Fuel Cards – The Benefits

Fuel Cards – The Benefits

Over recent years fuel costs have continued to rise which has had a direct impact on businesses by increasing overheads and reducing profits as well as generally increasing the price of goods for all of us due to the increased cost of transporting them. Vehicle manufactures are doing their part to help keep fuel costs down for businesses and private owners by making their vehicles more fuel efficient. They have done this by introducing technology such as twin turbo boost and direct fuel injection, but fuel efficiency still predominantly lies in the hands of drivers and their attitude and skills.

The difficulty for fleet managers and businesses is having the control and visibility they need to be able to influence fuel efficiency and manage their fuel costs. This is where fuel cards come into their own.

Greater Control

Fuel cards can prove essential to businesses, regardless of their fleet size, as they allow them to control which filling stations drivers are able to purchase fuel from and the price that they pay for fuel which allows for better planning and forecasting. Also, many fuel card providers offer central billing which means that all fuel purchased can be paid for in a single payment at intervals that suit your business.

Reduce Administration

Most fuel card suppliers provide a complete fuel management solution which means that drivers no longer have to be chased to hand in their fuel receipts as all transactions are itemised on management reports. In addition, these systems provide reports that make calculating the VAT much easier and ensures that you claim your full entitlement.

Reduce Fuel Spend

One of the greatest benefits of fuel cards is undoubtedly the savings and fuel discounts that can be achieved. Many fuel cards offer a ‘bunker’ price for fuel (at participating stations) which provides a fixed weekly nationwide price for fuel which is often below the national average pump price. It is possible to achieve savings of as much as 5 pence per litre.

Improve Fuel Efficiency

The management reports that are generated by a fuel card system offer detailed levels of insight into your employees fuel consumption and allow you to make comparisons in the performance of drivers. Using this information to monitor and better the performance of inefficient drivers will increase your company’s profits and improve your company’s carbon footprint.

Prevent Employee Abuse

Fuel cards provide total transparency over what employees are spending on fuel and the amount that they are consuming. This allows businesses to ensure that their employees are only using their fuel card for business miles. Many fuel card providers are able to highlight any suspicious activity such as excessive purchases or multiple visits within a short period of time.

Increased Security

The majority of fuel cards go beyond the levels of security that can be offered by alternative methods of payment for fuel. Not only are fuel cards PIN protected but they can also be embossed with both the driver’s name, the registration of the vehicle and the company name. Fuel cards are able to provide increased protection against fraudulent use and can be used at thousands of filling stations throughout the UK including automatic sites.