Lex welcomes 3-year tax disc proposals

Lex Vehicle Leasing, the UK’s largest contract hire and leasing company welcomes proposals planned by the Department of Transport to introduce three-year tax discs for fleet users.

Lex, which manages 170,000 vehicles, welcomes the concept as it would further improve customer service in the area of driver administration.

Under the new plans a driver would receive a tax disc with their new car, covering it for a typical three-year fleet contract. It would save companies having to inform their leasing supplier each time a car changes driver or a driver changes address.

The new legislation would also mean reduced levels of driver administration for Lex. Currently it sends out letters to 170,000 drivers with new tax discs on an annual basis, but if the driver of that car has changed or their contact details have changed the process can come to a grinding halt.

If a tax disc is sent out to the wrong address or wrong driver, and it isn’t sent back Lex has to buy another tax disc. Under the proposed new regulations the only time Lex would get involved is if a disc was stolen or a car was supplied on a two or four-year contract and only then would they have to buy a new disc and send it to the driver.

"We applaud the Department’s idea as it would improve customer service in the area of driver administration as well as reduce thousands of man hours’ worth of work for us each year. The up front investment in a three year tax disc would be more than compensated by the time, money and hassle connected with administering this area of our business," said Jon Walden, Lex Vehicle Leasing’s managing director.

"The sooner this is introduced the better. Their next step should be working with Transport for London to resolve the huge problem with administering Congestion Charge notices on behalf of our customers," he added.