Awards, brought to you by Business Leader Magazine. Few brands can claim to be as iconic and recognisable as MINI and the firm’s UK plants are at the heart and home of the MINI production line. In 2019, MINI turned 60 - six decades since Sir Alec Issigonis designed a car that was not only more fuelefficient, but stylish, positive and joyous. MINI UK therefore continues to pride itself in supporting entrepreneurship in Britain. It is for this reason that MINI UK are the perfect fit for this category. The independent panel of judges were looking for a true pioneer, who has founded or acquired a business, with a proven track record of success. They were also looking for an entry that showcased the person’s entrepreneurial journey, with clear evidence of vision, leadership and the risks taken. Amazon ScaleUp Awards Founder Andrew Scott comments: “MINI are an iconic British brand and their entrepreneurial journey is an incredible story of automotive success. Having them associated with our awards will only add to the prestige of being shortlisted.”

By Andrew Scott, CEO of Ascot Group The Ascot Group is leading the way when it comes to tackling air pollution by becoming the first company in Weston-super-Mare to install a dedicated electric vehicle (EV) charging station. We had the full-stack charging station installed in the car park of our South West headquarters by BeeWired. North Somerset Council confirmed it as the first and only approved EVCP installation in the town. We have always taken our corporate responsibility very seriously and are committed to the environment and sustainability. That is why we partnered with BeeWired, who share these beliefs. Electric vehicles are integral to tackling the air pollution issues facing the UK. They are better for the environment, providing less pollution and renewable energy, while reduced harmful exhaust emissions means better air quality, which is good news for our health. More and more people are turning to electric vehicles, with more than 4,000 per week being registered in the UK alone, and our dedicated charging station is ideal for customer use. With the government set to introduce legislation requiring the installation of a EVCP on all new-build properties as part of its efforts to achieve net zero emissions by 2050, and car manufacturers under stringent targets to include a percentage of hybrid and full electric vehicles for every new model produced – company’s like BeeWired are vital to the future of your business.

New Concours Curator announced for Salon Privé The UK’s longest-running and most prestigious Concours d’Elégance announced the appointment of Nic Waller as its new Concours Curator. With over 15 years’ experience in the Concours arena as European Consultant to the world-famous Pebble Beach Concours d’Elegance, Waller brings a wealth of experience and global connections to the Salon Privé Concours d’Elégance. Waller said: “I am delighted to be joining the team at Salon Privé for 2020, a new decade that promises exciting events for the collector car community around the world.” Business Automotive - A special publication by Business Leader Magazine

Nic Waller

REPORT

2020: Cars of the future

Interior of the new BMW i3

Porsche Taycan on the road Porsche AG TM

very January, Las Vegas becomes the home for the world’s largest trade event – Consumer Electronics Show (CES) – a four-day celebration of tech and innovation. The show is often the time where leading companies across the globe reveal their latest products and concepts in front of the media, senior business figures, and fans. In recent years, it has also become a major part of the automotive calendar, as the sector’s top manufacturers disclose their plans for the years ahead. Business Automotive has highlighted four important revelations from CES 2020. Ford Mustang Mach-E Ford’s iconic muscle car has now been re-imagined for the modern age with the release of the Mach-E. “Electric and untamed,” Ford’s galloping pony is able to drive up to 370 miles on a single charge and yet it can still do 0-60mph in less than five seconds. The car can also go up to 58 miles after just ten minutes of charging. 2

Ford Motor Company TM Executive Chairman Bill Ford, left, and actor Idris Elba.

Mercedes-Benz VISION AVTR Mercedes-Benz & Daimler TM

The All Wheel Drive (AWD) system is also complimented with an array of futuristic interior features including a 15.5-inch tablet display, cloud-connected navigation, overthe-air updates and Wi-Fi. BMW i3 Urban Suite The new BMW i3 has enhanced the twoseater hatchback’s appeal. There are several home comforts inside, including a wooden desk, a footrest and an armchair for the passenger. The car highlights the possibility to be chauffeured around in style, while being environmentallyconscious. Another party piece for the car is a series of buttons next to passenger seat that control the footrest and also activate a TV screen to drop down from the car ceiling, with built-in Amazon Fire HD and Wi-Fi. Mercedes-Benz VISION AVTR The Avatar-inspired VISION AVTR concept car from Mercedes-Benz looks straight out of a sci-fi movie. The AVTR name is a link to the hit James Cameron movie and the distant future, but also stands for an “Advanced Vehicle Transformation”.

Although it is only a show car, Mercedes is hoping that it inspires future production for some of its unique ideas, such as its ability to move sideways, a fully-recyclable battery, and all ethically-sourced and vegan-friendly material. When autonomous vehicles become commonplace, many of these innovations could be in the car of the future. Porsche Taycan (featuring BOSE tech) CES doesn’t just provide a look into the future of the automobile market, but the whole tech scene. Global audio company BOSE, worked with Porsche on an industrychanging sound system for the all-new Taycan – the German manufacturer’s first electric car. With 710 watts of power, the 14 loudspeakers around the car have created the perfect entertainment system for everyone in the vehicle. SurroundStage Technology ensures a balanced 360-degree sound field to each seat. The smart speaker system works with the energy output of the car to maximise the audio, no matter what driving style or situation.  January - February 2020

Smart charging for electric vehicles.

Modular, scalable & future proof. Homes, Fleets, Workplaces, Apartments.

Business Automotive - A special publication by Business Leader Magazine

FEATURE

ELECTRIC VEHICLES Helping UK business move to an electric future Find out more at edfenergy.com/electric-cars/business/

THE FUTURE IS

ELECTRIC T he automotive sector is in the midst of the most disruptive changes in its history, with the phasing out of diesel and petrol cars, the rise of automation, and most importantly – the move to electric vehicles (EVs).

In April this year, there will be a significant governmental changes to the taxation of company vehicles, meaning that the rates for electric and lower C02-emitting cars will be a lot more appealing to business owners from across the UK. Fully electric cars will soon be eligible for a 0% Benefit-In-Kind (BIK) tax rate. As electricity is not classed by the government as a road fuel, electric cars have no fuel benefit charge. That means employees are exempt from paying BIK on electricity provided by their employer to charge an electric company car. Further tax incentives are being offered 4

by the government for businesses and individuals looking at making the switch.

sockets to support them make the switch to ultra-low emission vehicles.

This, coupled with the ongoing controversies surrounding diesel and petrol cars, has given a new lease of life to kick the electric car market into top gear.

Freeman continued: “Our world-leading £1.5bn Road to Zero strategy sets out a clear path for everyone from motorists to business owners, to be part of the UK’s clean transport revolution. We have already supported the purchase of more than 200,000 ultra-low emission vehicles and offer businesses a range of infrastructure incentives and we will continue to drive forward uptake in all areas, including fleets, freight and buses too.”

Future of Transport Minister, George Freeman, said: “The switch to zeroemission vehicles is the biggest technology development to hit UK roads since the invention of the combustion engine. “We are determined that everyone can experience the benefits of these green cars and we are offering grants to lower the upfront cost of the vehicles, as well as the installation of chargepoints on the street, in work and at home. And with over 22,500 places to plug-in, electric vehicle charging locations now outnumber petrol stations.” The government’s ‘Road to Zero’ campaign has meant that there is an increase to the current rate of the workplace charging scheme. This will mean businesses can get a grant of up to £10,000 per company to install a maximum of 20 chargepoint

What does the future hold for the automotive sector? The government also has tax incentives in place for ultra-low and zero-emission vehicles, with both vehicle excise duty and company car tax graded to promote the lowest emitting vehicles. The Plug-in Car Grant was introduced over seven years ago as an introductory measure to help offset the higher upfront purchase price of ultra-low emission cars. Cont.  January - February 2020

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FEATURE Helping UK business move to an electric future Find out more at edfenergy.com/electric-cars/business/

George Freeman

A government policy states that the sale of conventional cars and vans will cease by 2040, with an expectation for 50-70% of all new cars being Ultra Low Emission Vehicles by 2030.

Tim Anderson

EV registrations will be dampened by lack of vehicle supply, certainly for the next couple of years as manufacturers develop production capacity.”

Andy Eastlake, Managing Director of Low Carbon Vehicle Partnership, comments: “2020 is set to be a big year for electric cars. A huge range of new models will be coming on to the market in the UK with a Tim Anderson, Head of Transport at variety of battery capacities and innovative Energy Saving Trust, said: “The market technologies. Couple this with the strict new is moving very quickly and 2020 will see European Cars and CO2 Regulations over an acceleration in the number of electric the 2020/21 period, 0% BIK rates from cars appearing in showrooms. There are April and the rapid increase in charging still a number of challenges options and infrastructure for technology to overcome and you can see how all and increasingly these are "WE WILL START TO the ‘challenges’ we have perceptions rather than previously faced will begin to SEE RAPID TAKE-UP fact, but there is work to do disappear. OF EVS, ESPECIALLY to address initial purchase costs, driving range, “Electric cars are already IN THE PUBLIC recharging and choice of commonplace in many AND BUSINESS models. All of these are being businesses and should SECTORS WHICH WILL soon become ubiquitous. addressed as the technology EVENTUALLY LEAD matures and manufacturers This year’s company car tax gear up to meet demand. changes will give a further TO WIDER PUBLIC boost to demand. As vehicle ADOPTION." “The demand for electric availability and model choices company cars in the UK is Richard Falconer are also improving, along with about to surge in light of the recharging infrastructure, changes to company car tax next April. we expect the business and fleet sectors It is likely, however, that the potential for to be leading the way in the EV transition; So, with all of this preliminary legislation and policy in place, what does the future hold for the industry?

Andy Eastlake

Richard Falconer

a transition which is under way and accelerating right now.” So, it is clear to see the industry is gearing up for an electric future, with businesses leading the drive for innovation and implementation of EVs. Richard Falconer, Managing Director of Co-wheels, explains: “We will start to see rapid take-up of EVs, especially in the public and business sectors which will eventually lead to wider public adoption. We are seeing more public sector contracts specifying zero-emission vehicles, and many larger companies are building it in as part of their internal targets for carbon reduction.” What more needs to be done? With the clear united front between business and government to create a more electric car friendly future, it is conceivable that we could soon have our roads and motorways with a majority of EVs. However, there are several issues that need to be resolved before this can become a reality. Falconer comments: “Price and range of EVs needs to be addressed. We have seen prices fall so the total cost of ownership is closer to conventional cars, but some users will not change until it is equal and it will then take up to a decade for those vehicles January - February 2020

ELECTRIC VEHICLES Helping UK business move to an electric future Find out more at edfenergy.com/electric-cars/business/

behaviour, I truly feel more people will see plugging in to drive as the obvious choice for their next car. “Businesses have a key role to play in encouraging this with company car policies and workplace charging. The recharging infrastructure is improving, but more still needs to be done to support the needs of car drivers, particularly those who are unable to charge at home.” Philippe Vangeel, Secretary-General of The European Association for Electromobility, shares the belief that the key to future engagement and implementation is to inform businesses and the wider public of the benefits of EVs. Philippe Vangeel

to feed into the used market as the average vehicle age in the UK is around 8-10 years.

He comments: “There is one key word for me, and that is education! This goes from leading government figures across the world, to businesses of all sizes, all the way to the man in the street. The best way for "I TRULY FEEL acceptance of electric cars, is MORE PEOPLE just to get people to test drive WILL SEE them.

“Range anxiety will still be an issue for some, as buyers PLUGGING IN TO “Once they experience it, it is tend to get a car that will cover DRIVE AS THE often an eye-opener. We know every eventuality. Even though from research that once you OBVIOUS CHOICE the bulk of cars are not used have driven an electric car, you for long journeys, just the FOR THEIR NEXT do not turn back to diesel and occasional need will prevent CAR" petrol.” some drivers adopting. This will Andy Eastlake fade as the latest generation of What have legislation changes cars now usually exceed a 160meant for EVs? mile range, and it should not There is clearly a hold back businesses who have charging concerted effort across on site and vehicles which do much shorter business and government daily journeys.” to completely change the automotive Away from price and the range of EVs, the industry to help the key to a successful future for the industry environment and is to educate businesses and individuals of reduce emissions. the benefits. The government Eastlake comments: “I feel the most has made important aspect is greater public clear that if the understanding. This year we will see EVs market is too appropriate to almost every customer, but slow to deliver in 2019 plug-in vehicles only accounted improvements for 3% of new car sales. With better across the entire understanding of the vehicles, the total network, it is running cost benefits, charging options and prepared to intervene of individual journey patterns and driving to ensure a good deal Business Automotive - A special publication by Business Leader Magazine

for consumers by using powers in the Automated and Electric Vehicles Act. This may help accelerate the evolution of EVs and increase the number of vehicles in active use, but what have other governmental decisions really meant for the industry? Eastlake said: “The most impactful legislation for EVs will be the EU ‘Cars and CO2’ regulation and the extra ‘credits’ manufacturers get for EV sales. But we must remember that over 99% of cars currently on the road are still powered by petrol and diesel, so any regulations must be planned and signalled early enough to enable a fair and just transition. “I believe we will see more ambitious action taken, for example ending the sale of conventional cars and vans earlier than 2040, hopefully coupled with coherent Clean Air and Zero Emissions zone implementations – as well as progressive carbon taxation and, potentially, new forms of road user charging. “The changes we need to make in transport are so dramatic, careful planning and preparation will be needed to ensure that we bring businesses and consumers along the journey with us.” 

ADVERTORIAL Helping UK business move to an electric future Find out more at edfenergy.com/electric-cars/business/

Let’s electrify this decade and make real strides to Net Zero

ith an increasing drive to create a cleaner future, more electric models hitting the market and new tax incentives, EDF’s Managing Director for Customers, Philippe Commaret, details why 2020 is the year for businesses to get fully behind electric vehicles (EVs). The start of a new decade is an opportunity to reflect and look forward. The previous decade closed with climate change high on the social and political agenda. From Greta Thunberg and Extinction Rebellion, to the UK legislating to eradicate its net contribution to climate change by 2050, the end of the last decade spurred a greater emphasis on the steps we can all take to reduce our carbon emissions. Reaching Net Zero will take a combined effort from all – business, government and society. The energy sector has already made great strides to reduce its emissions. Recent figures from Carbon Brief show that 54% of UK electricity in 2019 came from low-carbon sources. This is in stark contrast to figures from 2010 when 75% of electricity

was generated by fossil fuels. I’m proud to be part of a company that has played a role in this achievement, and is in fact the UK’s largest producer of low-carbon electricity. Although the job is not yet done in the energy sector, time has come for the same drive to be applied to other sectors, and decarbonising transport is an area where UK businesses can play an important role. Transport remains a high emission sector. In 2018, it accounted for a third of all UK CO2 emissions and the majority of that was from road transport. It’s clear that a significant reduction in the country’s emissions could be achieved by paying closer attention to the cars we drive. Research we conducted found that the collective carbon footprint of petrol and diesel cars on UK roads is a staggering 14 times what it would be if all those vehicles were to switch to electric by 2030. ‘Range anxiety’, cost and EV charging infrastructure remain cited as reasons for not switching from fuel pump to plug socket, but changes are coming this year that will help alleviate these concerns and hopefully encourage businesses to help push EV ownership in the UK above the current 2% market share. It’s on us to support this positive change and follow the example of organisations like the Cornwall Partnership NHS Foundation Trust and Milk and More which have electrified their fleets.

ESTIMATED 20-30% SAVING ON MAINTENANCE COSTS (source: Go Ultra Low)

Firstly, the choice of EVs is increasing significantly this year. Manufacturers including VW, BMW, Honda, Ford, Citroen, Peugeot, Vauxhall (and Porsche if your budget stretches that far!) will be releasing new electric car and van models, increasing their suitability for varying personal and business needs. The range of EVs is on the up, and they are also more competitively priced – with the new e-Mini set to be £2,000 cheaper than its petrol equivalent. Secondly, EVs are cheaper to run and maintain, but tax changes coming in this year will further increase their financial attractiveness. From April 2020, the government will make EVs exempt from company car tax. Company cars can face a benefit-in-kind tax of more than 30% depending on the level of CO2 they emit per kilometre. Rates for EVs will remain January - February 2020

ELECTRIC VEHICLES Helping UK business move to an electric future Find out more at edfenergy.com/electric-cars/business/

0% BENEFIT

IN KIND COMPANY CAR TAX for EVs for tax year Apr20 - Mar21 (HMRC)

60-70% FUEL COST SAVING (cost per mile: electric vs petrol/diesel)

UP TO £500 GRANT PER EV CHARGE POINT INSTALLATION For your workplace (up to 20 chargepoints/ £10,000 max) (UK Government - OLEV)

low until 2023 – increasing to 1% in April 2021 and 2% in April 2022. This could equal significant savings, potentially in the thousands, for company car drivers and makes this an ideal time to convert your fleet to EVs. Thirdly, support is there to make your company EV friendly. The UK government’s Workplace Charging Scheme can dramatically reduce the cost of installing charging units in your organisation’s car park. The grant provides up to £500 per socket, up to a maximum of 20 sockets. Also before March 2023, companies can take of advantage of the 100% first-year allowance to deduct the outstanding cost of installing charge points, minus any grants, from their before tax profits in the year they're installed.

ZERO tailpipe emissions from a Battery Electric Vehicle

EXEMPTION FROM LOW EMISSION ZONE CHARGING Schemes & London Congestion Charge (until 24 December 2025)

Your employees will be more likely to switch to an EV if they can be confident they can charge at home and at work. To make charging at home easier, we launched our GoElectric tariff for EVs in June 2019, which offers substantially reduced overnight charge costs along with the option to purchase an at-home charger and lease an EV. Combine these collective actions with Government plans announced last year

Business Automotive - A special publication by Business Leader Magazine

to more than double the number of rapid charging points across the UK by 2024, as well as private sector investment in delivering commercial charging infrastructure, the required support for EVs to thrive should increase. The last century had the Roaring Twenties, an era of change, technological advances and empowerment. Let’s make the 2020s the decade we make changes to achieve real progress towards Net Zero.

If you’re interested in finding out more about EVs for you and your business, go to www.edfenergy.com/electric-cars/business 9

REPORT

Sony wows with VISION-S concept unveiling

The good news? Japanese electronics giant Sony has shocked the Consumer Electrics Show by unveiling a mouth-watering prototype electric autonomous car which earned a startlingly positive reaction from experts around the globe. But the bad news? It doesn’t matter how much you fancy one, as the firm has no plans to makes its new VISION-S vehicle available commercially – at least not for the foreseeable future. So although that means you won’t be proudly hitting the road in the first Sony vehicle anytime soon, it does still offer a tantalising glimpse of a potential future, as its makers jostle for position in readiness for the next ‘mega-trend’. Sony President and CEO, Kenichiro Yoshida, said: “It’s not an exaggeration to say that mobile has been the mega-trend of the last decade. I believe the next megatrend will be mobility.” Sony’s efforts in this field – such as pursuing safety, reliability, comfort and entertainment – are behind the new VISION-S initiative. This prototype incorporates Sony’s imaging and sensing technologies, as well as on-board software utilising using Sony’s AI, telecommunication and cloud technologies, in order to continuously update and evolve its features. A total of 33 sensors including CMOS image sensors and ToF sensors are embedded within the vehicle, in order to detect and recognise people and objects inside and outside the car, and provide highly advanced driving support. The ‘safety cocoon’ offers a 360-degree detection of a level beyond the capabilities of the human eye, which enables risk evasion even in challenging driving conditions. Sony’s 360 Reality Audio, provides a deep and immersive audio experience through speakers built into each seat, while the front seats face a panoramic screen on which rich and diverse content can be enjoyed through an intuitive user interface – in combination, this amounts to what Sony describes as ‘an unprecedented in-car entertainment experience’.

January - February 2020

THE MULTI-AWARD WINNING VAUXHALL LCV RANGE

COMBO

MOVANO

VIVARO

Class-leading fuel economy Up to 70.6 mpg CO2 from 106g/km Payloads up to 1002kg

Up to 48.7 mpg CO2 from 154g/km Payloads up to 2442kg

Class-leading fuel economy Up to 60.1 mpg CO2 from 125g/km Payloads up to 1458kg

WINNER

LIGHT VAN OF THE YEAR VAUXHALL COMBO

WA DS R

WINNER

LARGE VAN OF THE YEAR VAUXHALL MOVANO

Wh A

n atVa ? 20

WA DS R

n atVa ? 20

Search Vauxhall Vans or call 0330 587 8222 for more information.

WA DS R

WINNER

LCV OF THE YEAR VAUXHALL MOVANO

Fuel economy and CO2* results for the Combo range. Combined mpg (l/100km): 52.3 (5.4) – 70.6 (4.0). CO2 emissions: 123 – 106g/km. Fuel economy and CO2* results for the Vivaro range. Combined mpg (l/100km): 50.4 (5.6) – 60.1 (4.7). CO2 emissions: 148 – 125g/km. Fuel economy and CO2* results for the Movano range. Combined mpg (l/100km): 31.4 (9.0) – 48.7 (5.8). CO2 emissions: 233 – 154g/km. # Applicable to Front Wheel Drive models only. *Fuel consumption data and CO2 emission data are determined using the WLTP test cycle, and the relevant values are translated back to allow the comparability into NEDC. The values do not take into account in particular use and driving conditions, equipment or options and may vary depending on the format of tyres. For more information contact local Retailer. All figures correct at time of going to press (January 2020). Business Automotive - Ayour special publication byquoted Business Leader Magazine 11

REVIEW

COMMERCIAL VEHICLES

What are the best business vehicle options for 2020?

ith massive changes to commercial vehicles on the horizon, Business Automotive looks into some of the leading options for you and your company in 2020.

BMW 5 Series 520d M Sport Price: £41,500+ Power: Fuel Economy: BIK Tax:

190 bhp 52 mpg £214-£427 a month

The BMW 5 Series has become synonymous with class and elegance, with cutting edge technology and highly regarded driving dynamics that have set the German manufacturer ahead of the competition. The 5 Series is considered one of the best all-round cars, as it works as the perfect, business, leisure and family car. Each generation of the 5 Series, which has been evolving for almost 50 years, offers owners the latest scientific innovations as well as being a beautifully built and spacious saloon.

Volkswagen Golf R Price: £36,000+ Power: Fuel Economy: BIK Tax:

296 bhp 39 mpg £220-£441 a month

Volkswagen’s iconic hatchback has been given a sporty injection of power, making it an appealing ‘hot hatch’ company car. The ‘R’ is at the peak of the Golf range (either as a hatchback or estate), and its new seven-speed, five-door offers a new engine, keener design, new assistance systems and a completely new generation of infotainment system. With standard features including rear view camera, discover navigation, keyless entry and four-wheel ‘4Motion – the R is the leading car in its field.

Jaguar I-Pace Price: £64,000+ Power: Fuel Economy: BIK Tax:

395 bhp Fully electric (292 miles per charge) £170-£345 a month

Winner of many awards for its twin 395 bhp electric motor, the I-Pace has sped onto the market and made a striking addition to the commercial car market. Boasting a time of 4.2 seconds from 0-62mph, the I-Pace is the mix between a classic business saloon car and a SUV. Comfortable and capable for long journeys, this EV is the perfect option for a new age elite commercial vehicle. The larger outlay is balanced out with a lower BIK tax, and offers the benefits of having the power and style of a saloon, with the space and power of a SUV.

January - February 2020

REVIEW

COMMERCIAL VEHICLES

Peugeot 3008 SUV

Vauxhall Insignia Grand Sport

Price: £25,000+

Price: £20,000+

Power: Fuel Economy: BIK Tax:

130+ bhp 58+ mpg £120-£250 a month

Fuel Economy: BIK Tax:

138+ bhp 40+ mpg £100-£195 a month

Offering inspired styling and an enhanced driving experience, the Peugeot 3008 SUV comes with a range of petrol and diesel powertrains combining high performance with reduced emissions. Now available with plug-in hybrid technology, including the all-new four-wheel drive GT HYBRID4 with a 300 bhp plug-in powertrain that is capable of 0-62mph in just 6.5 seconds. The new hybrid versions make perfect business sense, attracting a BIK rate of only 10% from April 2020.

Flowing lines of a coupé with a cabin full of technology and a BiK tax rate from 29%, Insignia Grand Sport is a great place to do business. Packed with the latest in-cabin innovations (many as standard), the Grand Sport version of the Insignia offers drivers and company’s the very spacious, yet sleeklooking design of a modern business car. Practicality, comfort and highly-efficient engines are at the heart of what this car can offer.

Nissan Navara

Citroen Relay

Price: £23,000+

Price: £30,000+

Power: Fuel Economy: BIK Tax:

187 bhp 44 mpg £52-£105 a month

The Nissan Navara is the perfect pick-up for business, leisure or hard graft. Powerful turbo-diesel engines provide a blend of performance and fuel efficiency with 3.5-tonne towing capacity and one-tonne payload helping you carry more. With 2WD or 4WD drivetrains, and seven-speed automatic or sixspeed manual transmissions, the Nissan Navara is ready for the job in hand. As it is classed as a light commercial vehicle (LHC), it has a cheaper tax rate than a traditional SUV.

Power:

Power: Fuel Economy: BIK Tax:

110 bhp 38 mpg £261-£581 a month

The Citroen Relay has a modern design based around functionality and comfort. It offers a front end expressing dynamism and robustness, with headlights equipped with LED daytime running lights. There is an optimum driving position and an ergonomic layout that facilitates its use, in particular frequent loading, thanks to a generous payload and sensible load sill height. For easy loading, the two rear swing doors open to 180° and are secured by a clever retractable system.

January - February 2020

FEATURE

WHEN WILL WE SEE DRIVERLESS CARS ON BRITISH ROADS?

e have all seen the rapid rise of new technologies that are disrupting the way we live our everyday lives. From our mobile devices, e-commerce retailing, sharing economy companies and a plethora of automated functionalities – innovation has changed our lives beyond recognition.

completes all the driving tasks without any autonomous features – to Level Five, where we are in a world of complete vehicular automation. However, despite the once eternal optimism around a near futuristic world where autonomous vehicles are commonplace – in recent years it has become apparent that there are many hurdles the tech and automotive sectors will have to overcome before Level Five becomes a reality.

It is through this relentless drive of technological innovation that has revolutionised the automotive sector.

Aurrigo, is a Midlands-based firm that is developing the next generation of selfdriving transport vehicles for people using transport hubs.

Despite the ongoing controversies around diesel and petrol cars, and the gradual implementation of electric vehicles, one of the more sci-fi adaptations that will be arriving on our roads in the near future is autonomous vehicles.

Miles Garner, Sales and Marketing Director, comments: “The big car manufacturers are reining in their autonomous vehicle launch predictions after realising how difficult it is to integrate AVs into the real world.

But when will this happen? Who are the companies leading the way? Where does Britain fit in the global marketplace? Business Leader investigates.

“At Aurrigo, we have focused on developing first and last mile transport solutions at low speed and in controlled environments – this is gaining traction as the OEMs are beginning to understand they need to ‘walk before they run’.”

What is the current state of the industry? An autonomous vehicle (AV) is the definition given to an automobile that is capable of driving safely with little or no human interaction. Whether it is using radar, lidar or cameras, various technologies make the vehicle ‘aware’ of its surroundings and allow it to negotiate roads legally and without danger to those in the vehicle or pedestrians. There is a universal ranking system for the current state of the autonomous ranking. From Level Zero – where the driver 16

It is this gradual development, innovation and implementation of the stages of automation that will make this industry safe and successful. However, other factors are playing a part in the cautious approach to the autonomous car market, despite the increased interest and funding. Francesca Lavey, who heads up the mobility programme at Plexal, an innovative co-working space in East London,

said: “AV technology is fast becoming a reality in the UK. Due to the advancements in IoT and AI, the industry has recently seen a surge in profits and demand. As research continues in the UK, companies are starting to test these vehicles on our roads, but more often than not, these tests involve a person in the car who can override the system if necessary. “There are some barriers to AV being a real mobility option for the public, such as 5G infrastructure, legislation and regulation. And you can’t underestimate the importance of public acceptance of the technology either. Ultimately, without people understanding, trusting and accepting AV, we won’t see mass adoption – however well-developed the technology becomes.” What does the future hold for autonomous vehicles? Clearly the AV market is still in its infancy, and there are a lot of challenges to overcome. This gives the perfect platform January - February 2020

AUTONOMOUS VEHICLES

for leading manufacturers and companies to stamp their authority on the direction of the industry. However, many teething problems will need to be negotiated first. Graham Parkhurst, Professor of Sustainable Mobility at the University of the West of England (UWE), said: “There has been a growing maturity about where we are with the technology. There is a growing realisation that the industry will be an evolution, rather than expecting the finished driverless vehicles in the immediate future. There are still a number of problems that need to be solved for that to become the reality. “Whilst the technology is very clever, and good at dealing with predictable situations, it is going to be a long time before we genuinely do see autonomous vehicles, rather than automated vehicles which still need human interaction on the roads. There are still some basic scenarios that are difficult to deal with at the moment.

“For example, looking at a roundabout and deciding if the gap is big enough – that is a human decision and a challenging task for an autonomous vehicle. Humans can do this easily, whereas AI systems require human intervention at that point.” Parkhurst continues: “We are a long way off complete automation of a vehicle. If you look at a typical city, with the levels of complexities and unpredictability that they have, as well as sharing the roads with various different types of users in a congested environment – there is still so much that needs to be resolved. The level of technological complexities is staggering and the levels of non-verbal communication that is needed between all aspects of a road and city need to be 100% safe. A lot of driving culture is dependent on the person driving the car, and so having a machine take over, will change the way in which our roads are used and the way they are driven on. Typical projects may last three

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to five years, and the develop the tech incrementally. How many project cycles to get to a fully automated car? We are a long way off yet.” Challenges with automation The biggest concern within the industry, however, has been the same since the tech’s infancy – safety. Lavey comments: “The biggest concern we have with AVs is safety – the technology simply isn’t able to work with the variety of situations that cars are put in, from extreme weather to unexpected events involving pedestrians and cyclists.

Cont.  17

FEATURE

AUTONOMOUS VEHICLES

“What we’re most likely to see much sooner is AV used for short passenger journeys or simple deliveries in non-passenger vehicles. Take for example, the driverless pods that will ferry passengers across the Tokyo Olympic sites in 2020, or the long-haul lorry deliveries which have been rolled out in the United States. “The Olympics have provided an opportunity to test innovations in a safe environment – Tokyo has been developing self-driving pods which will be used in the 2020 Olympics and developments are already being put in place for a self-driving taxi service for the 2024 Paris Olympics.” However, the challenges are not just limited to safety. Lavey continues: “Other than the more obvious problem of passenger and pedestrian safety, as our lives become more dependent on Internet of Things (IoT) technology through AV we are more prone to cybersecurity breaches that can damage levels of trust in mobility technology. That’s why as the AV industry continues to grow, it must support and work alongside other industries such as cybersecurity.” Which businesses are leading the industry? In order to ascend the levels of automation within the industry, there will need to be pioneering innovations and companies leading the way. Just as many industries before them, this is where the level of disruption could change the pecking order of the whole automotive sector. For example, at CES 2020, the world’s largest tech and innovation event, Sony shockingly revealed that it is producing a driverless car. This shows the level of interest outside the traditional manufacturers and the potential income if a company can become the new market leader.

"MOST LEADING MANUFACTURERS ARE INVESTED IN AUTOMATION AND THE FUTURE OF THE INDUSTRY. VOLVO HAVE BEEN INVOLVED FOR SOME TIME AND THEY HAVE HAD A SERIES OF INTERNATIONAL TRIALS." Graham Parkhurst

Miles Garner

Francesca Lavey

Graham Parkhurst

Dr Zhengguo Sheng

Only time will tell if Sony’s introduction will change the industry, but in the meantime, many other businesses are driving change for different aspects of the driverless technology.

countries are more open to a driverless future. However, it will be a global political, society and technical effort to make autonomous vehicles commonplace on roads across the world.

Parkhurst comments: “Most leading manufacturers are invested in automation and the future of the industry. Volvo has been involved for some time and has had a series of international trials. We are also seeing Ford take an increased interest in the market, and working in the UK on a project called Endeavor to help advance the autonomous car.

Dr Zhengguo Sheng, Senior Lecturer in Advanced Networks and Communications at the University of Sussex comments: “It’s very difficult to say which country is leading the autonomous car development. Technology-wise, it’s more like a global effort to develop technology and standard in this domain. You may see an autonomous car equipped with Lidar from US, camera from Japan and Telemetry from the EU.

“Jaguar Land Rover has had a large interest in various projects across the UK. And of course, Tesla was early market leaders and went straight to electric – and that itself has been an impressive development.” With regards to Volvo, the firm recently announced a partnership with global ride-sharing platform to jointly develop a production vehicle capable of self-driving – an introduction to the market that will change the transport industry. When paired with Volvo’s vehicle platform, Uber’s self-driving system may one day allow for safe, reliable autonomous ridesharing without a driver operating and overseeing the car in areas designated and suitable for autonomous drive. Where does Britain stand in the world of autonomous vehicles? With leading car manufacturers and tech firms taking the lead on the next generation of autonomous vehicles, it does show which

“This has led to certain nations leading the way in research and development on new innovations. This is where the UK is falling behind its global counterparts.” Lavey comments: “Both the US and China are further ahead in their AV developments compared to the UK, but this is not due to a lack of talent available here. The UK is a world leader in tech, but unfortunately, we see scaling companies being held back by a lack of large-scale investment in AV tech compared to our global counterparts. “As well as investment, the UK has more challenging infrastructure for driverless cars to navigate. While the US and China have large open roads and testing sites, the UK has smaller winding streets to navigate.” 

January - February 2020

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Electric charging, what’s the point?

lobal professional services firm, Grant Thornton, recently produced a report, delving into the future of electric vehicles (EVs). Business Automotive spoke to Christopher J White about the company’s findings and what the future holds for the industry. HAS CROSS-PARTY COMMITMENT TO EVS LED TO ITS GROWTH IN THE UK? In the short-term, cross-party commitment to EVs has led to an uptick in growth of EVs, quickly becoming less of a novelty and more of a valid option for the everyday motorist, however the transition in the long-term is expected to be industry and consumer-led. DO YOU BELIEVE IT IS REALISTIC TO HAVE ALL AUTOMOBILES BEING ZERO EMISSION BY 2040? The shift in consumer habits and ultimate transition to fuel-efficient motoring is a means to an end, and with the legislation in place and committed investment, the target to have all automobiles effectively at zero-emission by 2040 remains achievable, though challenging. WILL EVS BECOME COMMONPLACE IN BUSINESSES ACROSS THE UK? We would expect EVs to become commonplace within acute sectors that carry large fleets (ie logistics and facilities management), as first movers start to witness the economical and CSR benefits. In the longer term we anticipate that adjacent sectors will follow suit as petrol and diesel cars are phased out, prompting a change in consumer behaviour. WHAT IS NEEDED FOR EVS TO BE MORE WIDELY ACCEPTED BY BUSINESSES? Despite UK Government support, EV adoption is considered nascent with businesses making faint signals to convert without any demonstrable execution. To bridge this gap, Norway successfully combined subsidisation and taxation on gas and diesel vehicles to support a transition to EVs. Be that as it may, we recognise that aggressive taxation may not be as effective in the UK as the country is more reliant on its oil and gas reserves. However, our view is that for EVs to be more widely accepted by businesses, they must become more economic for the majority

through both subsidies and punitive measures. ARE MORE CHARGING POINTS NEEDED? WHAT NEEDS TO BE DONE TO MAKE THIS A REALITY? Electric charging infrastructure is an important incentive to change customer behaviour and alleviate any ‘charging anxiety’, however, infrastructure to support the electrification of vehicles is still considered under-served. To bridge the gap, private initiatives are becoming commonplace, including a joint venture between Daimler, BMW, Ford, and the Volkswagen Group, that aims to expand the charging network by installing and operating up to 400 stations by 2020 across Europe. This will include the launch of 40 charging stations in the UK. To further improve the density of the UK’s charging network, we endorse the Open Charge Point Protocol (OCPP) and initiatives to create an interoperable, secure and robust network that allows EV users to charge at any station. WHO IS DRIVING THE EV INDUSTRY IN THE UK? The confluence of government action, greater attention by OEMs, rising customer acceptance, and ingenious suppliers is driving the EV industry throughout the UK, and globally.

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HAS THERE BEEN A LOT OF M&A ACTIVITY IN THE EV MARKET? WHAT MAJOR COMPANIES ARE LEADING IN THIS MARKET? Oil and gas companies are the most active buyer pool, as oil majors look to diversify their product offering towards renewable energies, and future-proof traditional petrol and diesel service stations through the transition to multipurpose electric stations. Charging station manufacturers and operators of scale have become key targets for oil majors over the past five years. In 2017, Shell acquired New Motion to accelerate its initial plans of installing rapid charging points across its forecourts, preparing itself for an EV-led market. Rival oil giant BP completed a similar investment through the acquisition of Chargemaster in June 2018 for £130m. ENGIE, a multinational utility company, acquired EV-Box in 2017, and more recently ChargePoint Services for £20m, as the company pursues its ambition to become a leader in green mobility solutions.

www.grantthornton.co.uk/en/insights/ electric-charging-whats-the-point 19

NEWS

New models help to drive Bentley sales increase in 2019 Bentley Motors saw its sales rise by 5% in 2019 as a raft of new models helped entice a growing number of customers around the world. With total sales of 11,006 cars, this was the seventh consecutive year that the luxury British marque has sold over 10,000 units.

global availability of other popular models, in particular the Continental GT W12 and Bentayga V8. Demand for the Continental GT was increased by the introduction of a high-performance V8 engine for both Coupé and Convertible versions.

The Americas was Bentley’s number one region during the company’s centenary year, with Europe and the UK also posting strong increases. Bentley also ended the year with 238 retailers in 68 markets, a record high.

Adrian Hallmark, Chairman and CEO of Bentley Motors, said: “2019 was an extraordinary year for Bentley for many reasons. Our sales performance reached over 11,000 customer deliveries for the fourth time in our 100 year history, plus it represents the seventh consecutive year above 10,000 retail sales.”

Key to the company’s ongoing success was the introduction of several exciting new models, combined with greater

Rolls-Royce delivers historic record result in 2019 Rolls-Royce Motor Cars has delivered a record annual sales record in 2019, with a global performance unequalled in the company’s 116-year history. A total of 5,152 cars were delivered to customers in over 50 countries around the world, an increase of 25% on the previous high set in 2018. Commenting on the results, Torsten MüllerÖtvös, CEO, Rolls-Royce Motor Cars, said: “This performance is of an altogether different magnitude to any previous year’s sales success. While we celebrate these remarkable results we are conscious of our key promise to our customers, to keep our brand rare and exclusive.”

New UK CEO appointed for Mercedes-Benz Retail Group Angela Shepherd has been appointed UK CEO for Mercedes-Benz Retail Group, and brings almost 30 years’ brand experience to the role. In her new role, Angela will oversee Mercedes-Benz Retail Group’s operations within its 18 dealerships – all of which are located in and around the London area and staffed by more than 1,500 employees. She said: “Having been involved in sales and aftersales, worked closely with dealers and held key leadership positions within the Mercedes-Benz brand, I’m fortunate to have gained a very broad, helicopter view of how retailers operate. “My extensive contact with customer service will also help as we strive to make our London retailers the destination of choice for MercedesBenz customers.” 20

Angela Shepherd

January - February 2020

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BUSINESS USERS ONLY. *Business Contract Hire based on advance rental of £1,434 followed by 35 monthly rentals of £239, 10,000 miles per annum on a non-maintained contract (you are responsible for all maintenance and servicing costs). All prices exclude VAT. Offer may be withdrawn at any time. Available on eligible vehicles ordered and registered by 31/03/2020. Participating dealers only. Finance provided by Nissan Finance, Rivers Office Park, Denham Way, Rickmansworth, Hertfordshire WD3 9YS. Subject to status. Guarantees and indemnities may be required. You must be 18 or over and a UK resident (excluding Isle of Man and Channel Islands) to apply. You will not own the vehicle. Further charges may apply subject to mileage and condition at the end of the contract. Visit Nissan.co.uk or your local dealer for full details. T&Cs apply. e-Pedal standard on all grades. ProPILOT standard on Tekna grade and above, optional on Acenta and N-Connecta grades. ProPILOT is an Advanced Driver Assist technology but cannot prevent collisions. ProPILOT is intended for “Eyes on/Hands On” for highways only (road separated by barriers). It is the driver’s responsibility to stay alert, drive safely and be able to take control of the vehicle at any time. You should not rely solely on driver convenience features. Some features may not work in all conditions and circumstances. Speed and other limitations apply. For terms and conditions relating to Nissan technologies, please visit www.nissan.co.uk/techterms. Nissan Motor (GB) Ltd does not offer tax advice and recommends that all drivers consult their own accountant with regard to their particular tax situation. Information correct at time of print. Nissan Motor (GB) Ltd, Rivers Office Park, Denham Way, Rickmansworth, Hertfordshire WD3 9YS. Registered in England (No 2514418).

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