Xtrac launches electric vehicle salary sacrifice scheme

Xtrac salary sacrifice scheme
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Xtrac, a supplier of high-performance transmissions for motorsport and high-performance automotive applications, has expanded its range of employee benefits by introducing an electric vehicle salary sacrifice scheme.

The Thatcham head-quartered business decided to implement the scheme to encourage its more than 440 permanent part- and full-time UK staff to transition to electric cars and help reduce their carbon footprint, while also rewarding and retaining them.

Provided by Fleet Alliance, the scheme offers benefit-in-kind tax rates and aims for zero carbon emissions through the use of electric vehicles.

Employees give up an amount from their gross salary in exchange for the use of a car for a period of time and can save on income tax and national insurance contributions, while the employer makes savings on the amount of salary that has been sacrificed.

According to Xtrac, it will communicate the benefits of the scheme to its employees through its monthly newsletter, business communications screens, quarterly face-to-face business updates and business news articles.

Kirsty Knight, HR director at Xtrac, said: “The straightforwardness and total package on offer was attractive and workable for our business. Our employees have reacted very positively and welcome the opportunity to purchase a new electric vehicle at a reasonable cost along with the simplicity of the process to access one. We see it as an excellent addition to our already extremely competitive employee value proposition, and it also supports our environmental, social, and corporate governance (ESG) credentials, which are at the core of our business.

“We have installed an additional 20 electric car charging points for staff to be able to charge their cars at work. We are well known for our award-winning apprentice scheme with our in-house academy but, with this encouragement of staff to move to low carbon vehicles, we know we are leading our industry in the ESG space.”